7 January 2008 - Four GCC countries - Saudi Arabia, Qatar, Bahrain and Kuwait - will be linked in a power grid this year in the first phase of a major project aimed at connecting the six-member GCC states in an electricity network, according to Saudi officials.

Minister of Water and Electricity Abdullah Al-Hussayen said the project aimed at ensuring an adequate supply of electricity in the GCC countries would be completed by the end of 2009. He said the project's cost could be recovered by 2011.

The GCC Interconnection Authority (GCCIA), which supervises the project, signed 13 contracts with six companies in October 2005 at a cost of $1.1bn for the implementation of Phase 1.

Phase 1 includes a double-circuit 400 kV, 50Hz line from Al-Zour in Kuwait to Ghunan in Saudi Arabia with an intermediate connection at Fadhili in the Kingdom and associated substations and a back-to-back HVDC interconnection to the 380 kV, 60Hz system at Fadhili.

A double circuit 400 kV comprises overhead lines and a submarine link from Ghunan to Al-Jasra in Bahrain and associated substations.

Saudi Arabia has offered to meet 40 per cent of the cost of the first phase while Kuwait will provide 36.5 per cent, Qatar 13.5 per cent and Bahrain 10 per cent.

The second phase of the project will link the United Arab Emirates and Oman. The resulting two mega-grids will be joined in the final phase.

Phase 3 includes: A double circuit 400 kV line from Salwa to Shuwaihat in the UAE and associated substations; a double circuit 220 kV from Al-Ouhah in the UAE to Al-Waseet in Oman and associated substations; a single circuit 220 kV line from Al-Ouhah to Al-Waseet and associated substations.