27 OCtober 2009 – State-owned Saudi Electricity said that it plans to spend $20bn to add more than 10 GW of generation capacity through six independent power producer (IPP) projects.
Saudi Arabia is facing rapid power demand growth as it builds infrastructure and heavy industry it hopes would diversify its economy away from dependence on oil revenues. The economic boom sparked by the oil rally of 2002-2008 contributed to rapid economic growth.
SEC plans to spend $80bn to add a total of 20 GW through 2018, plus $20bn on IPP projects.
Amer al-Swaha, the head of IPP at SEC, said of the total investments of around $100bn some $46bn would go for power generation, $30bn would be spent on transmission and $20bn on distribution.
IPP projects slated for completion from 2013 to 2021 include the 1200 MW Rabigh plant, the Riyadh 2000 MW PP11 plant, a 2000 MW Qurayyah plant, a 1000 MW plant in Dheba, a 2520 MW plant in Ras Azzour and an 800 MW plant in Shuqaiq, Swaha said.