Electricity Network in Three Saudi Governorates to be Improved at a Cost of $373 Million

Keeping in view of the growing demand for power and reduce carbon emissions, Saudi Electricity Co has decided to further improve electricity networks across three Saudi governorates – Rafha, Al-Wajh and Najran – at an estimated cost of $373 million.

Ensuring reliability and continuity, the company aims to maximize electric power generation units for network efficiency and subscribers’ benefits. The first scheme will link Rafha to the public electricity network in the eastern sector via a 380KV overhead line spanning 328 km. Connecting Al-Qasima to Rafha, the line will have a capacity of 1,650KV amps.

The Al-Wajh governorate will be connected to the Green Duba power station through an overhead line spanning 210 km. This link will strategically connect the northwest network to the western region network.

The third scheme would join the Najran region with the Al Fara’a station in the Asir region with an overhead line reaching 236.5 km. This will also secure additional energy as the electrical networks in the southern and Najran regions become more reliable, , the state-owned Saudi Press Agency, while quoting the company, said.

In March, the company announced plans to allocate between $8 billion to $9.33 billion for capital expenditure in 2023. This outlay is at least 10% higher than the electric power distribution firm’s capital expenditure in 2022, which stood at $7.31 billion.

The company did not provide full details of the sector-wise allocation of funds, but it is expected that transmission and distribution infrastructure will be a priority considering that this dominated the firm’s capital expenditure over the past three years.

In addition, SEC shed light on plans to further develop its distribution and transmission lines, and potentially achieve 23% automation within its distribution grid.

Established in 2000, SEC has monopolized the generation, transmission, and distribution of electric power in the Kingdom through 45 power generation plants in the country.

The firm’s vision revolves around integrating the environment, economy, and social issues into the firm’s corporate cultural and economic values to accomplish the greater objectives of sustainable development.

Peak Demand

Based on the current energy policy and rapid growth in population and economy, the peak demand in Saudi Arabia is expected to keep increasing and reach approximately 84 GW by 2030 and 103 GW by 2040.

The company experienced a 0.6% surge in generation capacity from 83.03GW to 83.53GW between 2021 and 2022. Similarly, total load also rose 1.8% in the same period to reach 65.3GW in 2022, up from 64.16GW in 2021. 

Even the power production has increased 2.6% to hit 1.96GW in 2022, up from 1.68GW a year earlier. The number of electricity sub stations have increased from 1,190 in 2021 to 1,209 last year thus leading to a 2.8% increase in transformers’ capacity.