Riyadh: The Saudi Power Procurement Company (SPPC) has revealed the successful bidders for the Rumah-1, Rumah-2, Al-Nairyah-1, and Al-Nairyah-2 Conventional Independent Power Projects (IPPs). These projects, with a combined capacity of 7,200 megawatts (MW), are integral to the energy mix plan under the Ministry of Energy. The plan is designed to meet future electricity demand, enhance energy production diversity, and reduce reliance on liquid fuels. By 2030, the goal is to have renewable energy and gas each contribute 50% to the electricity production mix, aligning with the Saudi Vision 2030 and the Saudi Green Initiative.

According to Saudi Press Agency, the first consortium, comprising Saudi Electricity Company (SEC), International Company for Water and Power Projects (ACWA Power), and Korea Electric Power Corporation (KEPCO), has been awarded the contract for the Rumah 1 power plant, which will have a capacity of 1.8 gigawatts (GW). SEC will serve as the managing and technical member, while ACWA Power and
KEPCO will be consortium members.

The second consortium, involving Abu Dhabi National Energy Company PJSC (TAQA), JERA, and Al-Bawani, secured the contract for the Rumah 2 power plant, also with a capacity of 1.8 GW. TAQA will function as the managing and technical member, with JERA and Al-Bawani as consortium members.

The third consortium, again including SEC, ACWA Power, and KEPCO, has been awarded the contract for the Nairyah 1 power plant, with a similar capacity of 1.8 GW. SEC will act as the managing and technical member, while ACWA Power and KEPCO will be consortium members.

The fourth consortium, consisting of TAQA, JERA, and Al-Bawani, secured the contract for the Nairyah 2 power plant, also with a capacity of 1.8 GW. TAQA will be the managing and technical member, with JERA and Al-Bawani serving as consortium members.

SPPC will engage in a 25-year power purchase agreement with each project company, operating on a build, own, and operate (BOO) basis, with investments totaling approximately SAR30
billion ($8 billion). The projects will meet localization and local content requirements, contributing significantly to Saudi Arabia’s economy.

The projects will feature state-of-the-art Class H/J Gas Turbines with the highest efficiency in Combined Cycle operation, enabling carbon capture technology utilization. These initiatives are expected to supply power to around three million residential units annually.

SPPC is tasked with conducting preliminary studies, tendering and awarding independent power projects, and purchasing electricity from these projects under a license issued by the Saudi Electricity Regulatory Authority.