In a significant move to boost regional energy cooperation, Egypt’s Elsewedy Electric has announced that its engineering and construction subsidiary will participate in the development of a cutting-edge power generating station in Rabigh, Saudi Arabia. This ambitious project, valued at over $1 billion, will be undertaken in partnership with Siemens Energy, a global leader in energy technology.
The collaboration between Elsewedy Electric’s subsidiary and Siemens Energy signifies a strong alliance aimed at leveraging advanced technology and engineering expertise to meet Saudi Arabia’s growing energy demands. This partnership underscores the commitment of both companies to contribute to the sustainable development goals of the region by combining their strengths in the energy sector.
The new power station will feature a combined cycle system, which is known for its high efficiency. Combined cycle power plants are highly efficient because they use both gas and steam turbines to generate up to 50% more electricity from the same fuel compared to traditional plants. This efficiency is crucial in optimizing resource utilization and reducing the environmental impact of power generation.
With an investment of over $1 billion, this project is expected to create numerous job opportunities in both Egypt and Saudi Arabia. It will also foster economic growth by enhancing the reliability and efficiency of the energy supply in the region. The development of such infrastructure projects often stimulates local economies by providing jobs and encouraging further investment in the area.
Construction is set to commence immediately, with the goal of completing the project before the end of 2026. This timeline underscores the urgency and importance of expanding the energy infrastructure to keep pace with Saudi Arabia’s developmental goals. Timely completion of the project will be critical to ensuring that the growing electricity demands of the kingdom are met without delay.
The development of this power station aligns with Saudi Vision 2030, a strategic framework aimed at reducing Saudi Arabia’s dependence on oil, diversifying its economy, and developing public service sectors such as health, education, infrastructure, recreation, and tourism.
Ahmed El Sewedy, CEO of Elsewedy Electric, expressed his enthusiasm for the project, stating, “This collaboration with Siemens Energy and the Saudi Electricity Company reflects our commitment to contributing to the energy sector’s growth and sustainability. We’re proud to bring our expertise to this landmark project and support the broader economic objectives of Saudi Vision 2030.”
This project is anticipated to play a critical role in meeting the rising electricity demands of Saudi Arabia, ensuring a stable and efficient power supply that can support the kingdom’s ambitious industrial and infrastructural expansion plans.