‎“Saudi Electricity” CEO: Our investments in 9 months up 52%, ‎the growth in demand during Q3 exceeded 10%‎

Engineer Khaled bin Hamad Al-Qunun, CEO of Saudi Electricity, said that the company was able to cover the large and unprecedented growth in demand for electrical energy during the summer season of the current year, as the growth exceeded 10%, as the growth in the peak load of the electrical network increased by 8%, exceeding 70.6 gigawatts, which is a new record for the electrical network in the Kingdom. This continuous increase in demand for electrical service reflects the economic prosperity that the Kingdom is experiencing in light of the implementation of the Kingdom’s Vision 2030 programs.”

Al-Qunun added, “Saudi Electricity is currently following an ambitious approach to strengthen its leadership and growth opportunities, in light of the regulatory and financial reforms that have supported the sector and the company in general.” During the first nine months of the current year 2023, the company’s capital investments increased by 52%, exceeding 29.5 billion riyals (of which about 14 billion were invested during the third quarter), and these investments represent part of its ambitious investment plan to pump investments estimated at 500 One billion Saudi riyals until the year 2030, in order to provide the best electrical service to subscribers and achieve the goals set for the electricity sector within the Kingdom’s Vision 2030 programs.”

Al-Qunun explained that the company’s expansion plans also look to exploit new additional opportunities of a complementary nature to its business, provide the best exploitation of its market position and assets economically, and support growth and financial sustainability. He indicated that last October, the company invested 254 million riyals to acquire a 25% share of “Infrastructure Company for Electric Vehicles, which aims to provide fast charging service for electric vehicles in the Kingdom.”

Al-Qunun stated that the company and its alliance won the award of two power station projects (Taiba 1 and Al-Qassim 1) with a production capacity of 1.8 gigawatts for each station and a total estimated investment of about 14.6 billion riyals. In addition, the Saudi Energy Purchase Company (the main buyer) agreed to award the implementation of the expansion project of the Rabigh generation station, wholly owned by Saudi Electricity Company, by adding combined cycle technology units with a production capacity of 1.2 gigawatts, which is a step that supports the company’s continued leading position in the power generation sector. Electrical energy in the Kingdom

“Stressing that these achievements and the continuous improvement in the level of service could not have been achieved without the great support that the electricity sector receives from the government of the Custodian of the Two Holy Mosques King Salman bin Abdulaziz – may God protect him – and His Highness the Crown Prince, Prime Minister, His Highness His Royal Highness Prince Mohammed bin Salman – may God protect him – and the directives and continuous follow-up of His Royal Highness the Minister of Energy, His Royal Highness Prince Abdulaziz bin Salman – may God protect him -, which provides all the capabilities to overcome all obstacles and challenges facing the electricity sector in developing and improving the services provided. For subscribers

Today, Tuesday, the Saudi Electricity Company announced its financial results for the third quarter and the nine-month period of 2023, as it achieved operating revenues in the third quarter amounting to 23.8 billion riyals, compared to 22.7 billion riyals in the same quarter of the previous year, an increase of 4.6 percent. percent. The company stated that the increase in revenues is mainly due to the increase in the amount of electrical energy sales by 10% during the summer season of the current year, in addition to the continued growth in the subscriber base, and the growth of transportation system revenues as a result of the increase in subscriber loads, and this was also supported by the growth of revenues.

It is noteworthy that last April, the company had successfully issued two-tranche sukuks worth $2 billion, consisting of $1.2 billion, a 10-year green sukuk tranche, and a regular sukuk tranche worth $800 million with a 30-year maturity, as part of its program for international instruments. Last October, the company also concluded a joint international financing agreement worth 3 billion US dollars (equivalent to 11.25 billion Saudi riyals), with four leading banks. During the activities of the global economic event – the Future Investment Initiative – in Riyadh, the company indicated that the funds obtained support its investment plans to provide the best electrical services to subscribers, and at the same time will enhance the growth of the company’s regulated asset base, which is expected to support its financial position and growth prospects of its revenues.

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