Saudi Arabia’s principal buyer, Saudi Power Procurement Company (SPPC), has invited prequalified bidders for the contracts to develop and operate four combined-cycle gas turbine (CCGT) power generation plants to a job explanation meeting.

The teams have also been invited to visit the sites of the planned independent power producer (IPP) projects, which have a total combined capacity of 7.2GW.

The four IPP projects will have a power generation capacity of 1,800MW each.

The projects are:

• Remah 1 
• Remah 2
• Al Nairiyah 1
• Al Nairiyah 2

Remah 1 and 2, previously known as PP15, will be located in Saudi Arabia’s Central Region, while Al Nairiyah 1 and 2 will be in the Eastern Region.

SPPC expects to receive proposals for the contracts by 30 June.

The companies that have been prequalified to bid for the contracts to develop the Remah and Nairiyah IPP projects are:

• Abu Dhabi National Energy Company (Taqa) / Jera (Japan)
• Ajlan Brothers (local) / China Power International Holding (China) 
• China Gezhouba Overseas Investment Company (China)
• Kahrabel / Engie (UAE/France)
• EDF (France)
• International Company for Water & Power Projects (Acwa Power, local)
• General Electric Company (US)
• Gulf Energy Development Public Company
• Gulf Investment Corporation (Kuwait)
• Jomaih Energy & Water Company (Jenwa, local)
• Korea Electric Power Corporation (Kepco, South Korea)
• Marubeni Corporation (Japan)
• Mitsubishi Power (Japan)
• Nebras Power (Qatar)
• Power & Water Utility Company for Jubail & Yanbu (Marafiq)
• Samsung C&T Corporation (South Korea)
• Saudi Electricity Company (local)
• Siemens Energy (Germany)
• Sojitz Corporation (Japan)  
• Summit Global Power
• The Kansai Electric Power Company (Japan) 

The four power generation facilities will be developed using a build-own-operate model. 

SPPC indicated that the four power plants are envisaged to operate using natural gas combined-cycle technology with provision for carbon capture unit readiness.

Plans for PP15 were first announced in 2015. Originally intended to be developed on a build-operate-transfer basis, the initial plan entailed three phases, each with a design capacity of 1,800MW. 

SPPC's transaction advisory team for the Nemah 1 and 2 and Nairiyah 1 and 2 IPP projects comprises US/India-based Synergy Consulting, Germany's Fichtner and US-headquartered Baker McKenzie. 

Awarded gas IPPs

SPPC awarded contracts to develop four gas-fired power generation IPP projects last year.

A consortium comprising Saudi Electricity Company and Saudi utility developer Acwa Power signed the 25-year power-purchase agreements with SPPC to develop and operate the Qassim 1 and Taiba 1 IPP projects on 13 November. Each plant has a capacity of 1,800MW.

The two projects are valued at SR14.6bn ($3.9bn).

China’s Sepco 3 will undertake the engineering, procurement and construction contract for the two projects, while US-based GE will supply the CCGT for the power plants. 

A team comprising the local Al Jomaih Energy & Water, France’s EDF and the local Buhur for Investment won the contract to develop the 1,800MW Taiba 2 IPP and 1,800MW Qassim 2 IPP schemes.

Each project will be developed on a BOO basis by the winning consortiums, which will be 100% owned by the successful bidders.