Saudi Electrical Company is the main electrical company in Saudi Arabia producing and supping electricity.As the world’s top producer and exporter of oil, energy is a very important ingredient in Saudi Arabia’seconomy. It was started in the year 2000 as a result of mergers of several regional electricity companies. The decision to start the firm was reached at by the council of ministers. Electricity and Cogeneration Regulatory Authority (ECRA) decided to split the original company to facilitate competition. This saw the emergence of national grid SA that was mandated for the administration of the national grid. Government owns eighty percent of the shares hence able to control and influence decision making(BenSaleh, Qasim and Hennache 130). It is currently producing 60GW for its population and industrial use.
Due to the increasing demand, the company adopted plans that will see its power generation rise to 91GW as it approaches the year 2020. It has also experienced some changes culminating from the need to conserve the environment. Relying on the old methods of power generation has proved to be an expensive affair hence it is diversifying its production from diesel powered turbines to solar powered generators and wind turbines. It is doing this through partnering with institutions and organizations such as King Abdul-Aziz city for science and technology (KACST). In 2014, the overall income for the organizationwas SR307.9 billion. It has been successful in most of its project to distribute electricity to household consumers under the leadership of Ziyad Bin MohammedAl-Shisha as the chief executive officer(BenSaleh, Qasim and Hennache 145). In addition, the rate at which electricity is rendered is relatively affordable for most of the individual’s citizens.
Works Cited
BenSaleh, Mohammed S., Syed M. Qasim, and Ali S. Hennache. “Evaluation of Gas Turbines Used in Saudi Electricity Company-south Operating Area (SEC-SOA): A Survey.” Energy journal 23.2 (2012): 123-154. Print.