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Iran, Saudi Arabia to invest in new power plant

Dec 4, 2007 - McClatchy-Tribune Regional News - Middle East and North Africa Business Report, Amman, Jordan

Iran and Saudi Arabia have inked an agreement worth 500 million euros to build a combined cycle power plant in Heris, East Azerbaijan province. Announcing this on Monday, Iran's deputy energy minister for power affairs stated that the construction of the power plant will be launched in the next Iranian year (starts March 21) and will be completed within two years, IRIB reported.

"Saudi Arabia's Zenel Company and Iran's Power Generation, Transmission and Distribution Company Tavanir have agreed to build the 1,200-megawatts power plant," Mohammad Ahmadian stated. Referring to the construction of the power plant on the basis of a build, operate, transfer (BOT) deal, he declared that the electricity generated from the power plant would be sold to Iran.

Meanwhile, Ahmadian added that Iran exports electricity to six neighboring states including Armenia, Pakistan, Turkey, Iraq, Afghanistan and Nakhichevan Republic. Azerbaijan and Nakhichevan Republic also supply electricity to Iran, Ahmadian conveyed. According to him, Iran imported 177,000 MW/h but exported 238,000 MW/h of electricity during October 23-November 21. "Some 14,500 MW/h have been exported to Pakistan, 58,000 MW/h to Turkey, 60,000 MW/h to Iraq, and 60,000 MW/h to Afghanistan." Ahmadian concluded that Iran imported 135,000 MW/h of electricity from Turkmenistan and 39,000 MW/h of electricity from Azerbaijan Republic.

Updated: 2016/06/30

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