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Captive power generation in Saudi Arabia—Overview and recommendations on policies

Author

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  • Abdul-Majeed, Mohammed Arif
  • Al-Hadhrami, Luai M.
  • Al-Soufi, Khaled Y.
  • Ahmad, Firoz
  • Rehman, Shafiqur

Abstract

The power sector in the Kingdom of Saudi Arabia is undergoing the restructuring process. Moreover, during the last decade the Kingdom has witnessed a phenomenal growth in the load demand, consequently a huge amount of generation is added to the electric utilities to meet the load. Up to now only the electric utility generation was taken in the planning of the electrical sector. The data regarding the captive power generation was not readily available. A survey is conducted regarding the captive power generation in Saudi Arabia based on its utilization pattern, fuel used and amount of excess energy available to the grid. The existing regulatory framework and institutional structure of the Saudi power industry was also reviewed. Based on the information collected in the survey of captive power, key guidelines that may be considered in developing the policy for the captive power generators are presented. Furthermore, these guidelines and later the policies will help promote the investors to come forward in developing the captive power generation in Saudi Arabia.

Suggested Citation

  • Abdul-Majeed, Mohammed Arif & Al-Hadhrami, Luai M. & Al-Soufi, Khaled Y. & Ahmad, Firoz & Rehman, Shafiqur, 2013. "Captive power generation in Saudi Arabia—Overview and recommendations on policies," Energy Policy, Elsevier, vol. 62(C), pages 379-385.
    • Handle: RePEc:eee:enepol:v:62:y:2013:i:c:p:379-385
    DOI: 10.1016/j.enpol.2013.07.101
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    References listed on IDEAS

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    Cited by:

    1. Ahmad, Ali & Ramana, M.V., 2014. "Too costly to matter: Economics of nuclear power for Saudi Arabia," Energy, Elsevier, vol. 69(C), pages 682-694.
    2. Naqvi, Salman Raza & Naqvi, Muhammad & Ammar Taqvi, Syed Ali & Iqbal, Farukh & Inayat, Abrar & Khoja, Asif Hussain & Mehran, Muhammad Taqi & Ayoub, Muhammad & Shahbaz, Muhammad & Saidina Amin, Nor Ais, 2021. "Agro-industrial residue gasification feasibility in captive power plants: A South-Asian case study," Energy, Elsevier, vol. 214(C).
    3. Ghosh, Ranjan & Kathuria, Vinish, 2014. "The transaction costs driving captive power generation: Evidence from India," Energy Policy, Elsevier, vol. 75(C), pages 179-188.

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