The local Alfanar Construction has been awarded contracts worth SR1.5bn ($400m) for three transmission and distribution (T&D) contracts in the kingdom.

The largest contract was the SR716m T&D deal from the Saudi Water Conversion Corporation (SWCC) to build three substations for the 3,100MW Yanbu 3 power plant. The substations will supply power from the plant to SWCC pumping stations.

Alfanar was also awarded two contracts from the Saudi Electricity Company (SEC), worth a total of SR793m, to install 390kV underground cables in the Western province. The cables will link the Jeddah central substation and the Jeddah al-Faisaliyah substaions.

The contracts are part of the kingdom’s efforts to expand and upgrade its electricity infrastructure as it seeks to cope with its rapidly growing population and economy.

Saudi Electricity Company (SEC) recently awarded a SR264m electricity contract to the local National Contracting Company (NCC) for the installation and connection of a 380kV underground cable in the central area of the kingdom.

It is estimated that the Saudi Arabia’s peak power demand will rise from the 48,367MW in 2011 to 75,000MW by 2020. With the current installed generation capacity in the kingdom less than 60,000MW, it is vital the kingdom’s power and electricity clients are able to tender and award the planned schemes on time.