The contract is the first stage in a major 220/66-kV development, which forms part of a programme to expand and develop the electricity network. Sumitomo Fuji Electric will be responsible for the installation of 220-kV reactors and 150-MVA transformers in five existing substations and three new stations.

Negotiations are complete with candidates for further contracts in the expansion programme - the switchgear, the cable supply and cable installation - and MEW expects to make awards by the end of May. The tender for the civil works will be issued once the switchgear provider has been selected. Work is due to start on the project at the start of next year, and is expected to take three years to complete.

The total cost of the transmission expansion programme is BD 34 million ($90 million). The Kuwait-based Arab Fund for Economic & Social Development will finance 80 per cent of the project, and the government will cover the balance.