Riyadh, Dhu al-Hijjah 26, 1441 AH/ August 16, 2020, SPA
The Kingdom of Saudi Arabia and the Hashemite Kingdom of Jordan signed a memorandum of understanding that frames joint cooperation in the field of electrical interconnection between the two countries' networks.
The memorandum was signed by His Royal Highness Prince Abdulaziz bin Salman bin Abdulaziz, Minister of Energy, and His Excellency the Minister of Energy and Mineral Resources of the Hashemite Kingdom of Jordan, Eng. Hala Adel Zawati, in the presence of the Custodian of the Two Holy Mosques Ambassador to Jordan, Naif Al-Sudairi; His Excellency the Chairman of the Board of Directors of the Saudi Electricity Company, Dr. Khaled Al-Sultan; the Governor of the Electricity and Cogeneration Regulatory Authority, Dr. Abdulrahman Al-Ibrahim; the Undersecretary for Electricity Affairs, Engineer Nasser Qahtani; and Adviser to the Minister at Ministry of Electricity Affairs, Dr. Naif Al-Abbadi; and the CEO of the Saudi Electricity Company, Fahd Al-Sudairi.
The signing of the agreement was also attended by the Jordanian ambassador to the Kingdom, Ali Hassan Al-Kayed; the Secretary-General of the Ministry of Energy and Mineral Resources, Eng. Amani Al-Azzam; the General Director of the National Electricity Company, Eng. Amjad Rawashdeh; the Deputy Chairman of the Board of Commissioners of the Energy and Minerals Regulatory Authority Dr. Imad Al-Najdway; and Chairman of the Board of Directors of the National Electric Power Company, Director of Planning and Institutional Development at the Ministry of Energy; Eng. Shurooq Abdulghani; Director of Electricity; Eng. Ziad Al-Saaida.
His Highness the Minister of Energy said, upon signing of the agreement: “The memorandum comes out of the goodwill of the leaderships of both brotherly countries, which aims to strengthen the strong brotherly ties that bind them together, consolidate the long-standing and distinguished relations between, and a desire to push them towards broader horizons, and to ensure the exploitation of great potentials and opportunities to strengthen the existing cooperation between, in all fields, including electric power.
His Highness affirmed that the leaderships of the two countries are keen to consolidate the foundations of strategic partnership in all fields, in a way that strengthens relations between the two countries and fulfills the aspirations of the two brotherly citizens, indicating that for this purpose came the desire of the two parties to establish an electrical interconnection project between their two networks, accompanied by the establishment of a fiber optic line between the communications networks.
His Highness Prince Abdulaziz bin Salman stated that this memorandum, and the electrical interconnection plans in the Kingdom in general, are consistent with its implementation programs emanating from the Kingdom's 2030 vision, which focuses on investing the Kingdom's strategic location to make it a regional center for linking and exchanging electric power networks, as the Saudi electricity network is the largest in the Middle East and the Arab world, pointing out that the electrical interconnection work between the Kingdom and Jordan and Egypt, which is currently being worked on, will be important steps towards the Arab electrical interconnection project, which will complete the connection between the countries of the Cooperation Council for the Arab Gulf states, the countries of the Arab Mashreq, and the rest of the Arab countries in North Africa.
His Highness indicated that the electrical interconnection project between the Kingdom and Iraq is moving rapidly, whether through a direct connection between the two countries, or through the Gulf link. He stressed that the electrical interconnection projects between the Kingdom and Jordan, and other similar projects, will enhance the regional market for electricity trade and support the participation of the two countries.
His Highness Prince Abdulaziz bin Salman stated that the Kingdom has ambitious plans to become one of the main countries in producing and exporting electricity using renewable energy, as soon as the necessary infrastructure and economic value are completed, indicating that these plans will place the Kingdom on the threshold of a quantum leap in the field of electricity export through Arab electrical interconnection projects.
His Highness the Minister of Energy stated that the Kingdom has moved towards electrical interconnection with neighboring countries to achieve many benefits, including enhancing the reliability of the electrical network, providing the necessary support and reserves for interconnected networks at times of peak consumption or electrical emergencies, and investing the opportunity to exchange surplus generation capacity, by making use of from the diversity and disparity occurring in the daily and seasonal demand, in addition to promoting the entry of renewable energy projects into the electrical networks of interconnected countries, which would contribute to achieving the optimal energy mix for electricity production, and enhancing efforts to preserve the environment.
The Jordanian Minister of Energy and Mineral Resources, Eng. Hala Adel Zawati, affirmed the importance of the memorandum, whose objectives are consistent with the comprehensive strategy for the energy sector for the years 2020-2030, which aims to make Jordan a regional center for the exchange of energy in all its forms, especially since the agreement would link the Gulf Cooperation Council and eastern Arab states with the rest of the Arab countries in North Africa. It would strengthen the regional market for electricity trade, Zawati added.
The minister praised the existing cooperation between Jordan and the Kingdom of Saudi Arabia in the field of energy, and its role in launching projects that achieve Arab energy integration, which would strengthening the communication network between Arab countries, especially in the era of the fourth industrial revolution and the world's orientation towards digital technology.
"The electrical interconnection with the Kingdom of Saudi Arabia would activates the Arab electrical interconnection project and contributes to achieving sustainable development," she said, stressing the importance of the connection in enhancing the stability of the electrical network in the two countries, and the exchange of electric energy, due to the varying times of peak loads in Jordan and Saudi Arabia, which will lead to the optimal economic operation of the generating stations in both county.
The memorandum also aims to enhance the reliability and stability of the two networks in both countries, and the possibility of importing and exporting electric energy between the two countries and other Arab countries, through electrical interconnection, and allowing the use of the optical fiber line accompanying the electrical interconnection line in strengthening communication networks and the sharing of information between the two countries, the Arab countries, and neighboring countries, which will increase the economic return of the project.
By signing this memorandum, the two sides are counting on achieving electrical interconnection, as a step towards completing the comprehensive Arab electrical interconnection, as the two countries are involved in the Gulf interconnection and the eight interconnection groups respectively.
The MoU entrusts the Saudi Electricity Company in Saudi Arabia and the National Electricity Company in Jordan with the task of preparing and implementing the necessary electrical interconnection project agreements and implementing them within the framework of the MoU.
