Saudi SEC to spend $20 billion on projects

By Reem Shamseddine

RIYADH, Oct 26 (Reuters) - State-controlled Saudi

Electricity Co 5110.SE plans to spend $20 billion to add more

than 10,000 megawatts (MW) of capacity through six independent

power producer (IPP) projects, a top official said on Monday.

Saudi Arabia is facing rapid power demand growth as it

builds infrastructure and heavy industry it hopes would

diversify its economy away from dependence on oil revenues. The

economic boom sparked by the oil rally of 2002-2008 contributed

to rapid economic growth.

Demand was growing at around 7 percent per year, Amer

al-Swaha, the head of IPPs at SEC, told the Reuters Middle East

Investment Summit.

SEC plans to spend $80 billion to add a total of 20,000 MW

through 2018, plus $20 billion on IPP projects.

Around $46 billion of the total investment would be spent on