For Dammam 3rd., Jeddah 3rd., Riyadh 3rd., Sudair and Jazan industrial cities
His Excellency the Minister of Commerce and Industry, Chairman of the "MODON" Board of Directors Dr. Tawfig Bin Fawzan Alrabiah signed contracts for the construction of Electricity Transmission Plants and aerial and ground power supply lines for five industrial cities at a total value of about 700 million riyals, in the presence of Director General of MODON, Engr. Saleh Al-Rasheed, the MODON executives and the executives of the executing companies.
This project is the largest among MODON's projects which provide electric power for five industrial cities under development, thus achieving MODON's Strategy to establish integrated serviced industrial cities. The most important service needed by industry is the electric power.
The first contract valued at 310 million with execution period of 26 months was signed with the Arab Company for Electric Equipment includes the construction of a central transmission plant, voltage 380/115/13,8 K v. in Dammam 3rd. Industrial City with a total capacity of 500 mega. v/ampere. The project includes the following works:
A set of switchgears, transformers, supply and installation of capacitors, supply and installation of (1) one reactor and all civil works and supporting facilities that are needed for the establishment of the plant building. Supply and installation of all equipment necessary for remote control, protection, communications and transfer of information (SCADA). The Saudi Electricity Company will link the new central plant of 380. KV by establishing the lines.
The second contract signed with Al-Jehaz Contracting Company valued at 260 million riyals, with an execution period of 26 months, includes the establishment of a 380/110/13.8. K.v. central transfer plant in Jeddah 3rd. Industrial City at a total capacity of 500 mega v/ampere. The project includes the following works: Set of switchgears, supply and installation of transformers, compensation equipment of non-effective power and capacitors, all civil works and supporting facilities needed for the establishment of the plant building. Linking the new plant with a 110 K.V aerial line, extended between Al-Shuaiba and Jeddah 2nd. Industrial City. Supply and installation of all equipment necessary for remote control, protection, communications and transfer of information (SCADA). The Saudi Electricity Company will link the new central plant of 380. KV by establishing the necessary aerial lines of 380K.v.
H.E the Minister of Commerce and Industry Dr. Tawfig Alrabiah and Director General of MODON Engr. Saleh Al-Rasheed signing the contracts
The third contract signed with Delta Contracting Company valued at 260 million riyals, with an execution period of 26 months, includes the establishment of a 132/13.8. K.v central transfer plant for Sudair City for Industry and business at a total capacity amounting to 120 mega K.v / ampere. The project includes the following works:
Set of switchgears, supply and installation of transformers, capacitors, and all civil works and supporting facilities needed for the establishment of the plant building, expansion of the switchboard, and voltage of 132 K.v in the existing plant No. 9011 with two switches to link the proposed aerial line. Supply and installation of all equipment necessary for remote control, protection, communication and transfer of information (SCADA) in the plant No. 9011, and the existing plant No. 8506 in Sudair Industrial City and the proposed plant.
The fourth contract signed with the Saudi Company for Electrical Services valued at 51 million riyals with execution period of 24 months, includes establishing approximately 40 km long 132 K.v double circuit aerial line, with approximately 1.5 km long ground cables from the existing plant No. 9011 to the proposed plant in Sudair City for Industry and Business. Establishment of approximately 4 km long 132. K.v. ground cables from the proposed plant to the existing plant in the Sudair Industrial City No. 8506.
The fifth contract signed with Al-Jehaz Contracting Company valued at 8,856,380 with an execution period of 7 months for the implementation of 13.8 K.v distribution network in Jazan Industrial City. The contract includes the design works and execution of 13.8 K.v electrical distribution network, including erection of 17 km long 15 Kv (3*300 sq.mm) copper cables and conducting all tests and inspections for all the works and fixtures.
H.E the Minister of Commerce and Industry Dr. Tawfig Alrabiah and Director General of MODON Engr. Saleh Al-Rasheed signing the contracts
As well as the sixth contract signed with FADAC Global Contracting Company valued at 8,424,600 riyals with and execution period of 7 months for the implementation of a 13.8 K.v distribution network, in Riyadh 3rd. Industrial City (Ha'ir). The contract includes the design works and execution of 13.8 Kv electrical distribution network, including erection of a 14 km long 15 Kv. (3*300 sq.mm) copper cables, and conducting all tests and inspections required for all the works and fixtures.
On this occasion the Director General of the Saudi Industrial Property Authority (MODON) Engr. Saleh Al-Rasheed announced that MODON's next project will focus on the completion of services and infrastructure, so that the existing industrial cities that are under development become integrated services cities.
The Saudi Industrial Property Authority (MODON) was established in 2001. MODON is responsible for the development of integrated service lands, where MODON has established industrial cities in various regions of the Kingdom and currently oversees 28 existing or underdevelopment cities which include: Riyadh (1st., 2nd. & 3rd.), Jeddah (1st., 2nd. & 3rd.), Dammam (1st., 2nd. & 3rd.), Makkah, Qassim 1st. , Al-Ahsa, Al-Madinah, Al-Kharj, Sudair, Ha'il, Tabuk, Ar'ar, Al-Jouf, Assir, Jazan, Najran, , Al-Baha, Qassim 2nd.,Taif, Al-Zulfi, Shaqraa, Hafr Al-Batin. There are cities under planning and designing stages as well, which include Salwa, Dhuba, Al-Baha 2nd., Military industries and Jeddah 4th. It is targeted that during the coming five years, the number of industrial cities shall reach 40 industrial cities with developed industrial lands of not less than 160 million square meters.
The existing industrial cities accommodate more than 3 thousand factories with investments exceeding 250 billion riyals and employing more than 300 thousand workers.
MODON is also responsible for creating ideal environment for developing and upgrading technology zones in the Kingdom of Saudi Arabia, where MODON is currently overseeing two technology zones and six private industrial cities.
The industrial cities have many economic advantages and incentives for attracting industrial, technical, service, residential and commercial projects. The annual rent of the land starts from one riyal per square meter. The cost of electricity, water and fuel is subsidized by the government with a tariff especially for industry. The government funds and banks provide soft loans to industrial enterprises of up to 75% of the capital, at a 20 years repayment period. In addition, there are other facilities to subsidize exports by providing exports warranty and customs duty exemption on imports of raw materials and machinery.
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