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SAUDI ARABIA

 

Electricity & Co-Generation Regulatory Authority (ECRA)                    


Basic Information:

Title

Electricity & Co-Generation Regulatory Authority (ERCA)

Established in

2002

Organizational structure

ECRA is supervised by a Board of Directors chaired by the Minister of Water and Electricity, with the Governor of the Authority as deputy chair, six members from senior government officials representing the ministries of Water and Electricity, Finance, Petroleum & Mineral Resources, Commerce & Industry, Economy & Planning, and the Saline Water Conversion Corporation (SWCC); and five members selected on their own merits.

Number of Commissioners

1

Number of staff

130

Budget

Is financed through License fees

Responsibilities

The Authority's Charter has charged it with a number of specific responsibilities. Article 3 of the Charter lists sixteen specific responsibilities that fall into four major groupings:

1.       Supply Matters: dealing with license issuance, monitoring of license compliance, development of unified utility accounting procedures, coordination of organized infrastructure, and a services expansion plan.

2.       Consumer Issues: dealing with tariff assessments and their periodic review, stakeholder protection, investigating and resolving complaints by involved parties, improving sector performance, and in coordination with the Ministry of Water and Electricity, promoting energy conservation measures.

3.       Technical Issues: developing technical standards of performance for each electrical activity, monitoring compliance with the standards, ensuring adequacy of the industry's R&D activities, and other relevant technical matters.

4.       Organizational and Administrative Tasks: defining public interest, development of regulations for infrastructure expansion, encouraging private sector investments, assessing licensing fees and penalties for non-compliance with licenses and/or the Authorities orders, and issuance of periodic reports by the Authority to the Council of Ministers on cost and tariffs of electricity services.

Authorities

ECRA’s mandate covers the regulation of the electricity and water desalination industry in order to ensure that the services of the industry are adequately provided to the country at the lowest prices consistent with high quality and reliability.

Legal basis

Electricity Law promulgated by Royal Decree no. (M/56) on 22 November 2005.

 

Market Information – 2015:

Population

30.77 Million

GDP

2,795 billion SAR

Generation

Installed capacity 76,839 MW

Electricity Market Size

281 TWh

Net Electricity Import

Currently, the GCCIA link is being used mainly for reserve sharing. In future, it is plan to use this link for commercial transfers also.

Natural Gas Consumed for electricity generation

1506 T BTU

Natural Gas Imported

0

Electricity Market Structure

Saudi Arabia has a single vertically integrated electricity company, Saudi Electricity Company (SEC), that owns most of the generation, all of the transmission and virtually all of distribution capacity, except in the industrial city of Yanbu where Marafiq is responsible for generation, transmission and distribution of electricity. However, there are a number of other generators, IPPs and IWPPs that are producing power and sell to SEC or supplying isolated loads. Some of the large consumers also have internal generation (Captive Generation) that is used to feed a large portion of their own load. There are also several entities who produce desalinated water and steam.

Natural Gas Market Structure

National Gas & Industrial Company

Current Electricity Issues

ECRA has prepared an electricity industry restructuring plan. The major milestones of the plan includes unbundling SEC from a vertically integrated monopoly by organizing the generation and distribution into separate business lines and creating a separate transmission company operating independently of the generation and distribution activities.

 



Contact Information:
Address: PO Box 4540; Riyadh 11412; Kingdom of Saudi Arabia
Tel.: +966112019000
Web: www.ecra.gov.sa/english/index.htm

 

  Annual Report

 
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