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Friday, Oct 03, 2025

Saudi Electricity Co. signs contracts worth $720m to implement smart grid projects 

Saudi Electricity Co. signs contracts worth $720m to implement smart grid projects 

The Saudi Electricity Co. signed two contracts at a combined value of SR2.7 billion ($720 million) with a Chinese and a Saudi company for a project to supply and install 60,000 smart devices to the Kingdom’s electricity distribution network, the Saudi Press Agency reported. 
The project also involves connecting the country’s distribution network with advanced control centers over the next two years as SEC looks to automate and develop electrical networks in line with its digital transformation strategy. 

The first contract valued at SR1.5 billion was signed with China Electric Power Equipment and Technology Co. for supplying and installing more than 33,000 smart devices for the electric grid in the central and eastern regions.  

Al Gihaz Contracting Co. is the second company with which SEC signed a deal worth SR1.2 billion to supply and install more than 23,700 smart devices in the western and southern regions. 

SEC CEO Khaled Al-Gnoon said that these contracts will be followed by more projects in the future as the company continues to work toward achieving smart grid targets.  

This is part of the company’s strategy to contribute to improving the efficiency and quality of electrical services in the Kingdom as SEC wants to ensure ease of fault detection and faster processing. The company also wants to shorten the duration of electrical disconnection and raise the level of customer satisfaction, as well as ease of control and monitoring of the network remotely.  

The CEO insisted that these projects are in line with the goals outlined under Vision 2030 as the Kingdom aims to transform its energy system into smart grids through digital transformation. These are to be achieved through the implementation of electrical grid automation projects for enhancing the reliability of the electric grid, increasing operational efficiency, and improving electrical services provided. 

In October, SEC signed another deal with logistics firm Bahri to enhance cooperation across their supply chain operations. SEC said the deal is set to pave the way for greater supply chain sustainability while further enabling local content and enhancing national industry capabilities. The deal is also expected to promote investment opportunities and the exchange of knowledge and expertise.  
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