Qatar: Kahramaaa awards QR1.3bn contract |
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DOHA: Qatar general Electricity and Water Corporation (Kahramaa)Qatar general Electricity and Water Corporation (Kahramaa)
yesterday awarded a three year call off contract worth QR 1.296bn to Riyadh Cables and Metals for the supply of high voltage power cable supply, the single largest KahramaaKahramaa's order for cables so far. Under call off contracts, the supplying company stores materials at its warehouse to be directly delivered to KahramaaKahramaa's contractors within two days of the supply order.Vice Chairman of KahramaaKahramaa
, Issa Shaheen Al-Ghanim and Chairman of Riyadh Cables GroupRiyadh Cables Group of Companies, Hikmat Zaim signed the contract at KahramaaKahramaa headquarters. Al Ghanim said the supply order is meant to meet KahramaaKahramaa's increasing need of power cables due to the rapid urban development Qatar is currently witnessing. The cables which are used for power transmission rather than distribution will be laid throughout the country where required, he said. Studies are being conducted by Qatar Petroleum (QP) to establish a manufacturing unit for cables but it is not yet clear whether this would be for high voltage cables, Al Ghanim told reporters when asked whether there was plans to set up such a company given that KahramaaKahramaa was purchasing power cables from overseas. "One of the issues that one needs to make sure of is that before setting up a company there will be a long term demand," he said. He added that demand for high voltage cables has been increasing for the past seven years. As to whether inflation has affected demand for power supply since the construction industry has been affected, Al-Ghanim said: "KahramaaKahramaa's plans at the moment do not indicate any decline in demand for power supply. However, at this moment we are reviewing the demand figures.
Given the financial crisis, there might be some projects that are being delayed or cancelled. If this is the case then there might affect the demand for power, thus we need to revise that. We are in a stage of reviewing these numbers again." Al Ghanim also said the projects for laying Extra High Voltage (EHV) power cables and the development of the first ever submarine cables were on track.
© The Peninsula 2009
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