MUSCAT -- The Rural Areas Electricity Company SAOC (RAECO) has signed a contract with the Al Maha Petroleum Products Marketing Company SAOG for the supply of diesel for some of the power plants of the latter in Musandam and Al Wusta Governorates. The biggest project worth nearly 41 million was issued and awarded by the Tender Board and will be valid for the next two years starting from June 2013. In terms of volume, a whopping 300 million litres of diesel will be supplied for the total period of the contract.
"We have several contract and similar arrangements with various suppliers but this is the first of its kind and the biggest for its volume between RAECO and Al Maha", Hamed bin Salim al Magdheri, Chief Executive Officer, RAECO said. "The increasing demand for electricity in these areas has necessitated such a contract with Al Maha and we hope that this will add value to our services to the customers", he added. He further said the company has covered more than 3,600 kilometres of network last year and has plans to connect all the households near the mountainous and other difficult terrains by 2015 given the load development challenges are sorted out.
Ahmed Bakhit al Shanfari, General Manager, Marketing and Promotion, Al Maha Petroleum Products Marketing Company SAOG said, "We are happy to enter into an agreement with the RAECO to supply diesel fuel and it gives us additional opportunity to serve the major electricity generating company. This is one of the major contracts and tenders that the company won in the recent years which will have an exponential impact to the sales volumes and financial position of the company". "We are a major supplier to RAECO for a long time and we have a loyal relationship with the organisation", Muna Sultan al Hosni, Senior Manager-Marketing, Al Maha Petroleum Products Marketing Company SAOG said.
"We are sure that we can convert our loyalty into uninterrupted services to the company and it will reflect on our performance during the Q2". She further said that the necessary resources, logistics and manpower are being arranged to deliver the requirement of RAECO on time.
© Oman Daily Observer 2013
