Business & Finance Club Magazine - Industrial Sector - Qatar: HE the Deputy Prime Minister and Minister of Energy and Industry Abdullah bin Hamad Al Attiyah stressed on Tuesday that projects aimed at generating electricity, including the Ras Qurtas Power Stations and Mesaieed Power Station will provide the country with a surplus of electricity as from next year.

Addressing a press conference today on the sidelines of the inauguration of Mesaieed Power Station, HE the Deputy Prime Minister said the search is under way for how to optimize the use of this surplus to be exploited by either an increase in industrial projects that rely on electric power, or export, when there are real and negotiable offers.

The inauguration was attended by H.E the Minister of State for Energy and Industry Affairs Dr. Mohammed bin Saleh Al Sada, and Board Chairman of the Mesaieed Power Company Abdullah Hussein Salatt.

HE Al Attiyah described the Mesaieed Power Station, which produces 2000 MW, as a qualitative leap in the state stressing that economic development and progress is measured by the availability of energy sources. He said electricity shortage in many world countries has negatively affected their economic development.

Asked about whether the increase provided by the Mesaieed Power Station will pave the way for reportedly supplying one of the neighbouring countries with 500 megawatts, HE the Deputy Premier explained that any formal offers made by any party will be discussed by the State.

Work is under way for building the Ras Qurtas Station in the north of Qatar, as the region's largest plant, with a production capacity estimated to reach 2730 MW, HE the Deputy Premier said, pointing out that it is currently under construction with its first phase to be completed before the end of this year.

Regrading future projects in the field of electricity and water, since Qatar is poised for major projects and international events, HE Al Attiyah said KAHRAMAA interacts with the demand and supply and monitors the situation closely.

The Mesaieed Power Station, located in the Mesaieed Industrial City, is the third station of its kind that works as a separate power operator in the country with the capacity to produce maximum up to 2000 MW, and upon completion of the entire productive capacity, it would be able to generate one third of the electricity demand in Qatar.

The project was funded at a cost of about $ 2.3 by Japan's International Cooperation Bank, the Credit Agricole Corporate and Investment Bank in addition to a number of companies that have played a positive role in its funding.

The company has signed an agreement with KAHRAMAA for the sale of the entire output to KAHRAMAA for the first 25 years of its final operation, under this agreement; the Mesaieed power will supply KAHRAMAA with power capacity of 2000 megawatts.

The Mesaieed Power Company Limited, which was founded in January 2007 to increase the capacity of electricity generation in Qatar, is owned by Qatar Electricity and Water, Qatar Petroleum, Marubeni Company and Chubu Electric Power Company and is one of the largest producers of electricity in Qatar.