KUWAIT CITY, Oct 19: The State Audit Bureau (SAB) confirmed that it has no objection to extending its approval for the Supreme Council for Privatization to evaluate the assets of Shuaiba North Power Generation and Distillation Station at a cost of KD 170,000 and carry out the procedures for privatizing the station at a cost of KD 1.2 million.

The newspaper obtained a copy of SAB’s letter to the council, emphasizing the need to take into account the commitment to Clause Eight of its circular no. 6/2018 on the rules and regulations that entities under its supervision must follow when submitting to prior oversight and adhering to the guide for preparing tender documents, draft contracts, commitments and agreements subject to prior oversight.

Sources point out this is an important step towards privatizing a vital station affiliated with the Ministry of Electricity in line with its development policies; which include involving the private sector in the development plan, increasing the electrical energy production capacity, and preparing the business environment. Sources revealed the station has a production capacity of 875.5 megawatts through three gas turbine units, each of which has a capacity of 220 megawatts; in addition to a steam turbine with a capacity of 215.5 megawatts.

Sources affirmed all of the station’s units are ready for operation according to the requirements of the electricity grid. Sources added the council is adopting the privatization of two projects -- first is the North Shuaiba Station and second is a strategic study on the privatization of the main workshops of the ministry. Sources explained such a move is aimed at raising the level of productivity of the private sector, generating national income away from oil, detailed roadmap for the privatization process, and defining ways to raise the operational efficiency of the main workshops.

By Mohammad Ghanem
Al-Seyassah/Arab Times Staff