Yemen Monitor / Newsroom:
Saudi Arabia and Yemen signed an agreement on Tuesday for the supply of petroleum derivatives worth $150 million dedicated to operating electricity generation plants in areas under the control of the Yemeni government, in a step aimed at curbing the energy crisis and improving the stability of the electrical service.
The agreement was signed between the Yemeni Ministry of Electricity and Energy and the Saudi Development and Reconstruction Program for Yemen (SDRPY), in the presence of officials from both sides. It includes providing quantities of diesel and mazut to operate more than 70 power plants across a number of Yemeni governorates.
The Saudi support comes at a time when the country is facing mounting challenges in the electricity sector, with rising energy demand during the summer season and a decline in the operational capacity of many plants due to fuel shortages and financing constraints.
Yemeni officials said that the agreement will contribute to enhancing the continuity of the electrical service and reducing outage hours, which will reflect positively on the performance of service and economic sectors linked to energy, and alleviate the living burdens on the population.
The occasion also witnessed the signing of another agreement between the Ministry of Electricity and Energy, the Yemeni oil company “Petromasila”, and the Saudi Development and Reconstruction Program for Yemen, with the aim of supporting the sustainability of the company’s operations and enhancing its role in securing the fuel needs of the electricity sector.
According to the relevant authorities, the grant will be implemented under a monitoring and supervisory mechanism involving Yemeni government institutions to ensure that the petroleum derivatives are directed to the targeted power generation plants according to actual needs.
This grant is the latest installment of Saudi support for the energy sector in Yemen, following a series of previous grants dedicated to petroleum derivatives, which aimed to contribute to the stability of electricity supplies and support economic and service recovery efforts in the country.
