Progress Report on the GCC Electricity Grid Interconnection in the Middle East

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GULF COOPERATION COUNCIL INTERCONNECTION AUTHORITY Progress Report on the GCC Electricity Grid Interconnection in the Middle East by: Adnan Al-Mohaisen, GM, GCCIA Luc Chausse, Project Director, SNC-Lavalin S. Sud, V.P., SNC-Lavalin Power Engineering Society, Panel Session Tampa, 24 28 June 2007

Progress Report on the GCC Electricity Grid System Interconnection in the Middle East Project background The Interconnection Project Implementation Strategy Results of the Evaluation Process Role of the Owner s Engineer Progress of the Implementation Project schedule Other Activities of the GCCIA Conclusions 2

Project Background Gulf Cooperation Council (GCC) between Kuwait, Saudi Arabia, Bahrain, Qatar, United Arab Emirates and Oman formed in 1981 Recognized benefits of interconnection of electricity grids of the countries Initial study in mid-eighties Preliminary project definition study in 1990 confirmed technical, economic and financial feasibility, recommended formation of GCC Interconnection Authority GCCIA established in 1999 Project technical, economic and financial feasibility updated in 2003/04 Countries decided to self-finance project in 2004 Project tendered and awarded in 2005 3

GCC INTERCONNECTION PROJECT PHASE I Arabian Gulf States, Electrical Power Systems Interconnection Substation HVDC BK-BK Control Center 4

Phase I Development Plans Kuwait Saudi Arabia-ERB Bahrain Qatar Year of Interconnection 2008 Phase II Development Plans UAE Formation of Emirates National Grid Oman Formation of Oman Northern Grid Phase III Development Plans UAE Oman Year of Interconnection 2010 5

Conceptual Diagram of the Interconnection System SAUDI ARABIA SEC-ERB HVDC BACK-TO-BACK 1200 MW 1200MW KUWAIT AL ZOUR 400kV 292km AL FADHILI 400kV 114km 90km BAHRAIN GHUNAN 400 kv 288km 600MW JASRA 400kV 97km QATAR SALWA 400kV 200km 750MW DOHA SOUTH SUPER 400kV SHUWAIHAT 400kV 900 MW EMIRATES NATIONAL GRID AL OUHAH U.A.E. 220kV 52km 400MW OMAN OMAN NORTHERN GRID AL WASSET 220 kv 6

Phase I of the Interconnection Project A double circuit 400 kv, 50 Hz line from Al Zour (Kuwait) to Al Fadhili (Saudi Arabia) and associated substations A back-to-back HVDC interconnection to the Saudi Arabia 380 kv, 60 Hz system at Fadhili A double circuit 400 kv, 50 Hz line from Fadhili to Ghunan (Saudi Arabia) and associated substations A double circuit 400 kv link, from Ghunan, comprising overhead lines and submarine and land cable link to Al Jasra (Bahrain) and associated substations A double circuit 400 kv, line from Ghunan to Salwa (Saudi Arabia) and associated substations A double circuit 400 kv, line from Salwa to Doha (Qatar) and associated substations A Control Centre located at Ghunan 7

Phase III of the Interconnection Project A double circuit 400 kv, line from Salwa (Saudi Arabia) to Shuwaihat (UAE) and associated substations A double circuit 220 kv, line from Al Ouhah (UAE) to Al Wasset (Oman) and associated substations A single circuit 220 kv, line from Al Ouhah to Al Wasset and associated substations 8

Simplified Single-Line Diagram of the interconnection AL-ZOUR POWER STATION (KUWAIT) 2500 MW G1 G2 Al-Zour Substation 275 kv G8 Kuwaiti 275 kv network (6 Circuits) 3 x 650 MVA 400 kv 2 x 125 MVAR LEGEND Power Transformer with OLTC Shunt Reactor HVDC Converter Overhead Line Underground Cable Submarine Cable Note: All Substations are GIS, 1-1/2 Breaker Scheme Back-to-Back Converter Facility AL-FADHILI SUBSTATION (KSA) 292 km Al-Fadhili Substation 400 kv, 50 Hz 3 x 600 MW 2 x 125 MVAR 2 x 125 MVAR 380 kv, 60 Hz 4 x 750 MVA 114 km SEC-ERB 380 kv Network (7 Circuits) SEC-ERB 220 kv Network GCCIA Control Centre Ghunan Substation 288 km 4 x 125 MVAR 400 kv 40 km Ras Al-Qurayyah Substation Al Jasra Substation 42.5 km (Submarine Cable) Umm An Na-San Island 3 x 325 MVA 400 kv 2 x 125 MVAR + 2 x 300 MVAR Bahraini 220 kv Network (2 circuits) Al Jasra (Bahrain) 220 kv 2 x 150 MVA Bahraini 66 kv Network Salwa Substation 400 kv 4 x 125 MVAR Projected Phase III (Shuwaihat UAE) Doha South Substation 97 km Qatari 220 kv Network (4 circuits) Doha south 1 x 125 MVAR (Qatar) 400 kv 3 x 400 MVA Qatari 132 kv Network 2 x 150 MVA 220 kv 9

Phase I Implementation Strategy For implementation purposes the project was broken down into 13 discrete EPC contract packages. Six contract packages for the GIS substations One contract for the back-back HVDC station Four contracts for the transmission lines One contract for the land & submarine cable One contract for the control center (including telecommunications, control & protection) The contractors will work concurrently but independently from one another. The strategy enabled wide participation by international contractors in the shared implementation of the project. 10

Implementation Strategy GCCIA Owner s Engineer Contract Administration Contract Supervision & Coordination Contract Package 1 Contract Package 2 Contract Package..n Functional Relationships 11

Tendering Process Invitations to Tender based on FIDIC conditions for Plant and Design Build 5 Tenders received for GIS substations 3 Tenders received for back-to-back HVDC station 19 Tenders received for overhead transmission lines 3 Tenders received for submarine and land cable 4 Tenders received for control, protection & SCADA and telecommunication system 12

Results of Tender Evaluation Lowest evaluated tender awarded contract Six (6) GIS substations awarded to ABB Back-to-Back HVDC station awarded to AREVA - Cogelex Two overhead transmission lines awarded to NCC Two overhead transmission lines awarded to HEC MEEDCO Submarine & Land cable awarded to Prysmian/Nexans Control Centre, Protection & Telecommunications awarded to AREVA - Cogelex Tenders evaluated for Technical conformance and then Commercial evaluation was performed 13

Capital Cost of the Project (Phase I) M$US GIS Substations 400 kv Overhead Transmission Lines HVDC Back-to-Back Converter 222 280 206 Submarine and Land Cables Control, Protection & SCADA and Telecommunication System Total 343 28 1079 14

Project Management - Complexity 13 different EPC contract packages with facilities in four countries : Kuwait, Saudi Arabia, Bahrain and Qatar Client, GCCIA, in Al Khobar Engineer, SNC Lavalin, based in Montreal with resident team in Al Khobar EPC Contractors design teams located in several countries plus different site offices and sourcing of equipment from around the world Information flow and design approvals is a major issue between different design and site offices 15

Project Management Owner s Engineer PM is a complex task as it involves the following critical duties: Ensure the contract limits and interfaces are well specified Ensure that the documentation of the contractors are consistent and cross referenced Supervise the individual contract schedules to assure meeting the overall project schedule Facilitate the coordination between the individual contractors and the GCC member utilities Establish the overall control philosophy for the joint operation of the interconnected network Supervise the testing and commissioning of the individual substations as well as the interconnected systems Prepare weekly, monthly and quarterly progress reports 16

Progress of Implementation Design review of the GIS substations is well advanced and issues such as interfacing with existing substations and fitting into available space were addressed Work is progressing on the detailed design studies for the HVDC converters Design review is well advanced for the Transmission lines. Because of the environmental pollution it was decided to coat the insulators with silicone. The concrete mix for the foundations had to take into account the high salt content in the soil. A detailed survey of the submarine and land cable routes has been completed. Design review is underway for the Control Centre and the protection and telecommunication system 17

Add Pictures from sites 18

Project Schedule Update Technical and Economic Feasibility Approval of Project Financing Issue of Tender Documents Tenders Received Tenders Evaluated and Recommendation for Award Contracts Awarded Project Operation 2003 / 2004 May 2004 February 2005 June 2005 September 2005 November 2005 Early 2009 19

Other GCCIA Activities Define the organization of the GCCIA and prepare the Authority for the Operations Phase Develop the legal framework to govern the Ownership and Operations of the Interconnection Develop the Interconnection Agreements 20

Conclusions Project under-study since mid-eighties Agreement and participation required by six GCC countries Principal Issues that had to be resolved Demonstration of feasibility Agreement between countries Creation of the GCC Interconnection Authority Agreement on cost sharing and financing Implementation Strategy Adopted Project divided into work packages to ensure International competitive bidding Project is now under implementation Design review and approval process is underway Site work has been started 21

Approximate Route and Layout of the GCC Interconnection 22