(MENAFN- Arab News) The GCC Interconnection Authority (GCCIA) on Sunday began the 3rd Regional Power Trade Forum 2014 under the theme "Developing power trade through the GCC interconnector' in Abu Dhabi.

The inaugural session was attended by Matar Al-Neyadi undersecretary of the UAE Ministry of Energy and chairman of the board of directors GCCIA; Saleh Alawaji chairman of the board of directors Saudi Electricity Company (SEC) Saudi deputy minister for electricity; Adnan bin Ibrahim Al-Muhaisin CEO GCCIA; Daniel Dobbeni chairman of GO-15; Ahmed Al-Ebrahim vice president of operations GCCIA; Pierre Bernard managing partner Bernard Energy Advocacy as well as regional and international media representatives.

Al-Neyadi said that GCC electricity network could save up to $1800 million in fuel operating costs if GCC energy exchange is activated. He added that the GCC grid had prevented over 1072 incidents of power blackouts since 2009 through direct instantaneous transfer of required power across the grid thus avoiding losses that could have been triggered due to full and partial interruptions.

A recent economic report prepared by the GCC Interconnection Authority and submitted to the Electricity and Water Cooperation Committee (which comprises GCC electricity and water ministers) reports that the actual savings were even more of what was projected in the initial feasibility study of the project that has showed $5 billion in investments and $1800 million in fuel operating costs. These benefits included installing electrical generators using nuclear energy and expanding the use of renewable energy sources in GCC grid which reduce the capital cost per megawatt of installed capacity.

Al-Neyadi said the forum agenda will tackle several important topics including expertise in the evolution of power market in the GCC and international case studies in power trading from as well as the restructuring of the power sector in Gulf region and the development of local energy markets.

The forum includes discussion of the potential held by the winter and summer seasons for the electricity grid and efficient steps to activate the electricity trade market immediately. A series of recommendations will be announced on the concluding day (Monday Sept. 29) including effective steps for developing power trade in the GCC and updating the action plan to facilitate market exchange between members of the GCCIA.

According to Al-Neyadi recent studies estimate the volume of economic savings resulting from the activation power trade to reach optimal utilization of production capacities in the GCC countries to about $1800 million over 25 years.

'The 3rd Regional Power Trade Forum organized by the GCC Interconnection Authority is part of the GCCIA's continuous efforts to identify those economic opportunities and provide a platform to exchange ideas and knowledge between specialists and experts to identify the best practices to initiative and develop of power trade between the GCC countries and beyond' he added.

Alawaji applauded the efforts of GCCIA on the work followed up by the technical committees to achieve sustainable development and maximum efficiency through clear bilateral contracts. 'We support the GCCIA approach and we are committed to further cooperation between members to achieve electricity savings in the coming years' Alawaji said:

Al-Muhaisin said: 'We are discussing a new business strategy based mainly on efficiently utilizing excess capacity which contributes to good results most notably the rationalization of production and operation costs.'

Al-Ebrahim said: 'GCCIA is very keen to find state of the art services with global operational standards to be a revenue resource on its own. This is reflected in organizing this forum which happens at a time when all GCC countries are seeing growth in their economic sectors. We are discussing the latest trends followed in the European Union Central America and East Asia in this field and there are serious steps to implement what is the most convenient for the GCC.'

The forum features speakers including Fatima Al-Shamsi assistant undersecretary Ministry of Energy UAE; Rene Gonzalez executive director ROE SIEPAC; James Matthys-Donnadieu COO APX Group CEO Belpex; Tan Liang Ching VP EMC-Singapore; Daniel Dobbeni chairman GO-15; and Pierre Bernard managing partner Bernard Energy Advocacy.

Some other sessions will be addressed by Nick Carter director general Regulation and Supervision Bureau Abu Dhabi; Mohamed Al-Flasi MD ADWEC; and Ahmed Al-Jahdhami CEO OPWP-Oman.

Topics at the forum include the role of TSOs in initiating a regional power market cross-border power trade in central America experiences in development of regional power markets restructuring of the power sector in the GCC region evolution of regional GCC power market developing national power markets in the GCC winter and summer opportunities for the GCC power sector and the role of the GCCIA as a market facilitator.

The first day of the forum highlighted that the GCC is moving quickly in the fields of water and electricity cooperation through adopting various policies and programs. The next phase requires closer cooperation and concerted efforts to achieve integration in electricity connectivity among Gulf countries.