(MENAFN- The Peninsula) The Peninsula
Qatar is set to generate 500 megawatt solar power by mid-2020 as the land for the project has already been allocated and the project cost will be around $500m.
Qatar Electricity and Water Company (QEWC) has said that an area of land has been allocated for the project in Al Kharsaah, which is set to produce 500 to 1,000 MW. It will cost a total of nearly $500m in its the first phase with a capacity of 500 MW.
'The project will complete on time and expected the production to stand at 500 MW by mid-2020, said QEWC General Manager and Managing Director Fahad Hamad Al Mohannadi.
He was addressing a press conference yesterday to sign a VIP and international express post services contract between the company and Q-Post. Fahad Hamad Al Mohannadi said that investor companies will be named soon, with global firms taking part as well so as to support the diversification-based Qatari economy.
Al Mohannadi added that more than 92 percent of Umm Al Houl project, which is due to be ready in 2018, is complete. The project will produce 2,500 MW of electricity, 130 million gallons of water and will provide 25 percent of the country's needs in this sector making it one of the biggest projects in the region with a total cost of nearly $3bn.
He touched on the Facility E project, also known as Ras Rakan, which QEWC has announced and will provide 2,000 to 2,500 MW of electricity and 100 million gallons. At $3bn, the mega project will cost nearly the same as Umm Al Houl.
Al Mohannadi stressed that Qatar is not reliant on anyone in terms of electricity production, the fuel required for electricity production and the chemicals that the electricity and water production sector needs.
Al Mohannadi said that the electricity sector in Qatar is fully independent and the country depends on its own resources in this regard.
Al Mohannadi signed the contract along with Q-Post Chairman and Managing Director Faleh Mohammed Al Nuaimi. Al Mohannadi said signing the contract with Q-Post is related to supplying important and urgent materials for QEWC, noting that any company has a material control system that classifies materials into processing long-term materials, medium-sized materials for specific purposes, and small-sized materials that are constantly purchased.
Each of these classification, he said, requires services, adding that Q-Post will greatly assist QEWC in express delivery of materials as purchases are now done online but the delivery requires a regulatory role, which Q-Post will assume.
He highlighted the importance of Q-Post explaining that QEWC has six companies operating in Ras Laffan, Mesaieed, Umm Al Houl, Ras Abu Funtas and Dukhan and they need materials delivered to their locations and some suppliers don't know the locations or the names of companies and they insist on delivering to a specific location where companies can then go to collect their shipments. Q-Post will find a mechanism for electronic communication that helps in following up on the locations to which the materials are delivered.
These steps will help in reducing the need for storage that cost companies money and might lead to the expiry of some materials. It will also drive down the cost of insurance on inflammable materials, Al Mohannadi said. The new system might eventually cancel the storage system completely and introduce an electronic system that provides materials through global suppliers, making the global market act as warehouses, he added, noting that Q-Post will play a major role in this process.
For his part, Al Nuaimi said the services that Q-Post will provide for QEWC will help in facilitating and accelerating the process of shipment delivery and will enhance the importance of achieving integration among national companies so as to promote the Qatari economy and serve the goals of Qatar National Vision 2030.
He added that Q-Post will provide shipping and supply services for QEWC in order to drive down the costs by obtaining prices that make it possible to offer the services easily and at competitive cost.
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