Ras Girtas Signs QR360 Million Long-Term Service Agreement with Mitsubishi Hitachi

Doha, October 14 (QNA) - Ras Girtas Power Company (RGPC) has signed a 15-year long service agreement with Mitsubishi Hitachi Power Systems Ltd. worth QR 360 million ($174,9 million). Addressing a ceremony organized by the company today on the occasion, Chairman of Ras Girtas Power Company Mohammed Nasser Al Hajri said that RGPC already has a long-term service agreement with Mitsubishi Hitachi that is gradually ending in the first quarter of 2019, and has now succeeded in signing a new 15-year long agreement with Mitsubishi Hitachi. He underlined that the agreement establishes strong and long-term relationships between Ras Girtas Power Company and Mitsubishi Hitachi Power Systems Ltd. For his part, Vice President of Mitsubishi Hitachi Akimasa Muyama stressed the strong relations between the two companies, noting that signing the agreement demonstrates the shared ability to provide clean, renewable and sustainable energy, as well as innovative solutions that benefit large-scale projects serving local economies. Meanwhile, CEO of Ras Girtas Power Company Abdulmajeed Al Reyahi said in remarks on the sidelines of the ceremony that the agreement provides long-term maintenance services to gas devices and spare parts and maintenance for Ras Girtas power plants. He noted that Ras Girtas is a 10-year-old company and has a specific agreement with Qatar General Electricity and Water Corporation (KAHRAMAA) for 25 years to provide electricity and water to meet the needs of the state only, adding that the company does not have new projects or expansion plans unless the demand is high, and that any future projects require the company to sign a new agreement with KAHRAMAA or add to the agreements already concluded. He said that the agreement signed today is the second agreement with Mitsubishi Hitachi so that the latter will provide maintenance services to meet the requirements of the remaining 15 years of the agreement between Ras Girtas and KAHRAMAA, after the 10-year phase ended. Under the agreement signed today, Mitsubishi Hitachi will provide all turbine maintenance, spare parts and logistics needs in cooperation with Ras Girtas, he added. CEO of Ras Girtas Power Company Abdulmajeed Al Reyahi said that the signing of the deal under the current circumstances came after the agreement on several elements, the most important of which was the keenness on implementing maintenance work within the State of Qatar, where all the logistical possibilities were ensured to be available within the State. Cooperation in this regard was made with many companies, such as Nakilat and Qatar Fuel (Woqod), in order to know the possibilities available, thus ensuring the implementation of all maintenance work within the State. He explained that all stations in Qatar will benefit from this agreement not only Ras Girtas. Before, the single turbine, which weighs between 60 and 80 tonnes, has been transferred to a neighboring country for maintenance every two to three years, while now under this agreement; the equipment will be maintained at Nakilat's workshops. This process will save about 10% of the cost of maintenance outside Qatar, he added, noting that although it is a small percentage, the maintenance work inside the country confirms the ability to do logistics internally and not relying on others. He highlighted the interest of local companies in providing all maintenance work within the state even if the financial return is less. On the other hand, CEO of Ras Girtas Power Company Abdulmajeed Al Reyahi underlined that the activity of power plants in Qatar was not affected by the siege, because the company has a clear strategy, providing spare parts and various equipment for maintenance to cover 6 months of consumption, and the company was able during that period to access many alternatives at lower prices and higher quality. Ras Girtas Power Company (RGPC) is a joint stock corporation established to increase Qatar's capacity of water and electricity. Located on the Ras Laffan coast, the plant puts out 2,730 megawatts of power and 63 MIGD of potable water, making it one of the largest facilities of its kind in the entire world. Ras Girtas output accounts for 30% of Qatar power capacity and 17.5% of the water capacity. (QNA)