Kuwait Awards KD 48.6M Power Transmission Contract for Al-Shaqaya Solar Project

Introduction

Kuwait has taken a major step forward in strengthening its renewable energy infrastructure with the award of a high-value power transmission contract. The Ministry of Electricity & Water & Renewable Energy has awarded the tender for the 400 kV overhead transmission line project connecting the Al-Shaqaya solar power station to Al-Subiya power plant. The contract was secured by Power Grid General Trading and Contracting LLC following the tender meeting held on March 5, 2026.

Contract Details and Scope

The contract, valued at KWD 48,667,991, represents a significant investment in Kuwait’s energy transmission network. Issued under Tender No. W K M /48/2022/2023, the project focuses on the supply and installation of 400 kV overhead transmission lines.

The infrastructure will connect the Al-Shaqaya (Z) SGRE solar power conversion station to the Al-Subiya 2-SWPS power generation station, ensuring efficient evacuation and integration of renewable energy into the national grid. The scope includes engineering, procurement, construction, and installation of high-voltage transmission systems.

Entities Involved

The procuring authority, the Ministry of Electricity & Water & Renewable Energy, plays a central role in Kuwait’s national strategy to diversify energy sources and expand renewable capacity.

The winning bidder, Power Grid General Trading and Contracting LLC, has demonstrated its technical expertise and capability to execute complex power infrastructure projects. Although details of competing bidders were not disclosed, the contract award reflects a competitive procurement process aligned with government regulations.

Strategic and Economic Significance

This contract award is a key milestone in Kuwait’s transition toward cleaner energy. The Al-Shaqaya solar complex is one of the country’s flagship renewable energy projects, and the transmission line is critical for integrating solar-generated electricity into the grid.

The project is expected to:-

• Enhance grid reliability and capacity
• Support Kuwait’s renewable energy targets
• Reduce dependence on fossil fuels
• Enable efficient power distribution across regions

From an economic standpoint, such government contracts contribute to infrastructure development, job creation, and long-term energy sustainability.

About the Contractor

Power Grid General Trading and Contracting LLC is a recognized player in Kuwait’s power and infrastructure sector. The company has been involved in multiple government contracts and awarded tenders, specializing in transmission and distribution projects.

Winning this contract further strengthens its position in the regional energy infrastructure market and highlights its ability to deliver large-scale, technically demanding projects.

Technical and Procurement Insights

Projects involving 400 kV transmission lines require advanced engineering capabilities, strict compliance with safety standards, and high-quality materials. The procurement process likely included rigorous technical evaluations, financial assessments, and adherence to international power transmission standards.

Such infrastructure is essential for handling high-capacity electricity flow, particularly from renewable energy sources like solar power.

Conclusion

The award of this transmission line contract marks a significant development in Kuwait’s procurement news and energy sector. As the project moves into execution, it will play a crucial role in supporting the country’s renewable energy ambitions and modernizing its power infrastructure.

This awarded tender not only strengthens Kuwait’s energy grid but also sets the stage for future investments in sustainable power projects across the region.

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