After a grant of $422 million.. Saudi send oil derivatives grant to Yemen

The second batch of a new Saudi oil derivatives grant has been delivered to Al-Mahra in Yemen, the Saudi Development and Reconstruction Program for Yemen announced.

More than 70 power plants

The grant, which included 4,491,000 liters of diesel, comes as part of the Kingdom’s support for the Yemeni people, under the directives of King Salman and Crown Prince Mohammed bin Salman, to help provide oil derivatives to operate more than 70 power plants, the official Saudi Press Agency reported.

Grant of $422 million

The SPA statement said “It also comes as an affirmation of the Kingdom’s keenness to achieve security, stability and development for the Yemeni people, the latest of which was a grant of $422 million and was completed over a full year,”.

That contributed toward economic stability, strengthening the Yemeni government’s budget, raising the purchasing power of citizens, improving the security situation and the service sector, and increasing the average daily operational hours of power stations.

Oil derivatives grant

The previous oil derivatives grant provided by the SDRPY contributed to doubling the production capacity and reaching the 3,119 gigawatt-hours target during the stations’ operating periods.

It also helped cover the needs of power stations in Yemen, and increased the percentage of electric power sales by 20 percent compared to previous years, while the total increase in collection amounted to 41 percent compared to previous years.

It also contributed to limiting the depletion of the Central Bank of Yemen in foreign currency reserves to purchase oil derivatives to generate electricity from global markets, by reducing fuel selling prices from international prices for electricity generation by 79 percent for diesel fuel, and 94 percent for kerosene.

Moreover, the previous oil derivatives grant provided electric power to the 760,000 subscribers of the General Electricity Corp., with an average consumption of 37 kilowatt-hours per subscriber, benefiting 9,800,000 people.

Operating 70 power plants

The new Saudi oil derivatives grant will contribute to operating 70 power plants that directly operate hospitals, medical centers, roads, schools, government facilities, airports and ports.

It will also enhance commercial and economic movement, which contributes to improving all aspects of life throughout Yemen.

224 development projects

The Saudi oil derivatives grant is part of the support provided by the SDRPY, which has offered 224 development projects and initiatives across Yemeni governorates to serve citizens in seven main sectors, including education, health, water, energy, transport, agriculture and fishing.

It also aims to build the capacity of government institutions, in addition to helping aid other development programs.