Our Gulf Electricity Network
Given the growing challenges related to energy security and the increasing complexity of electricity markets, cross-border power interconnections have become a key tool for enhancing the reliability of power systems and improving their operational efficiency. Numerous international experiences show that regional grid interconnections can help reduce the risk of large-scale outages, improve electricity load management, and enhance the efficient utilization of generation capacity. One of the most prominent examples in this field is the Gulf Electricity Interconnection Project, which represents one of the most significant cooperation initiatives among GCC countries in the electricity sector.
The idea of an electricity interconnection dates back to September 1982, when the first meeting of the undersecretaries of the ministries of electricity and water in the GCC countries was held in the Kingdom of Bahrain. Participants at that meeting agreed on the importance of studying the possibility of interconnecting the electricity grids among GCC member states. In the same year, the GCC General Secretariat commissioned a scientific team from King Fahd University of Petroleum and Minerals in Dhahran to study the interconnection of the Kingdom of Bahrain’s electricity grid with that of the Kingdom of Saudi Arabia, marking the first step in a long process of technical studies and institutional planning.
In 2001, the Gulf Electricity Interconnection Authority was established as a joint-stock company owned by the GCC member states and managed on economic and commercial principles, with its headquarters in Dammam, Saudi Arabia. The grid underwent several implementation phases, beginning with the interconnection of the electricity grids of the Kingdom of Bahrain, the Kingdom of Saudi Arabia, the State of Qatar, and the State of Kuwait, followed by the development of the interconnection between the United Arab Emirates and the Sultanate of Oman in preparation for connecting them to the main grid. In 2009, the first phase of the project was officially launched, followed by the operational phase of the interconnection with the United Arab Emirates in 2011, before the Sultanate of Oman officially joined the Gulf Electricity Interconnection Authority as a permanent member in 2014.
Experience over the past years has proven that this grid truly serves as a regional safety valve for the electricity systems of GCC countries. Instead of each country relying on large reserves of generation capacity to cope with emergencies, it has become possible to utilize the spare capacity available in other countries through the shared grid, which enhances the operational efficiency of electricity systems and reduces investment costs in the long term. The importance of the Gulf electricity interconnection is not limited to enhancing energy security; it also extends to the potential for developing electricity trade among countries in the region. Interconnected grids allow countries to purchase electricity from the least expensive sources or to utilize the surplus generation available in some countries during certain periods. Estimates indicate that the annual benefits of the Gulf interconnection network, including savings in installed capacity, investments, operating costs, and fuel, range between $200 million and $300 million annually.
Amid the rapid transformations taking place in the global energy sector, shared infrastructure is becoming increasingly important as it enhances the resilience of energy systems and improves their ability to adapt to technical and economic changes. The Gulf Power Interconnection Network is a key strategic asset for the GCC countries, as it supports the stability of electricity grids and enhances their reliability, in addition to its role in developing regional cooperation in the electricity sector and laying the groundwork for expanding electricity exchange among member states.
The experience of the Gulf electricity interconnection also reflects the GCC states’ ability to transform a shared vision into an integrated regional project. This initiative began as a technical concept more than four decades ago and evolved through successive phases of studies, planning, and joint institutional work, until it became one of the fundamental pillars of energy security in the Arabian Gulf today—a platform that supports enhanced economic cooperation and opens broader horizons for regional integration and sustainable development in the energy sector.
Note: This article has been automatically translated, the full article is available in Arabic.
Dr. Abdulla Isa Ahmed AlAbbasi, Director of Energy and Environment Studies Program
