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Diriyah Company Launches Major Substations to Power Giga-Project Growth

Diriyah Company Launches Major Substations to Power Giga-Project Growth

The Diriyah Company, in partnership with the Saudi Electricity Company (SEC), has inaugurated two major electricity substations to power the ongoing development of Diriyah and Wadi Safar, marking a significant milestone in the urbanization of one of Saudi Arabia’s flagship giga-projects. The announcement, made on January 6, 2025, via the Saudi Press Agency, details the activation of a 1707 MVA-capacity Bulk Substation and a 200 MVA-capacity Primary Substation, both designed to accelerate infrastructure growth while honoring the region’s cultural heritage.

Context and Background

Diriyah, a historic area on the outskirts of Riyadh, is being transformed into a major cultural and tourism hub as part of Saudi Arabia’s Vision 2030. Backed by the Public Investment Fund (PIF), the Diriyah giga-project aims to build residences for 100,000 people, create 178,000 job opportunities, and accommodate 50 million visits annually by 2030, contributing an estimated $18.6 billion to the nation’s GDP. The new substations are critical to enabling this vision, providing the electrical capacity needed for large-scale urban development.

Key Details of the Substations

The 1707 MVA 380/132/13.8 kV Bulk Substation, with a contract value of SAR605 million, will support first-phase developments including Diriyah Square, the Qurain Cultural District, and the Northern District. It is being implemented by SEC through Saudi Services for Electro Mechanic Works (SSEM), with an additional SAR316 million cabling contract awarded to Civil and Electrical Projects Contracting Company (CEPCO). The 200 MVA 132/33 kV Primary Substation, valued at SAR77 million, will serve as a primary power source for Wadi Safar, a prestigious development featuring the Royal Diriyah Equestrian & Polo Club and the Greg Norman-designed Wadi Safar Golf Course. A cabling contract worth SAR168 million has been awarded to DELTA contracting company to support its energization.

Implications for Sustainable Development

Both substations are designed to reflect Diriyah’s traditional Najdi architectural style, blending modern infrastructure with cultural identity. This approach aligns with Saudi Arabia’s broader strategy to preserve heritage while pursuing economic diversification. The projects also underscore the Kingdom’s commitment to reliable energy infrastructure, a key enabler for tourism, hospitality, and residential growth in line with international sustainability standards.

Vision 2030 Alignment

The launch of these substations directly supports Vision 2030 goals by providing the foundational infrastructure needed for Diriyah to become a world-class destination. As Saudi Arabia continues to modernize under the guidance of the Public Investment Fund, such projects demonstrate the Kingdom’s ability to merge cultural authenticity with advanced engineering, ensuring long-term economic and social benefits for both citizens and international visitors.

20 Questions

Q1. What is the Diriyah Company?

A1. The Diriyah Company is the developer behind the Diriyah giga-project in Saudi Arabia, focused on transforming the historic area into a cultural, tourism, and residential hub under Vision 2030.

Q2. What did the Diriyah Company announce on January 6, 2025?

A2. It announced the opening of two major electricity substations operated by the Saudi Electricity Company (SEC) to power development in Diriyah and Wadi Safar.

Q3. What is the capacity of the Bulk Substation?

A3. The Bulk Substation has a capacity of 1707 MVA, which will support large-scale urban infrastructure in the first phase of Diriyah’s development.

Q4. What is the capacity of the Primary Substation?

A4. The Primary Substation has a capacity of 200 MVA and will serve as a primary power source for the Wadi Safar development.

Q5. Who operates the new substations?

A5. The substations are operated by the Saudi Electricity Company (SEC), the national electricity provider.

Q6. What is the contract value of the Bulk Substation?

A6. The Bulk Substation contract is valued at SAR605 million.

Q7. What is the contract value of the Primary Substation?

A7. The Primary Substation contract is valued at SAR77 million.

Q8. Which companies are implementing the substations?

A8. The Bulk Substation is implemented by SSEM, and the Primary Substation by MAETEL contracting company, both under SEC oversight.

Q9. What architectural style do the substations feature?

A9. They are designed in the traditional Najdi architectural style to blend with Diriyah’s cultural heritage.

Q10. What is the significance of Wadi Safar?

A10. Wadi Safar is a prestigious development in Diriyah featuring hospitality assets, sports venues, and the Greg Norman-designed Wadi Safar Golf Course.

Q11. How many people will Diriyah accommodate?

A11. Diriyah is planned to build residences for 100,000 people.

Q12. How many job opportunities will Diriyah create?

A12. The project is expected to create 178,000 job opportunities.

Q13. How many annual visits does Diriyah aim for by 2030?

A13. Diriyah is projected to accommodate 50 million visits annually by 2030.

Q14. What is the projected GDP contribution of Diriyah by 2030?

A14. Diriyah is expected to contribute $18.6 billion to Saudi Arabia’s GDP.

Q15. What is Vision 2030?

A15. Vision 2030 is Saudi Arabia’s strategic framework to diversify its economy, reduce oil dependence, and develop public service sectors like tourism and infrastructure.

Q16. What is the Public Investment Fund’s role in Diriyah?

A16. The Public Investment Fund (PIF) backs Diriyah as one of its five giga-projects, providing investment and strategic oversight.

Q17. What areas will the Bulk Substation support?

A17. It will support Diriyah Square, the Qurain Cultural District, and the Northern District, among other first-phase assets.

Q18. What is the value of the cabling contracts for the substations?

A18. The Bulk Substation cabling contract is SAR316 million, and the Primary Substation cabling contract is SAR168 million.

Q19. Which companies are handling the cabling work?

A19. CEPCO is handling the Bulk Substation cabling, and DELTA contracting company is handling the Primary Substation cabling.

Q20. How do the substations reflect Saudi Arabia’s cultural identity?

A20. The substations integrate Najdi architectural elements, blending modern infrastructure with Saudi Arabia’s rich historical heritage to preserve cultural identity while building a sustainable future.


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