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Assessment of the Political Feasibility of Developing a GCC Power Market

Author

Listed:
  • Paul Mollet
  • Imtenan Al-Mubarak
  • Brian Efird
  • Saleh Al Muhanna
  • Omar Al-Ubaydil

    (King Abdullah Petroleum Studies and Research Center)

Abstract

Countries in the Cooperation Council for the Arab States of the Gulf, commonly known as the Gulf Cooperation Council (GCC), established a regional power grid to support member countries’ high voltage networks in 2001 but, to date, the system has remained underutilized. The intended purpose of the grid was to provide backup electricity during emergencies caused by power system outages, especially during the summer, and to share spinning reserves, optimize capital investments in electricity and reduce fuel costs. The grid has been fully operational since 2011 and has satisfied its intended purpose. However, GCC member states have largely failed to take advantage of options associated with the grid to trade electricity. This paper uses the KAPSARC Toolkit for Behavioral Analysis platform, a model of collective decision-making processes developed at KAPSARC, to examine the political feasibility of expanding the utilization of the GCC grid to include trading electricity.

Suggested Citation

  • Paul Mollet & Imtenan Al-Mubarak & Brian Efird & Saleh Al Muhanna & Omar Al-Ubaydil, 2018. "Assessment of the Political Feasibility of Developing a GCC Power Market," Discussion Papers ks-2018-dp39, King Abdullah Petroleum Studies and Research Center.
    • Handle: RePEc:prc:dpaper:ks-2018-dp39
    DOI: 10.30573/KS--2018-DP39
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    File URL: https://www.kapsarc.org/research/publications/assessment-of-the-political-feasibility-of-developing-a-gcc-power-market/
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    Keywords

    Electricity grid; Electricity market; Gulf Cooperation Council (GCC);
    All these keywords.

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