The Fourth Regional Power Trade Forum 2015, a platform dedicated for facilitate power trade opportunities between the regional markets, was opened today by Dr. Mattar Al Niyadi, Chairman of the Board of Interconnection Authority of the Cooperation Council for the Arab States of the Gulf (GCCIA), organisers of the annual event.

Participants reviewed challenges facing interconnection as well as solutions and efforts to create a clear roadmap to start energy trade between the six GCC states.

These challenges were identified as the absence of visibility and awareness of electricity costs and the benefits that can be achieved by power trading; energy price distortion due to varying levels of subsidies in GCC countries; differences in national energy policies; differences in local regulations towards cross-border power trading; differences in national power sector structure; and low number of market participants.

In opening remarks, Al Niyadi said, "Our aim is always to increase energy trade utilization in the region. We have succeeded in trading energy for stability and support, and we tend to start exchanging energy for over economic gains. This could lead us for further expansion to other markets in the future."

"We have discussed topics related to renewable energy, mainly solar, being the major focus for almost all regional markets," Al-Niyadi added.

Ahmed Ali Al-Ebrahim- CEO, GCCIA, said, "Optimal energy exchanges between the Member States through the GCC interconnection leads to a reduction of operation and maintenance costs. The value of the energy exchanges revenues are massive."

"In order to achieve the goal of economic energy exchanges, we should set a coordination plan of power production, and development of a electricity market through GCCIA. Succeeding in this could put the region on a higher global level in the energy sector, and will give us the opportunity to explore economic benefits from energy trade in the future," Al-Ebrahim added.

The event included three sessions on world energy transition, GCC Plan to deal with fuel subsidies, and pricing in light of subsidies and impact on electricity markets.

First held in December 2010, the Regional Power Trade Forum is aimed at initiating a GCC power market and establishing the regional power interconnection. 

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