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Aden electricity decides to terminate diesel-powered rental energy contracts

Aden diesel power plant (local media)

Last updated on: 18-02-2025 at 9 PM Aden Time

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Aden (South24)


The General Electricity Corporation in Yemen announced on Monday, February 17, the immediate termination of diesel-powered rental energy contracts and extensions in the city of Aden.


An official circular, issued by the corporation to rented energy providers, stated that the decision to end contracts is based on a government directive, in light of what the corporation described as "current financial and economic challenges", which led to difficulties in procuring fuel for rented power plants.


The document indicated that the contracts signed with the supplying companies are no longer financially sustainable, which prompted the authorities to take a decision to stop working with them as of February 29, 2025. The corporation also stressed the need to coordinate with the relevant authorities to ensure that the electricity services provided to citizens are not affected.


A source in Aden Electricity told 'South24 Center' that the rented power plants supply Aden with about 100 megawatts. It is not yet clear how the Yemeni government will compensate for this loss in generation capacity.


Over the past period, the government has spent hundreds of millions of dollars annually on rented power plants, according to the source.


So far, the government-owned PetroMasila power plant, the largest in Aden, is still operating at less than half of its capacity of 264 megawatts, generating between 90-100 megawatts due to lack of fuel supplies.


This station and other power stations have stopped working completely several times in the past weeks due to the stoppage of fuel supplies from Hadramout as a result of the ban imposed by the tribes confederacy.




Yesterday (February 17), the Hadramout Tribes Confederacy announced that it would allow the usual daily amount of crude oil to pass to Aden starting from February 22, with the approach of the holy month of Ramadan.


The Hadramout Tribes Confederacy is demanding the implementation of service, economic and political solutions for Hadramout Governorate. The Yemeni Presidential Leadership Council (PLC) previously announced a matrix of solutions, but has so far failed to implement them or determine a mechanism for them.


Power outages in Aden have lasted for days on end, coinciding with a historic decline in the value of the Yemeni rial against foreign currencies, which led to protests in Aden and the governorates of Lahj and Al-Dhalea.


South24 Center

South24 Center



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