Khaberni - The Saudi Program for the Development and Reconstruction of Yemen has begun supplying oil derivatives to more than 70 stations distributed throughout Yemen. The shipments of the grant started today from the headquarters of the Yemeni oil company "PetroMasila", to be delivered to all the power generation stations in the Yemeni provinces, in accordance with the directives of the Saudi leadership.
The total volume of the oil derivatives grant amounts to 339 million liters of diesel and mazut worth $81.2 million US dollars. It comes with comprehensive and integrated governance to ensure the quantities reach the end beneficiary. A committee comprising several Yemeni entities was formed to supervise and monitor the distribution of the oil derivatives to the power stations based on the needs presented by the power generation stations in the Yemeni provinces.
The oil derivatives grant supports the electricity sector and enhances the living and social stability, and increases the capacity and efficiency of Yemeni institutions to enable them to continue providing essential services, operate production and service facilities, and support the development and economic recovery path in the Republic of Yemen.
The developmental significance of the grant lies in it being a comprehensive support tool that enhances the efficiency of government institutions, stimulates the Yemeni economy, and positively affects the improvement of services provided to the Yemeni brethren by enhancing the reliability of electric power in hospitals, medical centers, roads, schools, airports, and ports, and boosting economic and commercial movement.
According to a statement from the Saudi Press Agency SPA, the effects of this grant extend to include comprehensive financial, economic, and service dimensions, supporting Yemeni institutions such as the Central Bank of Yemen by reducing pressure on foreign currency reserves. At the level of the Ministry of Finance in Yemen, it eases the financial burden on the state's general budget related to fuel costs and operating the electricity sector. On the side of the Ministry of Electricity and Energy, the grant plays a pivotal role in ensuring the stability of fuel supplies to power generation stations and their continued operation, and in enhancing the efficiency and operational and production capacity of the stations.
It should be noted that an agreement was signed between the Yemeni Ministry of Energy and Electricity, the Yemeni oil company "PetroMasila", and the Saudi Program for the Development and Reconstruction of Yemen, on January 21, 2026; for the purchase of oil derivatives from "PetroMasila" by the program, enhancing the operation of national facilities in Yemen, operating vital Yemeni facilities, and activating the role of Yemeni companies as an active partner in the energy system, which contributes to enhancing the sustainability of electricity, positively reflects on the level of commercial and economic activity in Yemen, and contributes to enhancing living and social stability and supporting comprehensive development in Yemen.
It is worth mentioning that the Saudi Program for the Development and Reconstruction of Yemen has provided grants for oil derivatives, including a grant in 2018 worth $180 million, also a grant in 2021 worth $422 million, in addition to a grant in 2022 worth $200 million, as well as the current grant for the year 2026.
