KUWAIT, Dec 24: Kuwait has postponed to January 2, the closing date for bids to build up to eight gas turbines as the first step of a major plan worth some $2.5 billion, industry executives said on Monday.

Germany’s Siemens AG, General Electric of the United States, France’s Alstom SA and Mitsubishi of Japan are all expected to compete for the project to boost Kuwaiti power generation in the face of anticipated shortages in 2003.

The deadline was originally scheduled to close in mid-December but was extended by three weeks. Kuwait is seeking an additional 1,000 megawatts by the year 2004.

The Kuwaiti requirement called for gas turbines of 100-160 megawatt each, with 500 megawatts coming online in the summer of 2003 the remaining 500 megawatts are due the following year.

The country will face power cuts in the summer of 2003 if this project is not implemented. There will be shortages and the government is working to tackle the problem, a Western diplomat closely following the project told Reuters.

Electricity consumption soars during the blistering summer months when temperatures in the shade exceed 50 Celcius (125 Fahrenhiet) and many residents use air conditioners throughout the day.—Reuters