The contract, which is the first of its kind ever received by Siemens from the Middle East country, involves construction of the Alon Tavor and the Ramat Gabriel natural gas-fired power plants in northern Israel.

The company will be responsible for managing the turnkey construction of the two power plants, along with delivering one SST-300 industrial steam turbine, one SGT-800 industrial gas turbine and the SPPA-T3000 control system for each project.

RD Energy, an Israel-based energy provider, is the customer for the two natural gas-fired power plants, which will feature steam extraction system.

Siemens Israel Power and Gas Division country division lead and CEO Shmuel Fledel said: "We are now supplying our first entirely combined cycle plants to an Israeli independent power producer.

"This is a good opportunity to establish ourselves in the country as a supplier of turnkey power plant solutions and services."

Upon completion, the Alon Tavor power plant will deliver electricity and process steam to a creamery while Ramat Gabriel power plant will supply electricity to a fiber factory.

Scheduled to be commissioned in the middle of 2018, the two power plants will have electrical capacity of 70MW each.

Siemens plans to manufacture the gas turbines in Brno, Czech Republic and Finspong, Sweden.

Nearly 40% of the total power generation capacity in Israel is based on Siemens technology.

Image: A Siemens-built SGT-800 gas turbine. Photo: courtesy of Siemens.