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The Saudi energy ministry’s Renewable Energy Project Development Office (REPDO) has awarded its first solar photovoltaic (PV) project in Sakaka to Riyadh-based ACWA Power, it said in a statement on Tuesday.
Representatives from ACWA Power will sign the power purchase agreement (PPA) with the principal buyer, the Saudi Power Procurement Company (SPPC), on Feb. 7 in Riyadh.
“The development of the 300 megawatt (MW) Sakaka solar PV project is expected to involve a total private sector capital investment of about $300 million and will create job opportunities for more than 400 people,” Saudi energy minister Khalid Al-Falih said in the statement.
The REPDO last month said it had shortlisted ACWA Power and a consortium led by Japanese conglomerate Marubeni Corporation to develop the Sakaka solar project. The plant’s expected date of commissioning will be during 2019.
The Request for Proposals for the Sakaka project was issued in April last year. Eight bids were submitted by consortia led by international and regional renewable energy developers.
Saudi Arabia, the world’s top oil exporter, is increasing focus on renewable energy sources as it looks to diversify its energy mix and economy.
The Kingdom’s National Renewable Energy Program (NREP) targets 9.5 gigawatts (GW) of renewable energy by 2023 in support of the Vision 2030, with an interim target of 3.45 GW of renewable energy capacity by 2020.
Related News
Saudi Arabia to offer 20 investment opportunities in renewable energy: report |
Saudi Arabia shortlists ACWA Power, Marubeni for Sakaka solar project |
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