Dewa signs power purchase deal for MBR solar park Phase V
DUBAI, April 30, 2020
Dubai Electricity and Water Authority (Dewa) has signed a 25-year power purchase agreement (PPA) for the fifth phase of the Mohammed bin Rashid Al Maktoum Solar Park with a capacity of 900 MW, supporting its efforts to achieve the Dubai Clean Energy Strategy 2050 to provide 75 per cent of Dubai’s total power output from clean energy by 2050.
This phase will use photovoltaic solar panels and will be commissioned in stages starting from the third quarter of 2021, said a statement from Dewa.
On completion, it will become the largest single-site solar park in the world, based on an independent power producer (IPP) model with a planned capacity of 5,000 MW in 2030.
In November last year, Dewa had announced the consortium led by Acwa Power and Gulf Investment Corporation as the preferred bidder to build and operate the fifth phase of the solar park.
The Dewa had achieved a world record by receiving the lowest bid of $1.6953 cents per kilowatt-hour for this phase and 60 Requests for Qualification from international developers for this project.
To implement the project, the Dewa had established Shuaa Energy 3 in partnership with the consortium led by Acwa Power and GIC. The Dubai utility owns 60 per cent of the company, and the consortium owns the remaining 40 per cent.
The project will use the latest solar photovoltaic bifacial technologies, which allows solar radiation to reach the front and back of the panels, with single-axis tracking to increase generation," remarked Saeed Mohammed Al Tayer, MD & CEO of Dewa after signing the agreement with Mohammad Abunayyan, the Chairman of Acwa Power, via video conferencing.
"At Dewa, we are guided by the vision and directives of HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai to make the emirate a global hub for clean energy and green economy. We are building major renewable and clean energy projects," stated Al Tayer.
"The current operational capacity at the solar park is 1,013MW from photovoltaic solar panels. We have 1,850MW under construction from photovoltaic and Concentrated Solar Power, with future phases to reach 5,000MW by 2030," he noted.
"The current operational capacity at the solar park is 1,013MW from photovoltaic solar panels. We have 1,850MW under construction from photovoltaic and Concentrated Solar Power, with future phases to reach 5,000MW by 2030," Al Tayer added.
On the key agreement, Abunayyan said: "The signing of today’s agreement is a testament to the robust strategic partnership we have established with the Dewa, which we are immensely proud of."
"The Mohammed bin Rashid Al Maktoum Solar Park is the most ambitious and largest project of its kind worldwide that aims to reduce the carbon footprint in Dubai and transform it into a global model in the clean energy and sustainable green economy," stated the top official.
Abunayyan said the delivery of the project reinforces the durability and competitiveness of Dubai’s economic landscape, which continues its steady and pioneering plans despite the current circumstances, and reconfirms the confidence and attractiveness of the investment environment that Dubai spearheads internationally.
"We are delighted to have been a reliable and trusted partner for Dewa’s ambitious goals. The fifth phase will witness a prosperous collaboration with Gulf Investment Corporation and Shanghai Electric which will undoubtedly mark a milestone in the renewable energy sector – not only at a regional level – but on an international scale as well," he added.-TradeArabia News Service
