Acwa Power in deal to develop green projects in Uzbekistan
RIYADH, March 21, 2023
Acwa Power, a leading Saudi developer, investor, and operator of power generation, water desalination and green hydrogen plants worldwide, has signed three power purchase and investment agreements with Uzbekistan’s utility National Electric Grid of Uzbekistan and Ministry of Investment, Industry and Trade.
These include deals for the development of three solar photovoltaic (PV) projects in Tashkent and Samarkand and three Battery Energy Storage Systems (BESS) in Tashkent, Bukhara and Samarkand, with a total capacity of 1.4 GW of additional renewable energy and 1.5 GWh of additional battery storage capacity, said the statement from Acwa Power.
The Tashkent projects will include a 400 MW PV plant and 500 MWh BESS, while two 500 MW PV projects each and a 500 MWh BESS will be developed in Samarkand.
Another 500 MWh BESS will be located in Bukhara, and the project will include overhead transmission lines to help dispatch power to the grid, said the statement.
According to Acwa Power, these projects will play an instrumental role in achieving Uzbekistan’s ambitious targets to transition to a low-carbon economy as well as diversify its energy sources.
The Central Asian nation’s targets to reform the energy sector entail generating 35% of its electricity from renewable sources by 2030, equating to 15,000 MW divided into 10,000 MW of solar power and 5,000 MW of wind power.
Achieving this target will help offset 16 million tonnes of CO2 emissions a year, it stated.
By incorporating BESS into the grid, Uzbekistan will soon have the largest battery energy storage facilities in the region which will play a crucial role in stabilising the grid while promoting renewable energy in the republic, it added.
According to Acwa Power, the BESS will help to mitigate the effects of intermittency that are inherent in renewable energy sources.
They will store excess electricity generated during times of high production and make it available during periods of low production. This will ensure a constant and reliable supply of electricity to the grid, ultimately helping to meet the growing demand for energy in Uzbekistan, it stated.
On the strategic agreements, Chairman Mohammad Abunayyan said Acwa Power's expertise in green hydrogen, green ammonia, and clean energy has greatly strengthened its collaboration with Uzbek government.
"Our latest venture into BESS is a significant step forward in our partnership and a clear demonstration of our commitment to transform the energy landscape in the Republic," he noted.
"As the driver of the largest BESS projects in the region, we are fully equipped to stabilise the grid and accelerate Uzbekistan's renewable energy agenda. With our total investment commitments of $7.5 billion in energy projects, we are determined to remain a key partner in achieving Uzbekistan's energy diversification goals," he added.-TradeArabia News Service
