Asharq Al-awsat English Middle-east and International News and Opinion from Asharq Al-awsat Newspaper

Gulf Consortium Signs Solar PV Power Project Agreements in Oman

Gulf Consortium Signs Solar PV Power Project Agreements in Oman

Sunday, 5 May, 2019 - 06:30
On the sidelines of signing agreements between ACWA Power, Gulf Investment Corporation and Alternative Energy Projects Company in Oman (Asharq Al-Awsat)
Dubai - Asharq Al-Awsat

A consortium composed of Saudi Arabia-based utility developer ACWA Power, Kuwait’s Gulf Investment Corporation (GIC) and Alternative Energy Projects Company (AEPCo) signed a contract and agreements with the Oman Power and Water Procurement Company (OPWP) to develop a 500-megawatt solar PV power plant in Ibri, Oman.

It will be developed on a BOO (build, own, operate) basis, which includes the development, finance, construction and operation of the solar power plant.

The project, dubbed Ibri-2 Independent Power Producer (IPP), will be the first utility-scale solar power project in Oman and will utilize Solar PV technology to yield 500MWac of power.

It is the first project of its kind within the privatization of electricity generation and desalination projects in Oman.

OPWP awarded the project to the winning consortium following an international competitive tendering process that included 12 qualified bidders, according to information released Saturday.

The winning consortium submitted the best economic tariff for the electricity that will be sold to OPWP.

The innovative design of the plant will ensure the highest efficiency, reliability and availability standards for any comparable plant in the world.

At peak generation capacity, the plant output will be enough to supply an estimated 33,000 homes with electricity and will offset 340,000 tons of carbon dioxide emissions a year.

“We applaud the government of Oman for their ambitions related to renewable energy and diversifying the country’s power mix as evidenced by the scope of this project and its future potential in supporting the Sultanates economy,” said President and CEO of ACWA Power Paddy Padmanathan, commenting on the award.

“It is an honor to have been trusted with the delivery and operation of the Ibri II Solar PV IPP based on our reputation for winning world-record power projects with the best tariffs as well as our expanding renewable portfolio,” he said, expressing that his company looks forward to collaborating with its partners and Omani stakeholders to successfully complete this project.

“Our winning bid for Ibri II Solar PV IPP is a continuation of the progress ACWA Power is making in developing and securing our clean energy footprint in the region,” said Rajit Nanda, chief investment officer of ACWA Power.

Division Head of Financial Services & Utilities of GIC Meshary al-Judaimi, for his part, said GIC is a successful co-developer of utilities' projects in the GCC.

“With this project, we are proud to develop alternative and clean utility-scale solar energy project in the GCC,” he explained.

“Winning Ibri-II project reinforces GIC role in supporting private sector participation in the development of the GCC economies.”

The winning consortium “demonstrates the ability of GCC companies to compete with their international counterparts to provide a competitive solution in renewable and sustainable energy,” stated General Manager of AEPCo Dr. Hassan Qassem.

“This project also demonstrated the Sultanate of Oman’s long term vision in sourcing renewable energy and encouraging investment in the sector,” Qassem added.

Editor Picks