Saudi Arabia's ACWA Power has signed power purchase agreements (PPAs) and investment agreements (IAs) with Uzbekistan’s government to develop the 1.5GW Kungrad wind farm, formerly referred to as the Karakalpakstan Wind Independent Power Producer (IPP).
The wind farm shall comprise three 500MW wind power projects owned by three subsidiaries, namely ACWA Power Kungrad Wind 1, ACWA Power Kungrad Wind 2 and ACWA Power Kungrad Wind 3.
Each of the three projects will also incorporate a 100MW capacity battery energy storage system.
Regarded as the largest single-site wind farm in Central Asia to date, and one of the largest of its kind in the world, the wind farm is expected to reach an investment value of $2.4 billion.
Located in Kungrad district in Uzbekistan’s Karakalpakstan, the wind farm is expected to offset 2.4 million tons of carbon emissions per year. It will have minimum environmental impact due to the utilization of the latest mitigation technologies, including bird detecting technology, that combines cutting edge technology in both image sensors and software to prevent bird collision or fatality.
Uzbekistan’s Energy Minister Jurabek Mirzamakhmudov said: “It is my great pleasure to share an update on the progress of the Kungrad project.”
He affirmed that Uzbekistan is committed to delivering on policy goals to increase the renewable energy share of the country’s energy mix and reduce carbon emissions.
He underlined the country’s keenness to develop green energy and market reform.
Mirzamakhmudov pointed out that the Kungrad project is a milestone for the country’s wind industry and the new public-private partnership model, introduced by the far-sighted reforms of President Shavkat Mirziyoyev.
The wind farm in Karakalpakstan, which will be built by Uzbekistan’s reliable partner ACWA Power, will be another pillar of a sustainable and reliable energy system in Uzbekistan, the minister added.
The Kungrad wind farm will bolster the Uzbek government’s long-term strategy to diversify the country’s energy mix, which targets 8GW and 12GW of solar and wind capacity by 2026 and 2030, respectively.
“We are deeply honored to build upon our close partnership with the Republic of Uzbekistan as the nation continues to advance its decarbonization efforts, pursuing a strong shift towards renewable energy,” said ACWA Power Chairman Mohammad Abunayyan.
“The signing of key agreements for the landmark Kungrad wind farm project, which will set a new benchmark for sustainable energy development in the region, and the world, would have not been possible without the guidance of our visionary leadership and the trust and commitment of our partners from the Uzbek government.”
The project is expected to achieve financial close by 2024 and will be fully commissioned in 2027. When complete, the facility is expected to power 1.65 million households.
Caption: The Saudi Minister of Investment and his Uzbek counterpart attend the signing of power purchase agreements and investment agreements to develop the Kungrad wind farm. (Asharq Al-Awsat)
