ACWA Power has raised $10 billion to fund its renewable energy projects globally, including large-scale solar facilities
The largest share of $6 billion financing will support its Saudi Arabian projects under NREP, which are contracted with SPPC under long-term agreements
Deals with major global and regional banks span Saudi Arabia, Africa, and Central Asia
ACWA Power, the Saudi Arabia-based power generation and water desalination company, has signed a series of financing agreements worth $10 billion to advance its renewable energy and storage projects across various geographies.
The largest chunk of this financing, $6 billion, will come from a group of lenders for its Saudi Arabian renewable energy projects under the country’s National Renewable Energy Program (NREP). To be developed in partnership with Badeel, the projects will comprise 12 GW solar PV capacity spread across 5 projects. These will supply Saudi Power Procurement Company (SPPC) with clean energy under long-term power purchase agreements (PPAs) (see SPPC Inks 15 GW Renewable Energy Deals In Saudi Arabia).
Financing for this portfolio will come from both domestic and international lenders, including Ajman Bank, Al Masraf, Alinma Bank, Arab National Bank, Bank Al Bilad, China Construction Bank, China Minsheng Bank, Emirates NBD, Eurobank, First Abu Dhabi Bank, HSBC, Industrial and Commercial Bank of China, and KfW Development Bank, among others.
Another $1.8 billion project financing was agreed with a consortium of lenders, comprising international banks and equity partners, for ACWA Power’s Samarkand Solar and Battery Energy Storage Project (BESS) in Uzbekistan, with a combined 1 GW PV and 1.3 GWh storage capacity. The European Bank for Reconstruction and Development (EBRD) is among the lenders (see EBRD Funding 1 GW Solar PV & 1.3 GWh Storage In Uzbekistan).
ACWA Power also signed key deals for clean energy in Africa. It has partnered with the International Finance Corporation (IFC) for up to $1 billion in project financing and to explore an equity platform for small renewable and desalination projects with a focus on Sub-Saharan Africa. The OPEC Fund will provide up to $450 million in financing support, while a deal with Chariot Limited aims to develop renewable and gas-to-power projects across Southern Africa. The remaining financing will go to ACWA Power’s wind energy facilities in Uzbekistan.
