TaiyangNews Managing Director Michael Schmela engaged in an insightful conversation with EVP for Innovation and New Technology at ACWA Power, Thomas Altmann, as part of the TaiyangNews & SNEC 2024 – Solar Leadership Conversations series. They discussed ACWA Power’s strategic direction in the solar sector and its innovative collaborations in China.

ACWA Power, a Saudi-based developer, investor, co-owner, and operator of a substantial portfolio of power plants, marks its 20th anniversary this year. Initially focused on fossil power plants and desalination, the company has swiftly transitioned to renewables, boasting a portfolio exceeding 50 GW, with more than half dedicated to renewable energy. Additionally, ACWA Power is the world’s largest private desalination company, setting the stage for future integrations of solar, batteries, and desalination to produce green water.

China has long been an important partner for ACWA Power. Over the past two decades, the company has leveraged Chinese technologies and contractors to execute some of the world’s largest projects in combined cycle, solar, and desalination. Recently, ACWA Power’s strategy has evolved to include collaborations with startups and technology-based companies, tapping into new pools of innovation and talent. This shift shows ACWA Power’s commitment to disruptive innovation, making China an essential hub for technological advancement.

One of the highlights of the conversation was the discussion of the Innovation Challenge, a partnership with SNEC and the China Business Council (CBC). This initiative aims to harness external resources and ideas, providing a platform for innovative solutions in hydrogen, desalination, batteries, and solar technologies. Altmann expressed excitement about the high-quality submissions received and announced that the finalists would be presented at an awards dinner, with the final award ceremony scheduled for next week in Munich.

ACWA Power’s R&D collaboration is another significant focus. Altmann explained that the company started by working with EPC contractors but soon realized the need for more innovative solutions. By increasing their technical team and challenging EPC bids, ACWA Power identified areas for improvement and began developing unique solutions. This approach has grown into a dedicated function within ACWA Power, involving engagements with startups, universities, and the innovation ecosystem, including risk capital providers. The goal is to support startups through the “valley of death,” providing bridge financing and development assistance in exchange for exclusivity on successful technologies.

Altmann also highlighted ACWA Power’s recognition as a member of the Group Open Innovation (GOI) Program by Shanghai’s Pudong New Area Government. This membership coincides with the opening of ACWA Power’s R&D Center in Shanghai, enhancing their visibility and collaborative potential with top Chinese companies to develop world-class technologies.

Discussing the development of technologies suited for Arabian climatic conditions, Altmann noted that Chinese manufacturers, as global players, supply products to diverse climates. ACWA Power collaborates with these manufacturers to create customized modules for the Middle East. By providing specific conditions and collaborating closely with R&D departments, they aim to optimize modules for the unique climate, enhancing energy generation.

The reception of these initiatives has been positive. Initially met with surprise, Chinese partners soon recognized the opportunity presented by ACWA Power’s substantial market presence, particularly with the company’s ambitious target of 100 gigawatts in the coming years. This volume, combined with innovative ideas, facilitated the signing of MOUs and the advancement of customized solutions.

In conclusion, ACWA Power’s efforts to drive innovation and collaboration in the solar sector are commendable. Their strategic partnerships and commitment to developing tailored technologies for diverse climates underscore their role as a pioneering force in the renewable energy industry.

Click here to watch the full interview with Thomas Altmann on the TaiyangNews YouTube Channel.