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UAE's state-owned water and electricity supplier Emirates Water & Electricity Company (EWEC) has opened the request for proposals (RFP) round for the Khazna Solar Power Plant in Abu Dhabi.
A total of 19 companies and consortiums will compete with their technical and financial bids to win the auction for 1.5 GW PV capacity in the Al Khazna area.
EWEC says these companies and consortiums qualified for the RFP stage out of 27 names that submitted their expressions of interest (EOI). It had launched the EOI for this project in September 2023 (see Bidders Sought For Abu Dhabi Solar PV Plant).
The winners will be tasked with the development, financing, construction, operation, maintenance, and ownership of the plant and associated infrastructure. They will own up to 40% stake in the 1.5 GW project while the Abu Dhabi government will indirectly hold the remaining share.
As the single buyer of power and water capacity and output in Abu Dhabi, EWEC will enter into a power purchase agreement (PPA) which will be structured as an energy purchase agreement wherein it will pay only for the net electrical energy supplied. EWEC aims to expand the share of clean energy in its portfolio to 60% by 2035.
Launched on April 16, 2024, proposals to this call will be accepted till Q3/2024, says the EWEC.
The Al-Khazna project, once online, is expected to generate enough clean energy for close to 160,000 homes in the UAE and reduce carbon emissions by more than 2.4 million metric tons/year, according to the utility.
"As our fourth utility-scale solar project, Khazna Solar PV is a significant milestone in our planned development of new solar PV capacity between 2027-2037 to lead the UAE's transition to a sustainable future in alignment with the nation's Net Zero by 2050 Strategic Initiative," said EWEC CEO Othman Al Ali.
Along with the Noor Abu Dhabi, Al Dhafra and Al Ajban solar projects, the Khazna facility will raise its total installed solar PV capacity to 5.5 GW, says EWEC. The 2 GW Al Dhafra project was commissioned as the world's largest single-site PV project in November 2023 (see 2 GW Al Dhafra Solar Plant Commissioned In UAE).