Saudi Arabia to tender 4GW of renewable energy
The tenders will include 3.2GW of solar photovoltaic and 800 megawatts (MW) of wind energy split between eight projects
Saudi Arabia will this year issue tenders for 4 gigawatts (GW) of renewable energy projects as part of the kingdom’s wider push for sustainable power generation to meet growing electricity demand.
The tenders will include 3.2GW of solar photovoltaic and 800 megawatts (MW) of wind energy split between eight projects, according to Turki Al Shehri, head of renewable energy project development office at Saudi Arabia’s energy ministry.
The auctions will have two rounds. The first one will be for 250 MW of solar and will be initiated in the first quarter of 2018. The second round envisages tendering 3,000 MW of solar and the 800 MW of wind power capacity.
Al Shehri noted that the projects will continue to drive low-cost renewable energy, with the most recent bids received by the Kingdom including submissions between 0.0178 and 0.0336 cents per kilowatt hour.
He also noted that Saudi Arabia aims to reach export potential by 2019, and that the projects come as part of the country’s plans to produce 9.5 GW of renewable energy by 2023.
The Kingdom last year pre-qualified companies for the installation of 400 MW of wind power generating capacity in Dumat Al Jandal, the region of Al Jouf. Just recently, it shortlisted ACWA Power and a consortium led by Marubeni Corp (TYO:8002) to develop a 300-MW solar project in Sakaka, Al Jouf, as part of Round 1 of the National Renewable Energy Program (NREP).
Through NREP, Saudi Arabia seeks to have 3,450 MW of renewable energy capacity by 2020 and a total of 9,500 MW by 2023. It has also set a goal for 44% of its energy to come from renewables by 2050.