A consortium led by Acwa Power and Gulf Investment Corporation has been named the preferred bidder to build and operate the 900MW 5th phase of the Mohammed bin Rashid Al Maktoum Solar Park by the Dubai Electricity and Water Authority (Dewa).
The park will generate solar power using photovoltaic (PV) solar panels based on the independent power producer (IPP) model, said a Wam news agency report.
Dewa has achieved a world record by receiving the lowest bid of $1.6953 cents per kilowatt hour (kW/h) for this phase. Dewa released the tender for the 5th phase in February 2019, and received 60 requests for qualifications, said Saeed Mohammed Al Tayer, managing director and CEO of Dewa.
"We are striving to achieve the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, to transform Dubai into a global hub for clean energy and green economy. We also support the Dubai Clean Energy Strategy 2050 to provide 75 percent of Dubai’s total power output from clean energy by 2050 and make Dubai the city with the lowest carbon footprint in the world. To achieve this, Dewa launched several leading renewable projects, including the Mohammed bin Rashid Al Maktoum Solar Park, the largest single-site solar park in the world. Using the IPP model, it will have a capacity of 5,000MW by 2030 with investments totaling Dh50 billion," said Al Tayer.
"The 900MW 5th phase of the solar park using PV solar panels based on the IPP model will become operational in stages starting Q2 of 2021. The project documents, Power Purchase Agreement (PPA), and financial close agreements will be signed in due course," added Al Tayer.
The projects at the Mohammed bin Rashid Al Maktoum Solar Park, the largest single-site solar park in the world, are of great interest to international developers and reaffirms investor confidence in the major projects that are supported by the Government of Dubai. Dewa has attracted huge investments to the UAE from the private sector and foreign banks, leading to increased cash flow to the economy of Dubai and the UAE. The Current total production capacity of solar projects at the solar park is 713MW. Dewa is building three other projects with a total capacity of 1,250MW. The 900MW 5th phase of the solar park will increase the production capacity to 2,863MW.