Requests for Proposals (RFPs) for the 1,500 MW Khazna Solar PV project in Abu Dhabi have been sent out by Emirates Water and Electricity Company (EWEC) to eligible developers and developer consortiums.
19 Firms and Partnerships Qualified for the RFP Stage
According to EWEC, a leading company in the integrated coordination of water and electricity planning, purchasing, and supply in the UAE, the RFP is being sent to bidders who passed the qualification process. This follows the expression of interest stage held in September last year.
According to Trade Arabia’s report, 19 firms and partnerships qualified for the RFP stage after submitting statements of qualification, of the total 27 companies and consortiums that submitted EOIs.
In order to assist businesses and consortiums in creating their responses, the RFP provided comprehensive specifications and suggested technical parameters for the project, according to the statement.
Khazna Solar PV Project is Part of a Bigger Plan
CEO of Emirates Water and Electricity Company (EWEC), Othman Al Ali emphasized that advancing solar PV technology is crucial in their efforts to reduce carbon emissions in the UAE, given its cost-effectiveness and low carbon footprint compared to other electricity generation methods.
He highlighted the significance of the Khazna Solar PV project as their fourth large-scale solar endeavour, marking a key step in their plan to increase solar PV capacity between 2027-2037, thereby aligning with the UAE's Net Zero by 2050 Strategic Initiative.
Al Ali expressed eagerness to collaborate with top-tier partners to leverage their expertise and innovation in building a cleaner and more sustainable energy landscape in Abu Dhabi and the UAE.
He continued, "We're excited to work on this project with world-class partners, bringing our knowledge and creativity together to create the groundwork for a cleaner, greener, and more sustainable energy landscape in Abu Dhabi and the UAE."
EWEC emphasized the importance of solar energy in achieving their goal of generating nearly 50% of electricity from renewable and clean sources by 2030. They highlighted its cost-effectiveness and its role in reducing carbon dioxide (CO2) emissions from electricity production.
The Project Raises EWEC’s Solar PV Capacity to 5.5GW
Once Khazna Solar PV becomes fully operational alongside Noor Abu Dhabi, Al Dhafra Solar PV, and Al Ajban Solar PV, EWEC's total installed solar PV capacity will reach 5.5 gigawatts (GW). This is expected to collectively reduce over 8.2 million metric tons (MT) of CO2 emissions annually by 2027.
Khazna's output will power around 160,000 homes throughout the UAE and is projected to cut CO2 emissions by over 2.4 million metric tons annually, equivalent to taking approximately 470,000 cars off the roads.
EWEC stated that the project's responsibilities encompass development, financing, construction, operation, maintenance, and ownership of the plant and its related infrastructure.
EWEC to Share Ownership with the Developer
EWEC explained in a statement that the successful developer or developer consortium will hold a maximum of 40% ownership in the entity, with the Abu Dhabi Government indirectly holding the remaining equity.
Additionally, as part of the arrangement, the developer will engage in a long-term power purchase agreement (PPA) with EWEC, the sole purchaser of power and water capacity and production in Abu Dhabi. As part of the arrangement, the developer will enter a long-term power purchase agreement (PPA) with EWEC, Abu Dhabi's sole power and water purchaser.
With a mandate to achieve clean energy targets outlined by the Abu Dhabi Department of Energy, EWEC drives initiatives to diversify the energy mix, deploying renewable energy and low-carbon water desalination capacities.