The RFP is being issued to bidders who passed the qualification process following the Expression of Interest (EOI) stage that took place in September 2023. A total of 27 companies and consortiums submitted EOIs, while 19 companies and consortiums qualified for the RFP stage after submitting Statements of Qualification. The RFP provides detailed requirements and proposed technical parameters for the project to support companies and consortiums in developing their submissions.
Othman Al Ali, Chief Executive Officer of EWEC, said: “The development of solar PV is a strategic pillar in our mission to decarbonise electricity supply in the UAE, given that it is one of the most cost-effective and low-carbon intensive solutions for electricity generation. 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. We look forward to collaborating with best-in-class partners for this project, combining our expertise and innovation to lay the foundation for a cleaner, greener, and more sustainable energy landscape in Abu Dhabi and the UAE.”
Solar energy is integral to achieving EWEC’s target of producing nearly 50 per cent of its electricity from renewable and clean energy sources by 2030, given its low generation cost and its contribution to reducing carbon dioxide (CO2) emissions from the electricity generation process. Once fully operational, Khazna Solar PV – along with Noor Abu Dhabi, Al Dhafra Solar PV and Al Ajban Solar PV – will raise EWEC’s total installed solar PV capacity to 5.5 gigawatts (GW) and collectively reduce CO2 emissions by more than 8.2 million metric tonnes per year by 2027. Khazna alone will generate enough electricity for approximately 160,000 homes across the UAE and is expected to reduce CO2 emissions by more than 2.4 million metric tonnes per year, equivalent to removing approximately 470,000 cars from the road.
The Khazna Solar PV project will involve the development, financing, construction, operation, maintenance, and ownership of the plant and associated infrastructure. The successful developer or developer consortium will own up to 40 per cent of the entity, while the remaining equity will be held indirectly by the Abu Dhabi Government.
The developer will enter into a long-term power purchase agreement (PPA) with EWEC, the single buyer of power and water capacity and output in the Emirate of Abu Dhabi. The PPA will be structured as an energy purchase agreement whereby EWEC will pay only for the net electrical energy supplied by the plant.
Responses to the RFP are expected in Q3 2024. EWEC will then hold a public event to confirm the companies and consortiums who submit proposals.
