Masdar, Jinko, and TAQA to Develop UAE’s 2 GW Al Dhafra Solar Project
The tariff discovered for the project was $0.0135/kWh
The Emirates Water and Electricity Company (EWEC) announced that it has awarded the 2 GW Al Dhafra solar PV project to a consortium comprising Abu Dhabi National Energy Company (TAQA), Masdar, JinkoPower, and EDF.
EWEC replaced the earlier Abu Dhabi Water and Electricity Company (ADWEC) that was merged within the Ministry of Energy in 2018. EWEC said that it signed the power purchase agreement (PPA) and shareholder agreement with the consortium led by TAQA and Masdar. The company said that it set the tariff for solar energy at United Arab Emirates Dirham (AED) 0.0497 (~$0.0135)/kWh based on the levelized cost of electricity.
The financial closure of the projects is expected to take place in the third quarter of 2020, according to the company’s press statement. In this project, Masdar and TAQA will own 60%, while JinkoPower and EDF will own the remaining 40%, it added.
According to the company’s press release, the project would be located approximately 35 kilometers from Abu Dhabi city, and the project would expand Abu Dhabi’s solar power capacity to approximately 3.2 GW. The solar project could help reduce carbon dioxide emission by nearly 2.4 million metric tons annually, it added.
“We are working to secure long-term energy supply and reinforce solar power’s integral role in meeting current and future energy needs. Combined with key technological advances, the Al Dhafra Solar PV project will have a significant impact on diversifying the approach to our current electricity supply, and drive our strategic plan to further contribute towards sector’s transformation in water and electricity production, as we develop low-carbon grid in the UAE,” said Othman Al Ali, Chief Executive Officer of EWEC.
In February 2019, the Emirates Water and Electricity Company had invited expressions of interest for the development of a 2 GW solar power project at Al Dhafra.
Due to the spread of coronavirus (COVID-19) pandemic, the Emirates Water & Electricity Company had previously postponed the planned public opening of the commercial tariffs for the Al-Dhafra solar project.
Image credit: Jinko Power