DUBAI: A consortium led by Abu Dhabi’s Masdar has started construction of a solar power plant in Jeddah, after reaching financial close on the project.
The consortium, which includes France’s EDF Renewables and Saudi Arabia-based Nesma Company, announced it will start construction of the 300-megawatt utility-scale plant that will begin operation next year.
The plant is locared in Third Jeddah Industrial City, 50 kilometers southeast of Jeddah.
“Saudi Arabia is fast developing into a global renewable energy player, and Masdar will continue to work closely with the Saudi government and our partners here to help the Kingdom achieve its clean energy transition,” Masdar chief Mohamed Jameel Al-Ramahi said in a statement.
The Kingdom’s Renewable Energy Project Development Office awarded the consortium the project after it had submitted the most competitive bid of SR60.9 ($16.2) per megawatt hour, the companies said.
The new plant forms part of Saudi Arabia’s clean energy strategy, where it wants to diversify its power mix and aims to generate 50 per cent of its electricity from renewable sources by 2030.
Crown Prince Mohammed bin Salman earlier signed seven power purchase agreements for new solar plants in Saudi Arabia following the inauguration of the Sakaka plant.
Saudi environmental initiatives raise the bar for action ahead of climate summitsIndia’s L&T wins order for world’s biggest solar power plant in Saudi Arabia