Abu Dhabi Power Corporation (ADPower) has announced the the lowest tariff for solar power in the world.
The 2 GW solar photovoltaic (PV) independent power producer (IPP) project, Al Dhafra solar PV project, to be located in Abu Dhabi has received, from the first-ranked bidder, the world’s most cost-competitive tariff for solar PV energy, at $1.35 cents/kWh (AED4.97 fils/kWh) on a Levelised Electricity Cost (LEC) basis.
The tariff is approximately 44% lower than the tariff that was set three years ago on the Noor Abu Dhabi project, which is Abu Dhabi’s first large-scale solar PV project.
The Al Dhafra project will have the capacity to power approximately 160,000 households across the UAE.
It is expected to be among the largest operational solar PV plants in the world, almost double the size of the Noor Abu Dhabi solar plant, which is approximately 1.2 GW.
Once operational, the Al Dhafra project will lift Abu Dhabi’s total solar power generation capacity to approximately 3.2 GW.
The project is expected to reduce the emirate’s CO2 emissions by more than 3.26 million metric tonnes per year, which corresponds to removing around 720,000 cars from the road, thereby achieving sustainability and efficiency.
The Al Dhafra project will include the financing, construction, operation and maintenance of the solar plant, including installation of solar PV modules, inverters, connection to the transmission network and associated facilities.
Commenting on the project, ADPower’s chief executive officer and managing director, Jasim Husain Thabet said: “Abu Dhabi’s water and electricity sector intends to play a critical role in meeting the target of having 50% of the emirate’s energy needs served from renewable and clean energy sources by 2030, as well as the reduction of the generation system’s average carbon intensity by more than 70%, compared to 2015. The Al Dhafra solar PV project will play a critical role in delivering these ambitions.”
Othman Al Ali, chief executive officer of Emirates Water and Electricity Company (EWEC), ADPower’s subsidiary which delivered a virtual read-out of five consortia’s technical and commercial bids for the project, said in a statement: “The cost-competitiveness of the bids received is truly remarkable – positioning Abu Dhabi as one of the world’s most attractive markets for solar energy development and reinforcing the economic benefits now achievable through renewable technologies.
We look forward to signing the Power Purchase Agreement and to delivering the project in Q2 2022.”
This information has been sourced from ConstructionWeekOnline. All rights and opinions thereof belong to the original source author/publisher. WASEL&WASEL does not purport to be affiliated with the news, its persons, or interests in any way unless explicitly stated so.
To request our assistance, please contact one of our Professionals.