DUBAI, UAE, April 15, 2018 /PRNewswire/ --
- DEWA and ACWA Power, in collaboration with Shanghai Electric,
will undertake the 700 MW CSP project in Dubai, the largest thermo-solar power plant in
the world
The Engineering, Procurement and Construction (EPC) agreement
with Shanghai Electric Generation Group (SEGC) for the DEWA (Dubai
Electricity and Water Authority) 700MW CSP project in Dubai was signed at a ceremony in China.
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(Photo:
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The project is the 4th phase of the Mohamed bin
Rashid Solar Park, the largest thermo-solar power plant in the
world. The agreement was signed in Shanghai in presence of representatives from
the Chinese government, the embassies of the United Arab Emirates, and the Kingdom of Saudi Arabia as well as senior
officials from DEWA, ACWA Power, the Silk Road Fund, Industrial and
Commercial Bank of China (ICBC), Bank of China, Agricultural Bank
of China and China Minsheng
Bank.
The project is in the process of concluding the financing
package. ICBC is acting as the mandated lead arranger and targeting
to approve USD 1.5 billion of senior
loan. This project is a flagship project for ICBC in supporting the
three major Chinese power equipment suppliers, namely Shanghai
Electric, Dongfang Electric and Harbin Electric, to 'go abroad' and
break through the sophisticated and established power market. ICBC,
Bank of China and Agricultural Bank of China will play an important
role in the financing of the project, providing almost 80% of
senior debt.
The EPC agreement pushes forward the development of the project,
which represents a 14.2 Billion AED (USD
3.87 Billion) investment. The project, which comes with a
record low tariff of just USD 7.3
cents per kilowatt hour (kW/h), will feature a combination
of a tower and parabolic troughs, which will collect heat and store
it in molten salt to supply electricity on demand during the day
and through the night. The CSP tower to be built at the site will
the world's tallest CSP Tower, at 260m.
"I am pleased to be here in Shanghai to attend the signing of the
Engineering, Procurement and Construction Agreement for the
completion of the fourth phase of the Mohammed Bin Rashid Al
Maktoum Solar Energy Complex," said DEWA MD & CEO of DEWA, HE
Saeed Mohammed Al Tayer. "This agreement builds on the strong ties
between our two countries, which were formed by our common values
and the commercial and economic interests that unite us."
"By signing this agreement, we have taken a significant step
towards starting the engineering and construction works. We are
committed to supporting Dubai's
Clean Energy Strategy through this project, which extends our
portfolio in the energy sector in Dubai," said ACWA Power Chairman, Mohammad Abunayyan.
ACWA Power President & CEO, Paddy
Padmanathan added: "Thanks to the Dubai Electricity and
Water Authority, this project proves the success and effectiveness
of implementing projects based on a public-private partnership
model. We are confident that signing the EPC agreement with
Shanghai Electric will secure the delivery of required work at the
highest standards."
Chairman of SEGC, Mr. Zheng
Jianhua, said: "This project presents an opportunity for
China, UAE and KSA to cooperate, promote and benefit in energy and
infrastructure development based on each parties' advantage in
equipment manufacturing, engineering, construction &
infrastructure, financing, project development and project
management."
The fourth phase of the Mohammed Bin Rashid Solar Park is set to
save 2.4 million tons of CO2 and half a million tons of natural gas
per year, eliminating the need to use foreign currency to import
this gas by substituting it with clean and renewable energy.
About ACWA Power:
ACWA Power is a developer, investor and operator of a portfolio
of power generation and desalinated water production plants
currently with presence in 11 countries including in the
Middle East and North Africa, Southern Africa and South East Asia regions. ACWA Power's
portfolio, with an investment value in excess of USD 30 billion, can generate 22+ GW of power and
produce 2.5 million m 3 /day of desalinated water to be mostly
delivered on a bulk basis to state utilities and industrial majors
on long term off-take contracts under Public-Private-Partnership,
Concession and Utility Services Outsourcing models.
ACWA Power, registered and head-quartered in the Kingdom of Saudi Arabia, is owned by seven
Saudi conglomerates, Sanabil Direct Investment Company (owned by
the Public Investment Fund of Saudi
Arabia), the Saudi Public Pensions Agency and the
International Finance Corporation (a member of the World Bank
Group).
ACWA Power pursues a mission to reliably deliver electricity and
desalinated water at low cost, thereby contributing to the social
and economic development of the communities and countries it
invests in and serves.
ACWA Power strives to achieve success by adhering to the values
of Safety, People and
Performance in operating its business.
About concentrated solar power (CSP)
Concentrated solar power systems generate solar power by using
mirrors or lenses to focus a large area of sunlight onto a small
area - unlike PV, which generates power through the photovoltaic
effect. Electricity is generated when the concentrated light is
converted to heat, which drives a steam turbine connected to an
electrical power generator.
For more information, visit http://www.acwapower.com , follow us
on Twitter @acwapower or contact:
Jon Barber
Director - Corporate Communications
22nd Floor, Nassima Tower
Sheikh Zayed Road
P.O. Box 30582, Dubai
United Arab Emirates
T +971-(0)4-509-1052
M +971-56-507-5710
F +971-(0)4-385-9625
acwapower.com