According to the terms of the PPA, the consortium will design, finance, build, and operate the Al Ajban solar plant to be located 70km north-east of Abu Dhabi
EWEC awards contract to an international consortium for the 1.5GW Al Ajban solar PV IPP in UAE. (Credit: Masdar)
Emirates Water and Electricity (EWEC) has awarded contract for the development of the 1.5GW Al Ajban solar photovoltaic (PV) independent power project (IPP) in the UAE to an international consortium.
The consortium comprises EDF Renewables and Korea Western Power (KOWEPO), and Abu Dhabi Future Energy Company (Masdar) acting as the local shareholder.
EWEC and stakeholders also signed a power purchase agreement (PPA) for the utility-scale solar power plant.
According to the terms of the PPA, the consortium will design, finance, build, and operate the Al Ajban solar plant. It is structured as an energy purchase agreement under which EWEC will pay only for the net electrical energy supplied by the facility.
EWEC chairman Hamad Al Hammadi said: “This agreement stands as a testament to the successful ecosystem of world-leading renewable projects in the UAE, reflecting the country’s commitment to accelerating the decarbonisation of the energy sector.
“We take pride in supporting this ambition by procuring renewable technologies and utility-scale solar PV projects, helping to set the pace for global sustainability initiatives and meet the targets set during COP28.”
To be located in Al Ajban, 70km north-east of Abu Dhabi, the solar PV project is expected to produce sufficient clean energy to supply electricity to 160,000 homes across the UAE.
Besides, the Al Ajban solar plant is expected to mitigate Abu Dhabi’s carbon emissions by 2.4 million metric tonnes annually.
The solar power plant is slated to begin commercial operation in Q3 2026, with financial close for the project expected in Q3 2024.
Once completed, the Al Ajban project is expected to establish the UAE as the site for four of the world’s largest single-site solar power plants, with three of them situated in the emirate of Abu Dhabi.
UAE Minister of Industry and Advanced Technology Sultan Al Jaber said: “The UAE was the setting for the historic UAE Consensus achieved at COP28 and it is fitting that this latest ambitious solar power project will make our nation home to four of the largest single-site plants on the planet.”