By Parag Deulgaonkar
ADWEA raises $872m to finance the project, scheduled for completion in Q2 2019
Abu Dhabi has awarded the construction contract for the $3.2 billion (AED11.74bn) independent solar power plant in Suweihan.
As the UAE focuses on harnessing renewable energy sources, the project is state utility provider Abu Dhabi Water and Electricity Authority’s (ADWEA) first entry into the sector. Abu Dhabi aims to generate 7 percent of its energy from renewables by 2020.
Speaking to reporters on Wednesday, ADWEA director general Saif Saleh Al Sayari said they have awarded the contract to build and operate the 1,177 megawatt plant – the world’s largest independent solar plant - to a consortium of Japan’s Marubeni Corp and China’s JinkoSolar Holding.
He said that the company has also raised $872m (AED3.2bn), comprising $650m (AED2.38bn) in debt and remaining $222m (AED815mn) raised in equity, to fund the project.
“Construction of the solar plant will commence immediately with scheduled completion in second quarter of 2019,” he said.
In March, Dubai opened the 200MW second phase of the $13.6bn (AED50bn) Mohammed bin Rashid Al Maktoum Solar Park.
Under its “Clean Energy Strategy 2050”, the emirate plans to increase contribution of clean energy in the total energy output to seven percent by 2020, 25 percent by 2030, and 75 percent by 2050.For all the latest energy and oil news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.