ACWA Power in agreement with Jordan for 61.3MWp photovoltaic project
Risha project expected to be completed by Q1 2019
ACWA Power has announced an agreement with the Government of Jordan to develop, finance, construct, own and operate a new 61.3MWp photovoltaic project in the province of Risha.
In a statement released by the company, it said that it had submitted a record-low tariff of JOD 42 fils per kWh, which is the lowest tariff for solar energy ever presented for a Jordan-based project, it said.
This tariff is 3.3% lower than the previous lowest tariff provided to Jordan with the Mafraq PV project, which has also been developed by ACWA Power, as part of the Round II of Proposals for Renewable Energy in Jordan.
Once the Risha project reaches its completion target in Q1 2019, it is expected that the plant will save c. 79,000 tons of CO2, while also powering 12,000 households.
“Today the kingdom of Jordan takes another step toward sustainable and enduring energy security. Under the leadership of His Majesty King Abdullah II, the country has set ambitious renewables targets that not only reflect our needs at present but also safeguard us for the future,” said Dr Ibrahim Saif, Minister of Energy and Mineral Resources for the Hashemite Kingdom of Jordan, who attended the signing ceremony at the World Future Energy Summit in Abu Dhabi.
“Energy projects are long-term by nature, and in selecting ACWA Power, we have partnered with a business that is invested in Jordan’s energy infrastructure. With Al Risha, ACWA Power is coming on board as an investor, as well as a developer, and that commitment reflects their continued confidence in Jordan’s political stability and economic viability,” he added.
The new photovoltaic facility is part of Jordan’s efforts to meet the needs of its population, with the demand for electricity in the country climbing by 7% per year, due to the population boom and increasing industrial needs.
At present, roughly 1,000MW worth of solar and wind projects are underway, with the country setting itself a goal of raising renewables generation capacity to 20% of the capacity of Jordan, and reaching 15% of the energy mix by 2020.
“The kingdom of Jordan has long recognized that renewable energy can offer safe, reliable power to the public. Together with our consortium, ACWA Power has facilitated the kingdom’s latest investment by applying our cost leadership and renewables expertise to the Risha facility. Once complete, the project will deliver solar energy at the lowest possible cost to 12,000 households,” said Mohammed Abunayyan, CEO of ACWA Power.
ACWA Power will develop the new clean energy plant alongside the existing CEGCO asset of the Risha 150 MW Gas Turbine Plant, utilising synergies from the existing plant to enhance efficiencies, the statement said.
“Access to energy is a bedrock of sustainable economic development, and we are proud to partner with Jordan on its journey to, not only 1,000 MW of renewable energy, but to the kind of risk reductions, job creation, and improved trade balances that can accompany greater energy deployment,” added Thamer Al Sharhan, chairman of CEGCO.
