ENGIE wins 30 MWp solar PV contract in KSA
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Firm to build solar plant for ENGIE the National Agricultural Development Company (NADEC)
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ENGIE says it has been successful in a bid to provide Saudi Arabia’s National Agricultural Development Company (NADEC) with a dedicated solar power plant.
NACEC describes itself as one of the leading foods, dairy and beverage companies in the MENA region and had requested bids for a 30 MWp solar PV facility in NADEC City, in the Haradh region (265 kms South-East from Riyadh) “with the primary objective of supporting its energy transition process.”
“We would like to congratulate NADEC for taking this exciting step in its energy transition ambitions, and we are extremely proud that this project constitutes the first utility scale corporate PPA project in the Kingdom with a direct contractual relationship between a developer and an end-customer,” said Sebastien Arbola, CEO, ENGIE Middle East, South & Central Asia and Turkey.
ENGIE said in a statement that the project includes the development, and overall ownership, operation and maintenance of the solar PV plant on a BOO (build, own, operate) basis for a duration of 25 years.
The development will be constructed on NADEC land and connected to the existing NADEC electricity grid. Construction is planned for 12 months and the commercial operation date is scheduled by the end of October 2020.
ENGIE, with its extensive qualifications in solar energy facilities, will be performing the EPC (engineering, procurement, construction) scope for the project and will be subcontracting construction activities to locally experienced contractors. Operations and maintenance of the project will be executed by ENGIE.
“As part of ENGIE’s strategy to deliver world class integrated energy services to major industrial entities that are committed to guaranteeing value to its customers, this project will contribute greatly to achieving NADEC’s sustainability objectives by allowing them to significantly reduce their fuel consumption requirements,” the firm said in the statement.
Turki Al Sheri, CEO of ENGIE in Kingdom of Saudi Arabia added: “We are very proud to partner with NADEC on this unprecedent step in showcasing the reality of achieving economically driven solar prices, reducing liquid burning, attracting foreign direct investments, and creating local jobs for the Nation. Thanks to a combination of our strong regional experience and our worldwide expertise in designing, constructing and operating solar PV power plants, we have been successful in developing an extremely competitive proposal that will meet the needs of major Saudi industrial companies, such as NADEC, whom are committed to balancing the domestic power mix whilst ensuring that emerging Saudi talent is working at the forefront of renewables.”