Construction

Coronavirus: Kuwait scraps plans for $1.4bn solar plant due to COVID-19 pandemic

Plant was originally planned for the Al-Shagaya renewable energy complex

Kuwait has cancelled plans to construct the Al Dabdaba solar plant, which would have provided 15% of the oil sector’s energy needs from renewable sources, due to the COVID-19 pandemic, it has been announced.

According to a Reuters report, the decision was taken following a cabinet meeting on July 13, after evaluating the project in the context of the risks associated with spreading the coronavirus and its impact on the global oil and financial markets.

The plant was originally planned to be constructed at the Al-Shagaya renewable energy complex, nearly 100 miles west of the capital city of Kuwait City, close to the Saudi Arabian border. Once completed, the project would have been one of the largest PV solar facilities in the region, generating 2,500GWh of electricity per year.

A report by Kuwait’s Alrai newspaper on July 5, 2020 said that the lowest bid for the project was $1.4 billion. It was set to be developed by the Kuwait National Petroleum Company. The project was initially planned to have its operational launch in February next year 2021, but it was repeatedly delayed due to bureaucratic procedures, the report added.

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