ACWA Power, PIF unit jointly invest $3.25bn in three solar projects

ACWA Power, PIF unit jointly invest $3.25bn in three solar projects

Saudi Arabia’s ACWA Power and a unit of the Public Investment Fund (PIF) have signed power purchase agreements with the Saudi Power Procurement Company to develop and operate three new solar projects in the kingdom. The new solar projects, which have a combined value of $3.25bn (SAR12.2bn), are part of the National Renewable Energy Program (NREP) which is led by the Ministry of Energy, with PIF mandated to develop 70 per cent of NREP’s target capacity. “The three new solar projects are part of PIF’s commitment to developing 70 per cent of Saudi Arabia’s renewable energy by 2030, in line with the National Renewable Energy Program,” said Mohammed AlBalaihed, head of energy & utilities at the PIF. “Renewable energy is one of PIF’s priority sectors, with a focus on unlocking the capabilities of promising sectors and enabling the private sector to enhance Saudi Arabia’s efforts in diversifying the economy.” ACWA Power and PIF’s unit the Water and Electricity Holding Company (Badeel) will jointly own the solar projects, which are expected to have a combined production capacity of 4.55 gigawatts (GWac) of renewable energy, powering around 750,000 households. “The Ar Rass 2, Saad 2 and Al Kahfah projects have a capacity