ACWA Power’s unit inks purchase agreement for SAR 1.7bn solar plant

ACWA Power’s unit inks purchase agreement for SAR 1.7bn solar plant

Riyadh - Mubasher: The subsidiary of International Company for Water and Power Projects (ACWA Power), Ar Rass Solar Energy Company, has signed a power purchase agreement (PPA) with the Saudi Power Procurement Company for a 700-megawatt (MW) photovoltaic power project in Al Qassim.

Under the 25-year contract, Ar Rass Solar Energy will develop, construct, and operate the SAR 1.7 billion plant in Saudi Arabia, according to a recent bourse disclosure.

ACWA Power was awarded the Ar Rass PV Solar project after submitting the lowest bid of 5.62 halala/KWh.

The company will own a share of 40.1% in the project.

The financial impact is expected to appear once the project’s commercial operations commence in the fourth quarter (Q4) of 2024.

The project was offered by the Saudi Ministry of Energy as part of the Kingdom’s national renewable energy programme.