Saudi’s SPPC, ACWA Power ink power purchase agreement for $450mn Ar Rass solar PV project in Saudi Arabia – ArabianBusiness

Saudi’s SPPC, ACWA Power ink power purchase agreement for $450mn Ar Rass solar PV project in Saudi Arabia – ArabianBusiness

The leading developer, investor, and operator of power generation, desalinated water, and green hydrogen plants, ACWA Power, has signed a power purchase agreement (PPA) with the Saudi Power Procurement Company (SPPC), the principal buyer, to develop the 700MW Ar Rass solar photovoltaic independent power plant (IPP) in Saudi Arabia’s Al Qassim province.

Valued at $450 million (SAR 1.7 billion), Ar Rass is the largest PV project that has been tendered as part of Saudi Arabia’s National Renewable Energy Programme (NREP) to date, for which ACWA Power has been earmarked to deliver 70 percent of the total 58.7 GW target.

The Ar Rass IPP is expected to reach financial close in Q4 2022. Under the terms of the agreement, ACWA Power will sell energy produced by the project to SPPC for a period of 25 years.