300MW Solar PV Project: Contract award expected in Jan. 2018

By Davis Thattil | Nov 19, 2017
The Renewable Energy Project Development Office (REPDO) at the Ministry of Energy, Industry and Mineral Resources (MEIM) recently held the bid opening ceremony for the Sakaka 300 MW solar PV project, the first project in the National Renewable Energy Program (NREP). The opening of bids revealed the commercial potential for the first competitively tendered utility-scale solar project in the Kingdom. The commercial viability of utility-scale solar energy projects is a corner stone of the program and the offers received will set the benchmark for this burgeoning new industry in the Kingdom and beyond” said His Excellency Khalid Al Falih, Minister of Energy, Industry and Mineral Resources.

REPDO will now evaluate the bids received to verify compliance with the requirements of the RFP Bidders will be shortlisted by 28th November 2017 and the project will be awarded to the winning consortium on 27 January 2018, backed by a 25-year power purchase agreement. The financial closing date will be February 28th, 2018 and commissioning date is expected during 2019.

The Request for Proposal (RFP) for the 300MW solar PV project in Sakaka, located in Saudi Arabia’s northern Al Jouf region, was issued on April 17th, 2017. Eight bids were submitted by pre-qualified consortia led by international and regional renewable energy developers.

In a related development, the Renewable Energy Project Development Office (REPDO), recently hosted representatives of pre-qualified companies for a bidders’ conference and an exclusive site visit to the Kingdom’s first utility scale Wind Power plant site. The attendees were representatives of the 25 shortlisted bidders, for the 400MW Dumat Al Jandal Wind Power project. 

Dumat al-Jandal Wind Power plant is the second of two utility scale projects in al-Jouf province, located in the Kingdom’s Northern region. The project marks the completion of round one tenders of the National Renewable Energy Program (NREP). Bidding for the 400MW Wind Power project is set to close in January 2018. The received bids must meet all technical requirements outlined in the Request for Proposal (RFP), including a thirty percent local content target to support development of a domestic Renewable Energy value chain. 

During the conference, REPDO outlined the technical criteria specified in the request for proposal (RFP) issued by the Ministry on August 29th, 2017. “We were delighted to host the pre-qualified bidders at the wind project site in Dumat al-Jandal, marking another step towards growing the Renewable Energy industry in Saudi Arabia. Both NREP round one projects in Al-Jouf province; The Dumat al-Jandal Wind Power and Sakaka Solar PV projects, are set to provide a memorable economic boost to the area over the next few years through inwards investment, maintenance, distribution and supporting services” said Turki Al-Shehri, Head of the Renewable Energy Project Development Office.

The NREP targets 9.5 GW of Renewable Energy by 2023 in support of Vision 2030, with an interim target of 3.45 GW of Renewable Energy capacity by 2020 under the National Transformation Program (NTP).

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