Masdar-led consortium reaches financial close and starts construction on 300 MW solar project in Saudi Arabia

Abu Dhabi: The consortium led by Masdar and EDF Renewables, both global leaders in renewable energy, and Nesma Company, announced today it has reached financial close on a 300-megawatt (MW) utility-scale photovoltaic (PV) solar power plant in Jeddah and is starting construction.

The Renewable Energy Project Development Office (REPDO) of Saudi Arabia’s Ministry of Energy awarded the consortium the 300 MW Jeddah project, after it had submitted the most cost-competitive bid of SAR60.9042 (US$16.24) per megawatt hour. The consortium signed a 25-year Power Purchase Agreement (PPA) with Saudi Power Procurement Company (SPPC) this January for the project. Under the terms of the PPA, the consortium will design, finance, build and operate the plant, which will be located in Third Jeddah Industrial City, 50km south-east of Jeddah. The plant will begin operation in 2022.

“This project demonstrates Masdar’s commitment to Saudi Arabia’s Vision 2030 objectives and its climate goals. Through its National Renewable Energy Programme, Saudi Arabia is fast developing into a global renewable energy player, and Masdar will continue to work closely with the Saudi government and our partners here to help the Kingdom achieve its clean energy transition, while reducing environmental impacts in line with the Saudi Green Initiative,” said Mohamed Jameel Al Ramahi, Chief Executive Officer, Masdar.

The Jeddah solar plant will utilise the latest technology in the PV market, combining bifacial PV modules with mounting structures that utilise single-axis tracking technology to maximise energy generation by following the sun’s position throughout the day. State-of-the-art robots will also be used to clean the modules.

“We would like to thank the Saudi Arabia’s authorities for the official award of the 300 MW-Jeddah project today. We are delighted to pursue our commitment to contribute to the energy transition of the Middle East with this new solar plant project alongside our partners Masdar and Nesma, said Bruno Bensasson, EDF Group Senior Executive Vice-President Renewable Energies.