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DEWA signs PPA for Dubai solar park

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Dubai Electricity and Water Authority (DEWA) has signed a 25-year power purchase agreement for the 5th phase of the Mohammed bin Rashid Al Maktoum solar park with a capacity of 900 MW.

Photovoltaic solar panels will be used in this phase and commissioned in stages beginning in the third quarter of 2021.

This supports DEWA’s efforts to achieve the 2050 Dubai clean energy strategy to generate 75 percent of Dubai’s total renewable energy production by 2050.

It will have a capacity of 5,000 MW by 2030 using the independent power producer (IPP) model, with investments of up to AED 50 billion. Projects from the solar park will speed up the shift towards solar power.

“The UAE has proved that it has always been proactive and ready for all changes and conditions. The recent developments in the oil industry have proved the importance of the UAE’s track to bid farewell to the last barrel of oil and diversify the energy mix. At DEWA, we are guided by the vision and directives of His Highness Sheikh Mohammed bin Rashid Al Maktoum to make Dubai a global hub for clean energy and green economy.

“We are building major renewable and clean energy projects. The current operational capacity at the solar park is 1,013MW from photovoltaic solar panels. We have 1,850MW under construction from photovoltaic and Concentrated Solar Power (CSP), with future phases to reach 5,000MW by 2030. This supports our efforts to achieve the Dubai Clean Energy Strategy 2050, to provide 75% of Dubai’s total power output from clean energy by 2050.”

Saeed Mohammed Al Tayer, MD & CEO of DEWA.

“The 900MW fifth phase of the Solar Park using the Independent Power Producer (IPP) model adds to our successful solar power and clean energy projects that use the best global technologies to generate electricity from clean energy sources. The fifth phase will be implemented by Shuaa Energy 3, established by DEWA and the consortium led by ACWA Power and Gulf Investment Corporation.

“DEWA received the lowest global bid of USD 1.6953 cents per kilowatt hour for this project, which will use the latest solar photovoltaic bifacial technologies, with Single Axis Tracking to increase generation. We promise to continue implementing clean and renewable energy projects, guided by the vision and directives of our wise leadership to enhance the UAE’s pioneering position in all sectors.”

Saeed Mohammed Al Tayer, MD & CEO of DEWA.

“The signing of today’s agreement is a testament of the robust strategic partnership we have established with Dubai Electricity and Water Authority, which we are immensely proud of.  The Mohammed bin Rashid Al Maktoum Solar Park is the most ambitious and largest project of its kind worldwide that aims to reducing carbon footprint in Dubai and transforming Dubai into a global model in the clean energy and sustainable green economy.”

Mohammad Abunayyan, chairman of ACWA Power.

Abunayyan highlighted the progress of Mohammed bin Rashid Al Maktoum solar park’s fifth phase in achieving the lowest global solar tariff and stressed the eagerness of ACWA Power to start implementing the project according to the highest technological and operational standards.

The project’s delivery confirms the sustainability and competitiveness of Dubai’s economic landscape, which, given the current circumstances, continues its steady and innovative plans, and reaffirms the trust and attractiveness of Dubai’s foreign investment environment.

“We are delighted to have been a reliable and trusted partner for DEWA’s ambitious goals. The fifth phase will witness a prosperous collaboration with Gulf Investment Corporation (GIC) and Shanghai Electric which will undoubtedly mark a milestone in the renewable energy sector – not on a regional level only – but on an international scale.”

Mohammad Abunayyan, chairman of ACWA Power.

In 2013, the first phase of 13MW went into service using photovoltaic solar panels. The 2nd phase of the solar park’s 200MW photovoltaic was installed in March 2017. The 3rd phase photovoltaic has an 800MW capacity. The solar park’s 4th phase is one of the largest single-site CSP project based on the IPP model, with AED15.78 billion of investment.

The solar park’s fourth phase will use three technologies to produce 950MW of clean energy: 600MW of a parabolic basin complex, 100MW of a solar power tower, and 250MW of photovoltaic panels.

At 260 meters, the solar power tower will be the highest in the world and will have a maximum capacity for thermal storage of 15 hours, producing power around the clock.

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