KUWAIT: The Kuwait Authority for Partnership Projects (KAPP) announced on Saturday the qualification results of the companies and consortiums applying for the Dabdeba Electric Power Generation Project and the Shaqaya Renewable Energy Project - Phase III (Zone 1 PV Project). The authority said in a press release to Kuwait News Agency (KUNA) that in cooperation with the Ministry of Electricity, Water and Renewable Energy and the Kuwait Institute for Scientific Research, it announced the results of the qualification of companies and alliances applying for qualification that have been approved for participation in the next phase of the project, listing companies and alliances from Saudi Arabia and the UAE and local and foreign companies.
KAPP had issued a call for specialized local and international companies and alliances to submit qualification applications for the two projects in January. According to KUNA, the two tenders are for the construction of renewable energy plants to be located within the Al-Shagaya complex in Jahra Governorate, about 100 km from the Kuwait City. It aims to involve the local and international private sector in the design, financing, construction, operation and maintenance of a renewable energy plant with a net capacity of 1100 MW through photovoltaic (PV) technology.
The plants’ output will feed Kuwait’s electrical grid through a Power Purchase Agreement (PPA) with the Ministry of Electricity, Water and Renewable Energy for a period of 30 years. The projects are expected to help Kuwait fulfil its commitment to reduce carbon emissions and actualize the government’s plans to use the expertise and capabilities of the private sector to develop the country’s infrastructure. It’s also seen as a means to develop the local economy by attracting foreign capital and creating job opportunities for citizens.
Kuwait has been planning a solar expansion for a while: Kuwait is committing to sourcing 15 percent (or 14 GW) of its power from renewables by 2030, including from planned increases to Al-Shagaya’s power capacity from 70 MW to 4 GW to replace eight oil and gas-fired power stations. In July, Kuwait’s Finance Minister and Minister of State for Economic Affairs and Investment, Dr Anwar Al-Mudhaf, discussed Al-Shagaya with commissioner-general of China’s representative office in the Middle East and North Africa.
The discussion highlighted that Al-Shagaya renewable energy station (Area 3 + 4) will be executed by Chinese companies. The park currently includes a 50 MW thermal solar plant, a 10 MW wind farm, a 10 MW PV plant, and 132 kV overhead transmission line connected to the national grid. The expansion project is not expected to kick off operations before 2027.