ACWA Power , Saudi Arabia announces the signing of the Power Purchase Agreements (PPAs) for Two (2) large-Scale Combined Cycle Gas Turbine (CCGT) Power Plants.
The value of the Projects is approximately SAR 15 billion.
The PPA was singed with the Saudi Power Procurement Company – Principal Buyer (SPPC).
The Projects namely Rumah -1 and Al-Nairyah -1 located in the Riyadh province and Eastern province of Saudi Arabia, respectively, with a production capacity of 1,800 MW for each plant.
ACWA Power holds a 35% ownership stake in each project, with Saudi Electricity Co. (SEC) and KEPCO as partners in both projects.
The projects involve the development, financing, construction, ownership, and operation of the two plants. The Project duration for each project is 25-years.
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The projects are part of the energy mix plan, which is under the supervision of the Ministry of Energy to meet the future load demand of the electrical system, diversify energy production sources, and displace liquid fuels in order to achieve the optimal energy mix for electricity production in the Kingdom by 2030 with renewable energy and gas each contributing 50%.
The energy mix plan also aims to localize gas turbine manufacturing and allow for the utilization of carbon capture technologies readiness as part of the ministry’s endeavors to achieve the Saudi Vision 2030 goals. The projects come in alignment with the Saudi Green Initiative and its ambition to achieve greenhouse gases (GHGs) net-zero through the circular carbon economy approach by 2060 or earlier, depending on the availability of the necessary technologies.
