Officials in Dubai have doubled the size of a proposed PV plant to 200MW, after receiving what is thought to be the lowest ever per kWh bid for its construction.
A consortium led by Saudi Arabian firm ACWA Power with Spanish engineering firm TSK bid just US$0.059/kWh, the lowest of 10 bids accepted in the opening stage. It is also widely regarded by the industry as being the lowest bid for solar received in an independent power producer (IPP) tender.
On Thursday the Dubai Electricity and Water Authority (DEWA) confirmed the selection of ACWA Power. They beat competition from First Solar, Masdar, SunEdison, Hareon and Abengoa.
Saeed Mohammed Al Tayer, managing director and CEO of DEWA said the project would proceed with a levelised cost of energy (LCOE) of US$0.0585/kWh.
“I am pleased to announce that the production capacity of the second phase of the Mohammed bin Rashid Al Maktoum Solar Park has been increased from 100MW to 200MW,” said Al Tayer. “It is one of the biggest strategic new IPP projects in the renewable energy market worldwide.”
The Mohammed bin Rashid Al Maktoum Solar Park will eventually total 1GW with an expected cost of AED12 billion (US$3.27 billion).