PPA under three cents per kWh signed for 800MW Dubai project

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
HE Dr Sultan Ahmed Al Jaber, UAE Minister of State and Chairman of Masdar (left) and HE Saeed Mohammed Al Tayer, MD & CEO of DEWA.

What is thought to be the world’s lowest priced solar PPA has been signed for an 800MW project in Dubai.

The emirate’s utility DEWA signed the contract with Abu Dhabi-based renewable energy company Masdar.

The price appears higher on paper than the winning bid in Abu Dhabi’s own 350MW tender. A consortium including JinkoSolar was revealed to have won with an offer of US$0.0242/kWh. That offer includes an increased payment during the summer months.

“The 2.42 cents that has been reported as a record bid is, in fact, not an LCOE for the project. ADWEA, aiming to maximize the plant's use to generate electricity for a summer peak electricity demand, adds a 60% bonus to tariff payments during summer months,” James Kurz, senior consultant at Apricum told PV Tech. “The reported tariff of 2.42 cents is a base tariff that is paid from October through May while 3.87 cents is paid from June through September. The bid on a levelized cost of energy basis was 2.94 cents, which is comparable to the DEWA results.”

The Dubai PPA is for the third phase Mohammed bin Rashid Al Maktoum Solar Park. The 200MW second phase was awarded a PPA at just under six cents.

Additional reporting by Danielle Ola.

Read Next

April 22, 2021
A round-up of the latest news from the US solar sector, including distributed solar specialist SunPower's return to large-scale power systems, panel maker Maxeon's share offering, and developer National Grid Renewables' PPA with Hershey, Home Depot and NRG.
April 21, 2021
Ingka Group, a retailer that runs the majority of IKEA stores, has allocated an additional €4 billion (US$4.8 billion) to invest in solar and wind plants.
April 19, 2021
Solar manufacturing material shortages are nearing a crisis point with the price of polysilicon continuing to rise, JinkoSolar’s Dany Qian has said.
April 14, 2021
While recent solar auctions in Spain and Portugal have made headlines with low prices and high levels of participation, the power purchase agreement market will be key to helping both countries reach their 2030 solar deployment targets, it was suggested during a panel discussion.
April 13, 2021
Major ‘Solar Module Super League’ (SMSL) member JinkoSolar has guided 2021 total product shipments (wafers, solar cells and modules) to be in the range of 25GW to 30GW.
April 12, 2021
A consortium between Abu Dhabi-based Masdar, EDF Renewables and Nesma Holding Company has broken ground on a 300MW PV project in Saudi Arabia.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
April 28, 2021
4:00 - 4:30 PM CET
Solar Media Events
May 11, 2021
Upcoming Webinars
May 26, 2021
Session 1 - 7:00 AM (BST) | Session 2 - 5:00 PM (BST)
Solar Media Events
June 15, 2021