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Mohammed bin Rashid launches world's largest AED14.2bn Concentrated Solar Power plant
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Mohammed bin Rashid launches world's largest AED14.2bn Concentrated Solar Power plant

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Vice President and Prime Minister of the UAE and Ruler of Dubai His Highness Sheikh Mohammed bin Rashid Al Maktoum has announced the largest single-site Concentrated Solar Power (CSP) project in the world, which will be built at a total cost of AED14.2 billion.

The CSP project, which represents the fourth phase of the Mohammed bin Rashid Al Maktoum Solar Park, will generate 700MW of clean energy to support Dubai’s electricity grid. The project is considered an integral part of the emirate’s Clean Energy Strategy 2050.

His Highness Sheikh Mohammed highlighted the UAE’s model for sustaining a green economy based on environmental sustainability and clean energy. The UAE has a clear strategy for implementing and further developing this model to maximise its benefits, in addition to investing in infrastructure, building capabilities and developing specialised local talent.

"We have made steady progress in realising the goals of Dubai Clean Energy Strategy 2050 that was launched as part of our objective to transform Dubai into a global clean energy and green economy hub. The carbon footprint of Dubai will be the lowest in the world by 2030," said Sheikh Mohammed. "We are proud that by demonstrating their capabilities, our local talent have proved that they are ready to assume responsibility," he added.

His Highness’ remarks came as the Dubai Electricity and Water Authority, DEWA, awarded the contract for the AED14.2 billion CSP project based on the Independent Power Producer,IPP, model.

DEWA has achieved another world record by awarding the fourth phase of the Mohammed bin Rashid Al Maktoum Solar Park to a consortium comprising Saudi Arabia s ACWA Power and China s Shanghai Electric.

The consortium bid the lowest Levelised Cost of Electricity, LCOE, of US$7.3 cents per kilowatt hour (kW/h). The project will have the world s tallest solar tower, measuring 260 metres. The power purchase agreement and the financial deal will be completed soon. The project will be commissioned in stages, starting from the fourth quarter of 2020.

"The awarding of this strategic project supports the vision of Sheikh Mohammed to promote sustainability and make Dubai a global centre for clean energy and a green economy. This vision is supported by the Dubai Clean Energy Strategy 2050 to increase the share of clean energy in Dubai s total power output to 7 percent by 2020, 25 percent by 2030, and 75 percent by 2050," Saeed Mohammed Al Tayer, MD and CEO of DEWA, remarked.

"Our focus on renewable energy generation has led to a drop in prices worldwide and has lowered the price of solar power bids in Europe and the Middle East. This was evident when we received the lowest CSP project cost in the world," Al Tayer added.

The Mohammed bin Rashid Al Maktoum Solar Park is the largest single-site solar park in the world, based on the IPP model. It will generate 1,000MW by 2020 and 5,000MW by 2030.











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