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Saudi Arabia has shortlisted 25 companies that qualify to bid for proposals to build a 400-MW wind power plant in the northern part of the Kingdom, in what would be the first utility-scale wind power project, the Renewable Energy Project Development Office (REPDO) of Saudi Arabia’s Energy Ministry said on Tuesday.
REPDO has qualified 25 companies—including major players in renewables such as Acciona, Enel Green Power, EDF Energies Nouvelles as well as technology giants such as GE, units of Siemens, Marubeni, and Mitsui, among others—to bid for the 400-MW Dumat Al Jandal project. The qualified companies will proceed to the Request for Proposals (RFP) stage as either ‘managing members’ or ‘technical members’ – or both – based on their experience in delivering IPP projects of this scale, the Saudi ministry said.
Saudi Arabia invited initial bids in July, and the interested companies had until August 10 to present their qualifications to the ministry.
Today, Saudi Arabia said that Dumat Al Jandal marks the second of two tenders for round one of the National Renewable Energy Program (NREP), which is part of Vision 2030 and aims to raise the share of renewables in the Saudi energy mix, targeting generation of 3.45 GW of clean energy by 2020, and of 9.5GW by 2023.
Bidding for the first utility-scale wind power project is set to close in January next year.
The first round of bidding for renewable power projects also includes 300 MW of solar PV in Sakaka, in the same region as the Dumat Al Jandal project. For the solar project, winning bids will be announced on November 27 this year.
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Both the solar and wind power projects will be built under power purchase agreements: a 25-year one for the Sakaka solar project, and a 20-year one for the Dumat Al Jandal wind project.
“Round two of the NREP will be launched before the end of this year, keeping us firmly on track to deliver 9.5GW of renewable energy by 2023,” Saudi Energy Minister Khalid Al-Falih said in the ministry’s statement today.
By Tsvetana Paraskova for Oilprice.com
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Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews.