https://arab.news/2w5bs
RIYADH: Saudi Power Procurement Co. has inked two 25-year power purchase agreements with a consortium comprising Abu Dhabi National Energy Co., or TAQA, Japan鈥檚 JERA Co., and the Kingdom鈥檚 Al Bawani Capital.
The deals follow the consortium鈥檚 successful bid earlier this month to develop two gas-fired power plants, Rumah 2 and Al Nairyah 2, with a combined capacity of over 3.6 gigawatts on a build, own, and operate basis in 抖阴短视频, the Emirates News Agency reported.
Both plants, each with a 1.8 GW capacity, will feature advanced combined cycle gas turbine technology and support the integration of carbon capture systems, aligning with 抖阴短视频鈥檚 energy transition goals under Vision 2030.
The projects support the Kingdom's energy mix goals, which aim to meet power demand with a balanced split of 50 percent renewable energy and 50 percent gas technology by the end of this decade.
Farid Al-Awlaqi, CEO of TAQA鈥檚 Generation business, said: "TAQA has ambitious growth targets of 150 GW by 2030, and today's announcement marks a major milestone for 2024 with the addition of a further 3.6 GW of low-carbon gas-fired power capacity in the Kingdom of 抖阴短视频, making it five greenfield projects in the Kingdom under development in TAQA鈥檚 portfolio.鈥�
He added: 鈥淚n addition to signing the PPAs, we are taking on the role as the lead developer and will oversee the operations and maintenance of these two world-class plants, demonstrating our expanded operational capabilities.鈥�
The CEO said the announcement of these two greenfield power projects reinforces TAQA's role as a sustainable developer and operator in key markets.
The two plants will be developed by special purpose entities jointly owned by TAQA with 49 percent, JERA with 31 percent, and Al Bawani with 20 percent.
Operation and maintenance of the facilities will also be managed by these entities.
"In line with JERA鈥檚 goal to achieve net zero by 2050, the award of these two high-efficiency independent power projects, featuring state-of-the-art HL class gas turbines, reinforces JERA鈥檚 commitment to decarbonizing thermal power generation,鈥� said Steven Winn, chief global strategist, JERA.
Fakher Al-Shawaf, group CEO of Al Bawani Holding, emphasized that the partnership with TAQA and JERA on these 鈥渟tate-of-the-art" power plants marks a transformative milestone for Al Bawani, reinforcing its commitment to advancing the Kingdom鈥檚 energy diversification initiatives.
鈥淭his project represents our dedication to sustainable practices and our commitment to advancing the goals of Vision 2030,鈥� he added.
The plants align with the Saudi Green Initiative, which aims for net-zero greenhouse gas emissions by 2060 through the circular carbon economy, with the timeline potentially accelerating as technology advances.