OPWP selects ACWA consortium to develop 500MW solar project in Oman


The Oman Power and Water Procurement Company (OPWP) has selected a consortium of ACWA Power, Gulf Investment Corporation (GIC) and Alternative Energy Projects (AEPCo) to develop the 500MW Ibri-2 solar project in Oman.

Located 300km west of Muscat, the solar project will be developed on a build, own, operate (BOO) basis and include the development, finance, construction, and operation of the project.

OPWP selected ACWA’s consortium from the list of 12 qualified bidders, whose bidding was the lowest.

ACWA Power is the largest stakeholder in the consortium with 50%, while GIC and AEPCo will each own 40% and 10% stakes, respectively.

Considered to be the first utility scale solar project in the country, the Ibri-2 solar project will generate enough clean electricity to power nearly 33,000 households in the country, while offsetting 340,000 tonnes of carbon dioxide emissions annually.

ACWA Power president and CEO Paddy Padmanathan said: “We applaud the government of Oman for their ambitions related to renewable energy and diversifying the country’s power mix as evidenced by the scope of this project and its future potential in supporting the Sultanates economy.

“It is an honor to have been trusted with the delivery and operation of the Ibri II Solar PV IPP based on our reputation for winning world-record power projects with the best tariffs as well as our expanding renewable portfolio and we look forward to collaborating with our partners and Omani stakeholders to successfully complete this project.”

APECo managing director Hassan Qassem said: “This project demonstrates the ability of GCC companies to compete with their international counterparts to provide competitive solution in renewable and sustainable energy.

“This project also demonstrated the Sultanate of Oman’s long term vision in sourcing renewable energy and encouraging investment in the sector.”

In March, the consortium of ACWA Power and Silk Road Fund, a Chinese Government-owned fund along with Dubai Electricity and Water Authority (DEWA) secured financial closure for the 950MW fourth phase of the Mohammed bin Rashid Al Maktoum Solar Park.

The solar park is expected to generate nearly 5GW of clean electricity by 2030, with a total investment of AED50bn ($13.6bn).


Image: Officials of OPWP and ACWA Power signing the agreement for the Ibri-2 solar project. Photo: Courtesy of Acwa Power.

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