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Acwa inaugurates Saudi’s largest solar project: Renewables giant Acwa Power has begun commercial operations of its 600 MW Shuaiba 1 solar PV plant in Saudi Arabia after receiving the commercial operations certificate from state-owned Saudi Power Procurement Company, according to a Tadawul disclosure. Operations were initially set to begin in 2025, Asharq Business reports.
About the plant: The project will have two stations with 2.6 GW total capacity, and is being developed by Saudi Aramco, PIF subsidiary Badil, and Acwa which owns 35%. It is set to be the largest solar PV plant in Saudi Arabia with a value of SAR 8.3 bn (USD 2.2 bn) and will be able to power 450k homes.
Acwa’s on a roll: The company received the Commercial Operation Certificate for Plant 1, a 200 MW solar photovoltaic plant, at its Riverside solar project in Tashkent, Uzbekistan on Monday. Acwa owns a 100% stake in the project which also includes a 550 MWh battery storage system — dubbed Plant 2 — that is currently under construction.
The company also reached financial close for a USD 238 mn senior debt facility to finance the 240 MW Khizi-Absheron Wind Power Plant in Azerbaijan, Argaam reports, citing an emailed statement. A European Bank for Reconstruction and Development (EBRD) and OPEC Fund for International Development consortium contributed the funds for the debt facility.
Getting their ducks in a row: Acwa broke ground on the project back in 2022, with a USD 300 mn investment ticket cited at the time. The project secured a USD 120 mn Shariah-compliant equity financing option from First Abu Dhabi Bank in December 2023, Argaam noted. Acwa had also said in October of last year that it had raised USD 246 mn in financing for the project from the EBRD and OPEC Fund.
ALSO FROM ACWA POWER-
Acwa Power is “on track” to reach financial close on SAR 30 bn in financing, CEO Marco Arcelli told Al Arabiya on the sidelines of COP29 in Baku, Azerbaijan (watch, runtime: 0:53). The financing is slated for projects in Saudi Arabia and elsewhere. The firm is also eyeing a USD 7.1 bn capital increase by next year to support growth plans and has appointed financial advisors for the transaction.
Acwa Power is doubling down on its Azeri wind portfolio: The Tadawul-listed renewable energy player inked a cooperation agreement with Azerbaijan in February 2023 to develop a 1.5 GW offshore wind energy project as part of a larger 2.5 GW wind farm initiative that will also see the development of the country’s first battery storage systems. Later that year, Acwa Power and Azerbaijan’s Energy Ministry inked a roadmap agreement to develop a 200 MW onshore wind farm with battery storage facilities.
The renewables giant is focusing on Central Asia due to its strategic position as a gateway for trade. Acwa Power has significant portfolios in Azerbaijan, Uzbekistan, and Kazakhstan and has earmarked some USD 15 bn for decarbonization projects in the region, Arcelli said.
