17
October

Utility Scale Solar PV Parks in UAE and Gulf Area



DCIM100MEDIADJI_0006.JPG

Economic diversification from an oil-based economy, rapid industrialization, growing population, and increasing demand from water desalination facilities have led to an increasing demand for energy in Middle East, making renewable energy economically attractive, especially in the United Arab Emirates.

The Clean Energy Strategy 2050, launched by HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the U.A.E. and Ruler of Dubai, foresees to provide 7 percent of Dubai’s total power output from clean energy sources by 2020, 25 percent by 2030, and 75 percent by 2050.

The country has been at the forefront of the developing renewable energy in the MENA region. This is reflected by the establishment of important associations, companies, projects and events related to renewable energy. Some examples are the Abu Dhabi Future Energy Company Masdar and the first carbon-neutral zero waste city Masdar City in 2006, the hosting of the annual World Future Energy Summit in Abu Dhabi since 2008, the International Renewable Energy (IRENA)’s designation of Abu Dhabi as its headquarters in 2009 and relocating to Masdar City campus in 2015, and the development of strategic large scale solar projects.

Regarding Utility Scale projects, many Middle East Countries still rely on the single-buyer model where a state-owned entity is the only wholesale purchaser from power generating companies. The single buyer is responsible for selling the electricity to distribution companies which then sell to the final consumers. While the power-generating sector is open to the private sector, governments still have monopoly over transmission and distribution networks.

The current market structure in the Gulf area has served IPPs well, as governments assume most of the risks related to the long-term purchase of electricity. IPPs are usually offered 15 to 25-year Power Purchase Agreements (PPA) where the government agrees to buy the electricity at a ‘take it or leave it’ basis at a previously agreed price for the duration of the contract, thus mitigating demand-side risk.

Contracts under the IPP model are usually awarded to developers who provide the lowest levelised cost of electricity (LCOE).

The most important utility scale solar project in the United Arab Emirates is the multi-phase Dubai Mohammed Bin Rashid Al Maktoum Solar Park. The first phase of 13 MW has been completed in 2013 while the second phase of 260 MWp has been connected to the grid in March 2017. After a landmark Power Purchase Agreement (PPA) of 5.85 cents per kilowatt-hour was signed for the second phase, 2016 saw Phase III awarded with 800 megawatts for delivery over three phases until 2020 at 2.99 US$ cents per kWh. The 800MW solar PV Phase III will be operational by 2020, and the first stage of the 700MW CSP fourth phase will be commissioned in Q4 of 2020. The final size of the solar park will be 3 GW in 2030 making it the largest of this kind in the world.

Other countries in Gulf area, such as Saudi Arabia, Oman and Jordan have constructed and are developing utility scale solar.

Enerray, as a global leader in the design, construction and management of solar systems, thanks to a business model that fully covers all the stages of project implementation, combined with the ability to attract financial resources and consolidated technical know-how, is the ideal industrial partner for those who want to safely invest in photovoltaics.
Enerray can participate to international tenders for utility scale solar PV and can give support to customers who want to participate.

To know more about our services please contact us at the following link>

 


keep up on the latest news from Enerray and related to the solar photovoltaic sector. Subscribe to our Newsletter!

Articoli correlati

2018 Renewable energy statistics in Italy
23 July 2019
The legislation of photovoltaic systems in Italy and the new FER 1 Decree
8 July 2019
Challenges of Utility Scale Solar PV Projects
3 June 2019
Self-consumption and electricity sales options for photovoltaic systems
25 May 2019
The advantages of industrial rooftop photovoltaic systems
20 May 2019
The importance of choosing a qualified solar EPC contractor
3 May 2019
How much energy does a solar photovoltaic panel produce?
1 April 2019
Utility Scale Solar farms are seeing exponential growth
20 March 2019
MENA Solar Energy Outlook 2019
23 January 2019
Enerray’s expanding business in MENA
9 January 2019
Algeria starts its renewable energy future with a 150 MW solar PV tender
17 December 2018
Oman will build the largest solar park in the region
12 November 2018
Utility Scale Solar PV Parks in UAE and Gulf Area
17 October 2018
Commercial and industrial rooftop solar systems in UAE and Gulf Area
25 September 2018
Design and construction of photovoltaic shelters
20 September 2018
In Dubai is borning a sustainable city powered by renewables
30 August 2018
Tunisia plans to improve its economy and invest in green energy
28 August 2018
MENA Region Solar Energy Oulook 2018
24 July 2018
The Benban Solar Park shines Egypt’s renewable energy targets
17 July 2018
Shams Dubai program and DEWA’s initiatives to increase solar power in Dubai
22 June 2018
Solar power, an optimal source of energy in places where there is lack of water
11 June 2018
How a PV system works?
30 May 2018
Socio-Economics Benefits from Renewable Energies – MENA Region
22 May 2018
What are the advantages and disadvantages of solar energy?
18 May 2018
The transition to a fully renewable powered energy system in Southeast Asia
14 May 2018
How does solar energy work and how can it be converted into electricity ?
10 May 2018
The transition to a fully renewable powered energy system in Latam
20 April 2018
The transition to a fully renewable powered energy system in the MENA region
30 March 2018
A global transition to 100% renewable electricity is feasible
26 March 2018
Photovoltaic Energy spreads in the emerging economies. Focus on Latam countries
15 February 2018