It is based on the Independent Power Producer, IPP, model. The 700MW project, worth AED14.2 billion, is the fourth phase of the Mohammed bin Rashid Al Maktoum Solar Park.
"The implementation of the largest CSP plant in the world demonstrates the UAE leadership's commitment to the production of clean and renewable energy, and entrenches our place among the most advanced countries in this industry," His Highness Sheikh Mohammed bin Rashid said.
"We will continue to implement projects that serve comprehensive development directions in our state and advances the ambitious goals we have set for the future, which we will start implementing today," he added.
''We are moving ahead with confident steps towards the Dubai Clean Energy Strategy 2050, which we launched with the aim of transforming Dubai into a global centre for clean energy and green economy while making it the city with the lowest carbon footprint by 2050. It is a source of pride to see the objectives we aspire for turning into tangible reality at the hands of our national cadres, who have proven to be highly efficient and manifested their excellence in various fields," His Highness Sheikh Mohammed added.
The Dubai Electricity and Water Authority, DEWA, has achieved another world record by awarding the fourth phase of the Mohammed bin Rashid Al Maktoum Solar Park to a consortium comprising Saudi Arabia’s ACWA Power and China’s Shanghai Electric.
The consortium bid the lowest Levelised Cost of Electricity, LCOE, of US$7.3 cents per kilowatt hour (kW/h). The project will have the world’s tallest solar tower, measuring 260 metres. The power purchase agreement and the financial deal will be completed soon. The project will be commissioned in stages, starting from the fourth quarter of 2020.
"The awarding of this strategic project supports the vision of Sheikh Mohammed to promote sustainability and make Dubai a global centre for clean energy and a green economy. This vision is supported by the Dubai Clean Energy Strategy 2050 to increase the share of clean energy in Dubai’s total power output to 7 percent by 2020, 25 percent by 2030, and 75 percent by 2050," Saeed Mohammed Al Tayer, MD and CEO of DEWA, remarked.
"Our focus on renewable energy generation has led to a drop in prices worldwide and has lowered the price of solar power bids in Europe and the Middle East. This was evident today when we received the lowest CSP project cost in the world," Al Tayer added.
The Mohammed bin Rashid Al Maktoum Solar Park is the largest single-site solar park in the world, based on the IPP model. It will generate 1,000MW by 2020 and 5,000MW by 2030.