Renewable Energy Acwa Power signs $1.8bn deals to promote renewables By Pramod Kumar October 30, 2024, 11:37 AM Reuters/Youssef Boudlal Acwa Power has signed a $690m deal with the National Bank of Kuwait to support its future project pipeline in Saudi Arabia and Kuwait Saudi renewable energy major Acwa Power has signed agreements worth $1.8 billion to develop renewable energy and battery storage projects, as well as research and development, across the GCC, China, Central Asia and North Africa. The agreements were signed during the Future Investment Initiative conference in Riyadh. The first pact includes a $690 million agreement with the National Bank of Kuwait to support Acwa Power’s future project pipeline in Saudi Arabia, Kuwait and other target markets. The second agreement includes a $240 million shariah-compliant equity bridge loan from the International Finance Corporation, a World Bank Group entity. The loan will fund two solar power projects, named Sazagan 1 and 2, in Uzbekistan. Each project comprises 500 megawatt (MW) solar photovoltaic and 334MW battery energy storage systems (Bess) capacity. Both projects are expected to achieve commercial operations between the third quarter of 2025 and fourth quarter of 2026. Acwa Power signed a joint development agreement worth $800 million with Morocco’s battery solutions provider Gotion Power Morocco to develop a 500MW wind power plant, incorporating a 2,000 MWh Bess solution. The plant will power Gotion Power’s battery manufacturing plant, which is expected to begin production in the first half of 2026. Saudi Arabia to invest $41bn in Africa over next decade Egypt to receive half of Acwa Power’s $30bn Africa investment Acwa Power signs deal on Indonesian solar project The company also signed an agreement with China’s Lujiazui Administration Bureau to establish a research and development centre in Shanghai. The $54 million centre will focus on advancing technologies related to solar, wind, energy storage, green hydrogen and desalination. Acwa Power is part owned by the Public Investment Fund, Saudi Arabia’s sovereign wealth fund. It has offices in 15 countries and around $94 billion in investments around the world, according to its website. In August the Saudi-listed company reported net profit attributable to equity holders SAR927 million ($247 million) for the first six months of 2024, a year-on-year increase of 36 percent. In the year to date, its share price is up 77 percent to SAR453.80. Register now: It’s easy and free AGBI registered members can access even more of our unique analysis and perspective on business and economics in the Middle East. Why sign uP Exclusive weekly email from our editor-in-chief Personalised weekly emails for your preferred industry sectors Read and download our insight packed white papers Access to our mobile app Prioritised access to live events Register for free Already registered? Sign in I’ll register later
