07 January 2020
The Federal Electricity and Water Authority (FEWA), the utility provider for the UAE's Northern Emirates, has invited companies to submit expressions of interest (EOI) for development of a 500-megawatt (MW) solar photovoltaic (PV) power plant in the emirate of Umm Al Quwain.
The project, to be developed under the Independent Power Producer (IPP) framework, would be delivered using design, build, finance and operate (DBFO) model, according to a public notice issued by FEWA.
The notice said the submission deadline for EOI is 23 January 2020.
The Special Purpose Vehicle (SPV) that will undertake the project would be owned 60 percent by FEWA and the Umm Al Quwain government, while the selected developer or consortium will own the remaining 40 percent stake, according to the notice.
It said the SPV would enter into long-term power purchase agreement (PPA) with FEWA as the sole offtaker, adding that project structure would include a sovereign guarantee.
The duration of the PPA wasn't specified.
In December 2018, regional industry news portal Trade Arabia had reported that FEWA had signed an agreement with the government of Umm Al Quwain to set up a 200 MW solar PV power plant in Falaj Al Mu'alla over an area of five million square metres.
The UAE Energy Strategy 2050 aims to raise the share of clean energy in total power generation to 50 per cent by 2050.
(Writing by Madhura Deulgaonkar; Editing by Anoop Menon)
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