· Abdul Latif Jameel Energy and Environmental Services (a division of Abdul Latif Jameel International DMCC) owned FRV takes a leading role in diversifying national energy production in Jordan
· First bidder to sign PPA in round twoof 200 MW solar IPP, at Jordanian piasters 4.898 (US 6.93 cents) per kWh
· 50 megawatt(65 MWdc) solar Photovoltaics (PV)power plant representsapproximately 1.5%of Jordan's overall generation capacity
· Expected to power over40,000homes across Jordanand brings approximately150job opportunities during construction
Amman, Jordan - Abdul Latif Jameel Energy andEnvironmental Services, and its portfolio company Fotowatio Renewable Ventures ('FRV'), a leading global developer of large-scale solar power plants, announced today the signing of a Power Purchase Agreement (PPA) for a planned 50-megawatt (65 MWdc) solar PV power plant inthe Hashemite Kingdom of Jordan. The PPA was signed with the National Electric Power Company (NEPCO), Jordan's regulatory authority for power generation and distribution, and is valid for 20 years. The PPA was signed at Jordanian piasters 4.898(US 6.93 cents) per kilowatt-hour.
In May 2015, Abdul Latif Jameel Energy and Environmental Services' portfolio company FRVwas selected by the Jordanian Ministry of Energy and Mineral Resources as preferred bidder to the second round of Jordan's solar independent power producer (IPP) tender, totaling 200 MW. FRV is the first bidderto sign the PPA.
ThisPPA reinforces the commercial competitiveness of Abdul Latif Jameel Energy and Environmental Services in renewable energy, and its proven track record as one of the largest GCC-based solar PV developers and one of the leading solar PV developers in the world, with a pipeline of approximately 4.3GWdc worldwide.
The plant, which will be developedinMafraq, in the northof the Kingdom, is part of the Jordanian government's plans to generate 10% of its energy from renewable sources by 2020, including 600 MW of installed solar PV. To commence operations in 2017, the power plant represents 1% of Jordan's overall generation capacity and will supply 155 million kilowatt hours (kWh) of electricity per year,sufficient to power over 40,000 average homes in the country.
Through its portfolio company FRV, Abdul Latif Jameel Energy and Environmental Services is committed to take a leading role in diversifying national energy production in Jordan by building local capacity and establishing a lasting legacy of energy sector expertise. This project is the first step towards reaching the Kingdom's targets.
Roberto de Diego Arozamena, Chief Executive Officer, Abdul Latif Jameel Energy and Environmental Servicesstated: "This signing signifies an important milestone for our energy business and we are well-positioned to further the growth of Jordan's national energy production and support the government's plans to source 10% of its total power from local resources by 2020. This agreement in Jordan builds on our commitment to developthe renewable energy sector throughout the Middle East North, Africa and Turkey region."
Abdul Latif Jameel Energy and Environmental Services and FRV bring increased access, world-class know-how and financial support to the emerging solar PV market of Jordan. The company's contract award for expanding Jordan's solar PV power plant is in line with its strategy to work with governments across the Middle East, North Africa and Turkey (MENAT) region to diversify the energy mix and create a sustainable economy that is balanced socially, economically and ecologically. The project is expected to bring approximately 150 job opportunities during the construction phase, stimulating job creation in the Kingdom. Additionally, the plant will also help the Kingdom reduce its carbon footprint by displacing over 80,000 metric tons of Carbon Dioxide (CO2) per year, equivalent to removing about 17,000 cars from its roads.
Rafael Benjumea, Chief Executive Officerof FRV, said: "Our global track record of developing, constructing and delivering large scale solar power projects will ensure that we are able to support Jordan's ambitions. We are committed to contributing to Jordan's social and economic development, and believe that this project will make a strong contribution to building a strong and viable solar industry that will deliver clean energy to Jordanian homes and create new jobs."
Abdul Latif Jameel Energy and Environmental Servicesacquired FRV in April 2015, a natural next step in its multi-year energy strategy and follows the successful joint venture partnership announced between the two companies in January 2014.
Today, Abdul Latif Jameel Energy and Environmental Services has ownership of FRV's 4.3GWdc pipeline of projects in emerging solar markets including the Middle East, Australia, Africa and Latin America. 4.3 GWdc of power is the equivalent of generating enough electricity to supply over1,750,000 homes and remove approximately six million tons of Co2 emissions.
FRV will use polycrystalline modules in the installation of its plants and will provide operations and maintenance services for the project.
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About Abdul Latif Jameel
Abdul Latif Jameel is a diversified business comprised of independent entities that includes automotive distribution, auto parts manufacturing, financial services, renewable energy, environmental services, land and real estate development, logistics, electronics retailing and media services. The Dubai based entity -Abdul Latif Jameel International DMCC has an active investments arm and positions itself as the preferred business partner primarily for inward investment into the Middle East, North Africa and Turkey (MENAT) region.
About FRV
FRV is a leading global solar development company with a 4.3GWdc development portfolio in the emerging solar markets including Australia, the Middle East, Africa and Latin America. Such markets are primarily characterized by the fact that solar power generation can be provided at a cost less than the marginal cost of power and/or have broad support for the development of solar power. Since 2006, the management team has completed the construction, operation, maintenance and financing of over 650 MW of photovoltaic and CSP solar energy plants. Such projects represent more than US $2.5 billion in total financings with more than 20 leading banks.
For more information, please email us at ALJ@brunswickgroup.com or call +971 4 448 0906 (+4 GMT - Dubai, UAE).
© Press Release 2015
