PIF signs PPA with Saudi Power Procurement Company for Sudair Solar PV Plant

The Public Investment Fund has launched the Sudair Solar Photovoltaic Plant in Sudair Industrial City, with a PIF-backed consortium signing a power purchase agreement with the Saudi Power Procurement Company for 25 years, which represents an important step within the renewable energy program that is being implemented under the umbrella of the National Renewable Energy Program.

The project’s initial commissioning is expected during the second half of 2022. It is set to become one of the largest single-contracted Solar PV plants in the world and the largest of its kind in Saudi Arabia at an installed capacity of about 1,500 MW.

With an investment value of approximately SAR3.4 billion (US$906.16 billion), Sudair PV IPP will be capable of powering 185,000 homes and offsetting nearly 2.9 million tons of emissions per year. The project has also recorded the second-lowest-cost globally for Solar PV electricity production [US$1.239 cents/kwh].

The PIF-backed consortium is led by ACWA Power, in which PIF holds a 50% stake, which has partnered with Badeel, a 100%-owned PIF portfolio company.