Saudi Arabia Gets Cheapest Bids for Solar Power in Auction

Anthony Dipaola for Bloomberg: Saudi Arabia received offers to supply solar electricity for the cheapest prices ever recorded, marking the start of a $50 billion program to diversify the oil producer’s domestic energy supplies away from fossil fuels.

The energy ministry said Abu Dhabi’s Masdar and Electricite de France SA bid to supply power from a 300-megawatt photovoltaic plant for as little as 6.69736 halalas a kilowatt hour, or 1.79 cents, according to a webcast of the bid-opening ceremony on Tuesday in Riyadh. If awarded, that would beat the previous record for a solar project in Abu Dhabi for 2.42 cents a kilowatt-hour.

Saudi Arabia and its neighbors are among Middle Eastern oil producers looking to renewables to feed growing domestic consumption that’s soaking up crude they’d rather export to generate income. While the offers submitted are remarkably low, the actual cost of power coming from the projects may be inflated by terms within the contracts that aren’t yet published, according to Bloomberg New Energy Finance in Zurich.  Full Article:

Comments (0)

This post does not have any comments. Be the first to leave a comment below.


Post A Comment

You must be logged in before you can post a comment. Login now.

Featured Product

Trojan Battery Company

Trojan Battery Company

Trojan's deep-cycle batteries provide rugged durability, outstanding performance and long life for use in all types of solar energy installations. With over 90 years of experience, Trojan delivers the world's most reliable and trusted batteries in flooded, AGM, Gel, and Lithium types. These batteries enable solar equipment systems to operate at a peak level of performance in the harshest conditions or the most challenging of locations and are manufactured and tested to IEC standards.