JV signed in Saudi Arabia for solar developments
Estimated $60bn invested in various energy projects
Abdul Latif Jameel Energy and Fotowatio Renewable Ventures (FRV) have announced a joint venture to develop photovoltaic (PV) solar energy projects in Saudi Arabia.
FRV and Abdul Latif Jameel Energy will undertake the tender of the King Abdullah City for Atomic and Renewable Energy (KA-CARE) program, which includes the construction of 41GW of solar power by 2032, of which 16GW is photovoltaic.
In a first step the program held a preliminary round of applications from five to seven renewable energy projects with a combined capacity of 500-800MW.
Abdul Latif Jameel Energy, a wholly-owned division of KSA-based Abdul Latif Jameel Co. Ltd, brings its knowledge of the local market and financial capability. FRV, with presence in Dubai, and with more than 2GW developed worldwide, brings its extensive experience in engineering, development and construction of solar installations, and a proven track record in adding value in the financing and management of the assets.
KA-CARE is His Majesty King Abdullah bin Abdul-Aziz Al Saud’s ambitious program to develop alternative energies and to position the Kingdom as one of the most important renewable energy markets in the world.
With an estimated investment of over $60bn, the projects include PV and concentrated solar power energy, wind, geothermal, waste conversion as well as nuclear energy to diversify its energy sources in the future.
Roberto de Diego Arozamena, CEO of Abdul Latif Energy, said: “The joint venture of Abdul Latif Jameel Energy with a world class developer of solar power plants such as FRV creates a highly competitive and experienced new player in the solar energy space. We aim to bring best cost, flawless execution and optimal energy pricing to the Saudi Arabian market supported by FRV’s significant track record and experience.
"Our partnership will bring additional value to the Kingdom by developing training programs and creating local job opportunities for Saudi nationals. In addition to the KA-CARE program, we are also evaluating other potential solar energy generation opportunities with FRV. We believe that this joint venture with FRV is a key element of our overall energy generation ambitions in the Kingdom of Saudi Arabia and the region, which will include other countries and technologies”.
Tristan Higuero, FRV´s managing director for the MENA region, added: "This joint venture with a partner as prestigious as Abdul Latif Jameel, with extensive experience and knowledge of the region, allows us to undertake the project with guaranteed success and to consolidate FRV’s long-term presence in this strategic market. Due to its geographical position, high level of solar radiation and the government's commitment to diversify the national energy production and to promote the creation of a local solar industry, Saudi Arabia is a strategic market for us."
Photovoltaics are a method of generating electrical power by converting solar radiation into direct current electricity using semiconductors.