ACWA Power inks PPA for 91-MW solar project in Saudi Arabia

ACWA Power (TADAWUL:2082) has signed a 30-year power purchase agreement (PPA) with Saudi Power Procurement Company for a 91-MW solar project that will be located more than 300 km south of the Saudi capital Riyadh.

Under the agreement, ACWA Power will develop, build and operate the Layla PV Solar IPP in Al-Aflaj governorate in Riyadh province, the power company said in a stock market filing on Sunday.

The project is worth around SAR 401 million (USD 106.9m/EUR 99.5m). ACWA Power owns about 40.1% of it.

Layla PV Solar IPP was tendered in the Round Three of the National Renewable Energy Programme (NREP) by the Ministry of Energy and ACWA Power won the contract after making the lowest bid of SAR 0.112 per kWh.

The financial impact of the PPA on ACWA Power's performance will be known once the project enters commercial operation which is expected to occur in the first quarter of 2024.

(SAR 1.0 = USD 0.266/EUR 0.248)

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