July 29 (Renewables Now) - Saudi Arabia’s National Agricultural Development Co (TADAWUL:6010), or NADEC, will buy the output of a 30-MW solar photovoltaic (PV) park at home from French energy group Engie SA (EPA:ENGI).
The Saudi Arabian group said in a bourse filing on Sunday its board of directors has approved the signing of a power purchase agreement (PPA) with Engie at a price of SAR 0.094 (USD 0.025/EUR 0.023) per kWh. The term of the contract will be 25 years.
NADEC, one of Saudi Arabia's largest agricultural and food-processing companies, will not seek any financing for the proposed solar project in Haradh as it will not “incur any capital or operational expenditure.”
Construction of the power plant is scheduled to begin at end-October 2019 with the aim of bringing it online a year later, on October 31, 2020. Once up and running, it will help NADEC cut its fuel consumption within limits of 124,000 barrels per year while saving 53,000 tonnes of carbon dioxide (CO2) emissions annually.
(SAR 1.0 = USD 0.267/EUR 0.240)