October 25 (Renewables Now) - Saudi Arabia’s Public Investment Fund (PIF) and SoftBank Vision Fund (SBVF) are plotting to develop about 3 GW of solar power generating capacity, coupled with energy storage, in the Kingdom next year.
The pair seeks to do so through Saudi Electricity Company (SEC), according to a SEC statement on Tuesday. Saudi sovereign wealth fund PIF has entered into a memorandum of understanding (MoU) with SBVF that outlines the plan.
The MoU, which is non-binding and subject to due-diligence, stipulates that the parties involved would evaluate SBVF taking a “significant equity stake” in SEC. They would also seek to build solar power and energy storage manufacturing facilities in Saudi Arabia.
In any case, the government of Saudi Arabia would continue to control SEC.
The move would be part of a so-called New Solar Energy Plan 2030. The parties expect to conclude due diligence under the MoU by February 28, 2018.