HE Eng. Khalid Al Falih, Minister of Energy, Industry and Mineral Resources on grounds at Skaka receives ACWA Power’s updates on the progress of the first renewable project in Saudi Arabia

H.E. Eng. Khalid bin Abdulaziz Al Falih, Minister of Energy, Industry and Mineral Resources in Saudi Arabia, graced ACWA Power with his presence at the 300 MW Sakaka Photovoltaic IPP plant - the first utility scale renewable energy project under the King Salman Renewable Energy Initiative. During his field visit to the location of the plant, His Excellency received updates on the latest progress on the project that is planned to commence commercial operation by the end of this year.

His Excellency headed a visiting delegation to Sakaka PV IPP that included Deputy Minister of Energy, Industry and Mineral Resources for Industry Affairs Eng. Abdulaziz bin Abdullah Abdul Karim; Director General of The Saudi Industrial Property Authority (MODON), HE Eng. Habibi Abudl Samad, Assistant Undersecretary of Al Jouf Municipality for Development Affairs, Eng. Khaled Bin Mohammed Al Salem; Advisor to the Minister of Energy, Industry, and Mineral Resources, Eng. Amin Mohammad Alshibani; and Head of the Renewable Energy Project Development Office (REPDO), Eng. Turki Al Shehri; who were escorted by Chairman of ACWA Power, Mohammed Abdullah Abunayyan, alongside the specialists operating the plant.

In line with Eng. Khalid Al Falih’s appraisal of the progress witnessed by the visiting delegation, His Excellency said: “The evident level of premium quality undertaken in the development of the Kingdom’s first renewable energy project solaces our choice in ACWA Power’s ability to deliver on the first project under the National Renewable Energy Program, which is scheduled to operate by the end of the year. We are confident we have made the right choice, especially now that we have witnessed the commendable effort invested by ACWA Power to meet its commitment in delivering the projects at the highest level of efficiency”.

His Excellency expressed his sincere appreciation in ACWA Power’s pledge in harnessing its full capabilities and resources in the development of SKAKA PV IPP. He emphasised on the Saudi company’s ability to compete with the world’s most reputable corporations in its own home base - cementing ACWA Power Power’s position as the optimum developer in the power generation sector.

Eng. Khalid Al Falih commended ACWA Power’s keenness to boost local employment and expertise in the solar energy sector while granting Saudi talents the chance to take part in the project since the early stages of development. Localisation spanned beyond merely employing Saudi talent; it also involved raising the share of contractual local content by enabling a proactive supply chain in the industrial and services sectors, which gave Saudi companies the platform to contribute and suffice the requirements of the project with efficiency and quality standards equivalent to those exercised by foreign companies. 

Commenting on the occasion, Mohammad Abdullah Abunayyan, Chairman of ACWA Power, said: “We are delighted to welcome His Excellency on the grounds of the Kingdom’s first renewable energy project to witness the progress being made on the plant. Skaka PV IPP is a milestone achievement that we are proud to take responsibility for developing and delivering at the highest levels of quality, safety, and security; especially given its importance as one of the first utility-scale projects under King Salman Renewable Energy Initiative, which meets the vision and aspirations of the Kingdom’s power sector”.

One of the core objectives and commitments of the Skaka project is to strengthen and drive localisation within the Kingdom’s power sector by welcoming on board 100 percent Saudisation rate within the first year, and 30 percent of contractual local content during the construction and development phase, Abunayyan added.

Abunayyan emphasised on youth training through ACWA Power’s Higher Institute for Water and Power Technologies (HIWPT) in Rabigh to create new employment opportunities for Al Jouf youth and bolster socioeconomic status, nurture knowledge, and enhance skills within the community.

Spanning over six square kilometres at Al Jouf, Sakaka IPP PV solar project is the first of a series of renewable energy projects within the ambitious Saudi national renewables program aiming to produce 58.7 GW of renewable energy in Saudi Arabia by 2030.

Awarded to an ACWA Power led consortium at a world record tariff of 8.781 halalas/kWh, the SAR 1.2 billion project will supply power to 45,000 of Al Jouf households through clean energy to offset over 430,000 tonnes of carbon dioxide a year.