Bidders wait for news on Saudi Arabia solar project

Two consortiums submitted best and final offers for 600MW Fasiliyah PV IPP on 19 April

The two groups vying to win the contract for the 600MW Fasiliyah photovoltaic (PV) solar project, the largest project under the second round of the kingdom’s ambitious National Renewable Energy Programme (NREP), are still waiting for news on the best and final offers (BAFO) they submitted for the independent power project (IPP).

The client, Renewable Energy Project Development Office (Repdo), opened the commercial bids for the projects under the second round of the NREP in early April and subsequently selected preferred bidders for five of the six PV solar projects under the second round.

However, for the 600MW Fasiliyah PV IPP, the levelised cost of electricity (LCOE) tariffs from the two lowest bidders were so close that the client decided to invite the two groups to submit a BAFO by 19 April.

The two consortiums which submitted BAFO for the Fasiliyah PV IPP were:

• Acwa Power (local), GIC (Kuwait), Al-Babtain
• Masdar (UAE), EDF (France), Nesma Holding (local)

According to sources close to the NREP programme, the client is still evaluating the proposals and is yet to notify the bidders of their decision.

The two consortiums invited to submit a BAFO for the Fasiliyah scheme were each shortlisted as first ranked bidder for one of the remaining three Category B projects under the second round.

For the 300MW Jeddah PV independent power project (IPP), the Masdar/EDF/Nesma consortium was ranked first shortlisted bidder with a levelised cost of electricity (LCOE) tariff of SRhalalas6.09 per kilowatt hour (SRh/kWh), $cents1.62/kWh in US dollars.

The Acwa Power consortium was selected as first ranked bidder for the 200MW Qurrayat IPP with a submitted LCOE of SR6.688/kWh.

The successful bidders will sign a 25-year power purchase agreement (PPA) with the offtaker Saudi Procurement Company (SPPC).