Huawei wins deal for world’s largest energy storage project at Red Sea development
China’s Huawei Digital Power has been awarded a contract for the battery energy storage solution (BESS) for the utilities project at the Red Sea development in Saudi Arabia
China’s Huawei Digital Power has been awarded a contract for the battery energy storage solution (BESS) for the utilities project at the Red Sea development in Saudi Arabia.
Huawei Digital Power signed the contract with China’s Sepco 3, which is the EPC contractor, for the 400MW of photovoltaic (PV) solar and 1,300MWh BESS, which will be the largest BESS in the world.
The integrated utilities package for the Red Sea project is being developed by Saudi Arabia’s Acwa Power, in consortium with Energy China, which was awarded the contract in November 2020 following a competitive tendering process.
The PPP contract will include the provision of power and water production, sewage treatment and solid waste treatment. The Red Sea Development Company is owned by sovereign wealth vehicle Public Investment Fund (PIF), and the PIF will provide the guarantee for the 25-year offtake agreement.
Under the first phase of the Red Sea development, which is due to be commissioned in 2022, power generation capacity will be required to service a peak demand of 210MW. Power is planned to be generated for the first phase from photovoltaic (PV) solar and wind energy, with 1GWh of battery storage included.
The 1GWh is expected to allow the resort to remain completely off-grid and powered by renewables day and night.
Under the second phase, which is due to be commissioned by 2030, power generation capacity will be required to meet peak demand of 360MW.
Energy & Utilities - Middle East and Africa Market Outlook Report 2024.
This must-have report for industry players offers a thorough understanding of the latest developments, challenges, and opportunities in the region, supported by data, analysis, and expert insights.
E&U Podcast
Subscribe to our Market Talk podcast for the latest on the key issues and trends in the energy and utilities sector
