Projects within Round two was carrying a minimum requirement of 17% local content as calculated by the mechanisms defined by the Local Content & Government Procurement Authority (LCGPA), which aims to increase the value-added contribution of products and services in the national economy. The six projects being tendered within Round Two represent the first half of REPDO’s 2019 project development pipeline. A further six projects were tendered by the last quarter of 2019 and constitute Round Three of the NREP.
Solar PV Tenders in Saudi Arabia
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Again, in January 2020 REPDO had issued the RFQ for Round Three of the Kingdom’s National Renewable Energy Program (NREP) which was comprised of four Solar PV projects with a combined generation capacity of 1,200 MW. Round Three projects were divided into two categories: “Category A” which targets smaller companies, includes Layla 80 MW Solar PV and Wadi Al Dawaser 120 MW Solar PV projects, while “Category B” includes Saad 300 MW Solar PV and Ar Rass 700 MW Solar PV projects. Round Three will carry a minimum requirement of 18% local content as calculated by the mechanisms defined by the Local Content & Government Procurement Authority, which aims to increase the value-added contribution of products and services in the national economy. A total of 83 applications of which, a total of 49 companies have been pre-qualified for lead roles, including 28 local Saudi companies. Pre-qualified companies will now proceed to the RFP stage as either a managing member and/or technical member and/or local managing member (the latter only applying to Round Three ‘Category A’ projects). All projects tendered by the Ministry of Energy are 100% independent power producers (IPPs) backed by 25-year Power Purchase Agreements (PPA) with the Saudi Power Procurement Company (SPPC) as off-taker. Since its inception, the Ministry of Energy, through the NREP, has pre-developed and tendered 2,170 MW of renewable energy capacity in the Kingdom, of which 700 MW was awarded in 2019 and a further 1,470 MW was supposed to be awarded in 2020.
SOLAR PV PROJECTS In the past, Belectric and Sun & Life (ACWA Holding) had commissioned 10 MW at the carport of the North Park office of Saudi Aramco in Dhahran. King Abdullah City for Atomic & Renewable Energy (KACARE) helps the country to set up a 10 MW solar PV project in Yanub Industrial City. Recently in April 2021, 300 MW of Sakaka IPP project got commissioned in Sakaka City, Al Jouf Province. It was commissioned by ACWA Power (70%) and AlGihaz’s subsidiary AlGihaz Renewable Energy Company (30%).
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