On Sept. 19 the Abu Dhabi Electricity and Water Authority (ADWEA) announced a new low for solar power, 2.42 cents per kilowatt hour. That’s the lowest bid yet for a project in the world. It’s also the second time this year that a project in the middle east broke records in terms of the lowest cost bids for solar power. The initial project size was slated for 350 megawatts but it could be significantly larger, according to news sources.
The new project will be built near Swaihan, northwest of Abu Dhabi to meet the needs of a new settlement being built in the region. It is reported that ADWEA invited bids for solar projects because it realized it could be the least expensive option. Particularly for quickly installed energy generation.
Indeed it looks like ADWEA was correct with record-breaking low bids. Earlier this year a project in Dubai was bid at 2.99 cents per kilowatt hour. At that time it was expected that it would be a singular project and that other projects would cost more. However, since then a project in Chile came in a lower bid of 2.91 cents per kilowatt hour and now, with this latest bid, the price has fallen even further.
While ADWEA has not selected project developer yet it received multiple record-breaking low bids. Indeed, the newest bid came in from a partnership between JinkoSolar and Marubeni, with JinkoSolar developing it. However, they also proposed a much larger project, at nearly 1.2 gigawatts that would fetch a price of 2.3 cents per kilowatt hour, The National reported, citing anonymous sources.
At this point ADWEA has not chosen the project developer. The agency will evaluate the proposals to choose which will most effectively meet the development’s needs.Tweet