ACWA Power signed three agreements with the Ministry of Energy, Uzbekistan worth USD 2.5 billion

On March 8th, 2020, the Ministry of Energy of Uzbekistan has signed three strategic agreements with Saudi Arabia’s ACWA Power* to boost the power generation capacity and technical competence of the nation.  

Agreement I 

The 1500 MW, CCGT power plant, will chip into Uzbekistan’s fast track ambitious plan to attract FDI (Foreign Direct Investment) in crucial sectors to execute its energy diversification strategy. The efficiency rate of this CCGT is 60%; in other words, this project can save almost twice the electricity generated by natural gas power plants. 

Location: This project is under the plan to be developed in Shirin City in the Sirdarya region, Uzbekistan. 

Type of Concession: BOOT (Build, Own, Operate, Transfer). ACWA Power will take the lead in the constructing, engineering, operating and maintaining the plant. 

Agreement II 

ACWA Power has signed an agreement to develop, finance, construct and operate a 500-1000 MW wind farm to tap into Uzbekistan’s natural renewable energy sources. The project is estimated at between USD 550 million to USD 1.1 billion. 

Location: Not yet determined 

Concession Type: BOT (Build Operate Transfer)  

Stakeholders:  

·                     Owner: The Ministry of Energy of Uzbekistan  

·                     Project Company/EPC: ACWA Power  

Agreement III 

An MOU was signed between Ministry of Energy of Uzbekistan, Air Products & Chemicals and ACWA Power. The agreement is meant to conduct training programs to enhance the technical skills of the students in the local educational institutes of the country. This knowledge centre enables to nurture local talent with the required knowledge and expertise which eventually assist the supply chain for the utilities and chemicals sectors in Uzbekistan. 

Abdulla Aripov - Prime Minister of Uzbekistan 

“With infrastructure development key to our economic progress, we want the best international expertise to support our ambitious energy goals. We have chosen ACWA Power to be the government’s partner in upscaling Uzbekistan’s energy generation capacity because of their exceptional track record in delivering results. 

Our collaboration with ACWA Power will enable the government to benefit from the strong private sector participation, which we believe is vital for Uzbekistan’s ongoing transformation and growth. We look forward to working with ACWA Power and building on this partnership in the future.” 

Alisher Sultanov - Minister of Energy of Uzbekistan 

“These newly agreed power projects represent a historic milestone for Uzbekistan and support our mission to strengthen energy security through self-sufficient power sources. ACWA Power’s focus on smart, energy-efficient technologies will provide more than 2000 MW of added power and enable us to achieve a more sustainable, secure and affordable energy ecosystem for our country.” 

 Mohammad Abunayyan - ACWA Power Chairman 

“With our relentless pursuit to align with the pillars of the Saudi Vision 2030 and contribute effectively to achieving its aspirations and goals, we are moving forward on our path of global growth through expanding our geographical footprint and presence in central Asia. The market in this part of the world is thriving with economic activity that will stimulate private sector investment and participation in the energy sector. 

With our proven track record as a global leader in the sectors of power generation and water desalination, with in-depth knowledge and expertise, we are proud to have been granted this opportunity to build strategic partnerships with the Uzbek government. Our partnership will deepen the friendly economic relations between the Kingdom of Saudi Arabia and the Republic of Uzbekistan, and will allow us to utilize our capabilities to unlock the tremendous growth potential of the energy sector in Uzbekistan." 

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*ACWA Power is a developer, investor and operator of power generation and desalinated water plants spanning across twelve countries in the Middle East, Africa and South-East Asia.