Clean Power

Published on September 11th, 2015 | by Smiti


Spain’s TSK Wins $385 Million Order For Solar Power Plant In Kuwait

September 11th, 2015 by  

Kuwait has taken a bold step towards realising its target to have 15% electricity generation from renewable energy projects by 2030.

Kuwait recently signed a contract with Spain’s TSK Group to set up a 50 MW solar photovoltaic power project. The contract is worth $365 million and will see the project start commercial operation in 2017. The project will be set up at Shagaya, 100 kilometres from Kuwait City, and near the country’s border with Saudi Arabia and Iraq. When commissioned, the project will generate enough electricity to fulfil needs of 100,000 homes, and save energy equivalent to 12.5 million barrels of oil every year.

The government also signed similar contracts for two 10 MW solar PV power projects earlier this year. At least one of these projects will be developed by Kuwait Oil Company which, in turn, has awarded the contract for construction of the project to another Spanish company, Gestamp Solar. All three projects will be funded by the Kuwaiti government, however, in the future, projects shall be allocated to private sector companies under build-operate-transfer mechanism.

The country’s Electricity and Water Minister Ahmad al-Jassar stated that Kuwait plans to generate 4.5 GW from wind and solar power projects by 2030, when the total power demand is expected to increase from its current level of 12 GW to 30 GW. By 2025, the government expects to have an operational renewable energy capacity of at least 2 GW. The renewable energy target was announced in 2012 when Kuwait also set a target to generate 1% of the total electricity from renewable energy sources by the end of this year.

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About the Author

works as a senior solar engineer at a reputed engineering and management consultancy. She has conducted due diligence of several solar PV projects in India and Southeast Asia. She has keen interest in renewable energy, green buildings, environmental sustainability, and biofuels. She currently resides in New Delhi, India.

  • JamesWimberley

    Kuwait’s target of “15% electricity generation from renewable energy projects by 2030” is ridiculously low, but at least they are getting started, Saudi Arabia continues with huge plans, all still vapourware.

    • Frank

      I got curious what they produce electricity with, so I started googling. Hit this link that said oil and gas, AND super heavily subsidized like 38 to produce, and sell for 2 back in 2013. Put a real price on it, and see if PV doesn’t start a poppin.

  • Sal20111

    $385m for 50 MW of PV does not make sense – too expensive! About 6 times too expensive.

    • Peter

      Not necessarily! If this is a “hot salt” storage facility which can generate 50MW for 20 hours a day, then a simple 10 year cost per kWh would be :-

      385m * 100 (cents/$) / (20 x 365 x 50,000 kW * 10 years)

      = 10.5 cents/ kWh

      Not cheap, but good for CSP base load generation!

      • Bob_Wallace

        Forget “baseload”. We’re about done building large thermal plants that can’t be turned off and back on quickly.

        The role for thermal solar with storage will be fill-in around much cheaper wind and solar. TSwS is going to have to compete with NG, hydro and storage.

  • Borja

    It will be a CSP plant, not PV. Please notice.

    • JamesWimberley

      At the price, it must be with storage.

      • Borja

        I do not know what it has to do but indeed, a 9 hours thermal storage system, fully designed and implemented by TSK in Gijón, its main headquarter.

  • Ross

    15 years from now 15% renewable electricity generation is going to be seen as a derisory small amount. They need to up their game or their country has no future.

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