EDF and SPIC Secure PPAs for 1,400 MW Solar Projects in Saudi Arabia

France's EDF Renewables, in partnership with China’s SPIC Huanghe Hydropower Development Company, has signed power-purchase agreements (PPAs) with the Saudi Power Procurement Company (SPPC) for two major solar photovoltaic (PV) projects in Saudi Arabia.

These projects, with a combined capacity of 1,400MW, represent a significant step in advancing Saudi Arabia's renewable energy goals under its Vision 2030 initiative. The consortium, which will develop, construct, own, and operate the projects, secured the contracts earlier this year under the fifth procurement round of Saudi Arabia's National Renewable Energy Programme (NREP).

The two projects include the 1,000MW Al-Masaa Solar Independent Power Producer (IPP), located in Dharghat town in Hail province, and the 400MW Al-Henakiyah 2 Solar IPP, situated 36 kilometers southeast of Al-Henakiyah town in Medina. The total estimated investment for both projects is USD 850 million. The consortium has entered into a 25-year agreement with SPPC to deliver clean energy from these solar farms, which are expected to power more than 240,000 homes annually and reduce carbon dioxide emissions by over 2.7 million tons each year.

The signing of the PPAs took place during French President Emmanuel Macron's visit to Riyadh, signifying strengthened French-Saudi collaboration in renewable energy development. The ceremony was attended by prominent officials, including Saudi Energy Minister Prince Abdulaziz bin Salman Al-Saud, Saudi Commerce Minister Majid bin Abdullah Al-Qasabi, and French Minister of Ecological Transition, Energy, Climate, and Risk Prevention, Agnes Pannier-Runacher. Beatrice Buffon, Vice-President of EDF Group’s International Division and Chairwoman and CEO of EDF Renewables, and Mazin Albahkali, CEO of SPPC, signed the agreements on behalf of their respective organisations.

Once operational, the Al-Masaa and Al-Henakiyah solar projects are set to play a pivotal role in Saudi Arabia's transition towards cleaner energy sources, contributing significantly to the country’s sustainability goals while showcasing the potential of international partnerships in driving the global renewable energy agenda.