Madinah: The Principal Buyer has signed a Power Purchase Agreement (PPA) for the Yanbu Wind Energy project under the National Renewable Energy Program (NREP), with a total capacity of 700 MW and an investment exceeding SAR1.7 billion (approximately $458 million). The agreement was made with a consortium comprising MARUBENI Corporation and Abdulaziz Al Ajlan Sons Co. for Commercial and Real Estate Investment (Ajlan and Bros).
According to Saudi Press Agency, the Yanbu project is situated in the Madinah Region and boasts a Levelized Cost of Electricity (LCOE) of 1.72468 US Cent/kWh (6.46755 Halala/kWh). This project is a significant step under the National Renewable Energy Program, which is supervised by the Ministry of Energy and aligns with the Vision 2030 objectives by harnessing renewable energy sources.
The program aims to achieve an optimal energy mix by increasing the share of renewable capacity to up to 50% of the energy mix for electricity generation. This initiative is set to contribute to the displacement of high-value liquid fuels from the power generation sector, further promoting sustainability.
The Principal Buyer is tasked with predeveloping, tendering, and subsequently offtaking energy from power generation projects within the Kingdom of Saudi Arabia.