(3BL Media/Justmeans) - The sun rises earlier in Abu Dhabi than in Europe or North America, a fact that is becoming true in more ways than one.
A bidding war for a new, large-scale Sweihan solar project in Abu Dhabi has led to what Renew Economy analyst Giles Parkinson calls “jaw-dropping” prices. Smashing through what had been the $30 per MWh barrier, Chinese PV manufacturer JinkoSolar, in collaboration with the Japanese industrial giant Marubeni, set a new record low solar price with a bid of $US24.20/MWh. Three other bids of the six tendered also came in below $30 on a weighted LEC basis.
What’s more, the low-bidding team claims that for a larger scale project, greater than 1.1GW, they could go as low as $23, and still achieve a rate of return of 7%. The Sweihan bid request was for a 350MW project, though bidders were invited to suggest larger projects. The Abu Dhabi Electricity and Water Authority (ADWEA) will need to decide if they are willing to expand the project.