Abu Dhabi’s clean energy company Masdar has signed a preliminary agreement with Jordan’s Ministry of Energy and Mineral Resources to develop renewable energy projects in the kingdom, strengthening its commitment to sustainability and decarbonisation.
Under the pact signed on Thursday at the Cop27 climate summit in Egypt, the two entities will explore investment in renewable energy projects in Jordan with a production capacity of up to 2 gigawatts, Masdar said.
The collaboration will also include exchange of expertise and knowledge in the areas of renewable energy and infrastructure development, including electricity transformation, distribution and exportation.
The projects will “support Jordan’s ambitious renewable energy goals and help to ensure energy security for the nation”, said Dr Sultan Al Jaber, UAE Minister of Industry and Advanced Technology, Special Envoy for Climate Change and chairman of Masdar.
“As we look toward hosting Cop28 in the UAE next year, Masdar is dedicated to supporting our neighbouring countries in the Middle East in their energy transitions,” Dr Al Jaber said.
Masdar has more than $20 billion of investments globally and is rapidly expanding its renewables portfolio as countries focus on cutting emissions to limit global warming.
This year, the company signed a number of new agreements to explore and develop renewable energy and green hydrogen projects after increasing its global clean energy portfolio capacity by 40 per cent in 2021.
Masdar aims to reach 100 gigawatts of renewable capacity in the next 10 years.
In Jordan, the company has already accomplished two major renewable energy plants.
In 2015, Masdar delivered the Tafila Wind Farm in Jordan, the first commercial utility-scale wind power project in the Middle East. The 117-megawatt wind farm increased the country’s total power capacity by 3 per cent.
Masdar was also the developer and lead partner on the 200-megawatt Baynouna project, located east of Amman, which is the largest single solar energy project in Jordan, Masdar said.
It generates 563 gigawatt hours of electricity each year, equivalent to 4 per cent of the annual energy consumption of Jordan.
Since 2020, the project has been meeting the annual power needs of approximately 160,000 homes, displacing an estimated 360,000 tonnes of carbon dioxide each year.
Through the latest agreement, Masdar is likely to significantly increase its renewable energy footprint in Jordan, which currently produces around 29 per cent of its electricity from renewable sources, and aims to increase this share to 50 per cent by 2030, according to Saleh Al-Kharabsheh, Jordan’s Minister of Energy and Mineral Resources.
“The country is also looking to become a regional hub for green energy production benefiting from the abundance of renewable energy, in addition to its central location in the Middle East and Africa,” Mr Al-Kharabsheh said.
The partnership with the UAE and Masdar will help Jordan to reach its sustainability ambitions, he said.