Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, and Sheikh Mansour bin Zayed, Vice President, Deputy Prime Minister and Minister of the Presidential Court, on Wednesday witnessed the signing of an agreement between the Dubai Electricity and Water Authority and Masdar to implement the sixth phase of the project to develop the world's largest single-site solar photovoltaic power plant.
The sixth phase of the project will use PV solar panels based on the Independent Power Producer model, and has an estimated cost of Dh5.51 billion ($1.4 billion).
It will “provide energy for more than half a million homes and reduce energy consumption”, Sheikh Mohammed said on X, formerly Twitter.
“Work on all phases of this huge project will be completed in 2030 with a total investment of Dh50 billion. Our goal is 100 per cent clean energy for Dubai by 2050,” Sheikh Mohammed wrote.
The sixth phase of the project is set to be operational in stages starting from the fourth quarter of 2024, Dubai Media Office said in a statement on Wednesday.
It is expected to power more than half a million residences while reducing carbon emissions by 2.36 million tonnes annually.
Being awarded the project is "testament to Masdar’s track record in pioneering clean energy projects as we continue to support the UAE's Net Zero by 2050 strategic initiative", said Dr Sultan Al Jaber, Minister of Industry and Advanced Technology, chairman of Masdar and Cop28 President-designate.
"Ahead of our nation hosting Cop28 later this year, it is vital that the world triples global renewable energy capacity by 2030 to keep the ambition of 1.5 degrees within reach. This landmark project demonstrates definitive action in our shared journey towards a cleaner, greener future."
Masdar was selected from 23 international bidders and offered a levelised cost of energy of $1.6215 cents per kilowatt hour (kWh), the lowest of any of Dewa’s solar IPP model projects to date.
The 1,800 megawatt sixth phase of the solar park will increase total production capacity to 4,660MW.
"This underscores the UAE’s prominent status as one of the world’s largest investors in clean and renewable energy projects," said Saeed Mohammed Al Tayer, managing director and chief executive of Dewa.
"It also affirms our support for the UAE’s hosting of the Cop28 at Expo City Dubai, aligning our strategies and policies with the UN Sustainable Development Goals 2030 in sustainability, innovation and future-making.”