Abu Dhabi’s Masdar wins contract for 200MW solar power project in Armenia

Masdar (Abu Dhabi Future Energy Company) has won a tender to build a $174m utility-scale solar project in Armenia.

The 200-megawatt (MW) plant will be located in the Talin and Dashtadem communities of Armenia, in an area where solar radiation is both high and land is unusable for agriculture.

The plant will span over 500 hectares, and will create numerous direct and indirect jobs. The tender was part of the Joint Development Agreement signed between Masdar and ANIF in November 2019, to develop renewable energy projects with a total capacity of 400MW in Armenia. Further discussions are underway on the development of the remaining 200MW.

We are thrilled to share that #Masdar has been selected as the winning bidder to develop #Armenia’s biggest utility-scale solar project.

Read more: https://t.co/Aq1lK048S2 #ForASustainableFuture pic.twitter.com/ubsldQiXDW

— Masdar (@Masdar) July 6, 2021

The Armenian Government had implemented an international tender following Masdar’s initial offer of $0,0299/kWh in December 2019.

In a statement, Masdar said that following a competitive process, it submitted a final price of $0,0290/kWh.

The project will be developed on a design, finance, build, own, and operate (DFBOO) basis and the project company will be 85 per cent owned by Masdar, with the Armenian National Interest Fund (ANIF) holding 15 per cent.

“By winning the tender for Armenia’s biggest utility-scale solar project, Masdar enters an exciting new phase in our collaboration with our partners at ANIF and with the Armenian government. This is a vital stage in Armenia’s clean energy journey. Low-cost solar energy will help power new industries, generate jobs and set the country on the path to a prosperous and truly sustainable future,” said Mohamed Jameel Al Ramahi, CEO of Masdar.

David Papazian, CEO of ANIF, added, “This is by far the largest single foreign investment in green energy in the region and the second-largest foreign direct investment in the history of modern Armenia. We are both lucky and proud to have Masdar as our partner in this most crucial phase of Armenia’s energy mix diversification and evolution towards renewables.”

In April, Masdar signed agreements to develop a utility-scale solar photovoltaic (PV) project in the Armenia’s neighbour, the Republic of Azerbaijan. The 230-megawatt (MWac) plant is expected to start commercial operations in early 2023.

Read: UAE’s Masdar inks deal for mega solar power project in Azerbaijan