This week Masdar has signed an agreement with the Ministry of Investments and Foreign Trade of the Republic of Uzbekistan and JSC National Electric Grid of Uzbekistan to design, finance, build and operate a 500-megawatt utility-scale wind farm project. The total project cost is 825 million in US dollars and the project will be directly fully funded by the investor.
The Power Purchase Agreement (PPA) and the Investment Agreement were signed during a virtual ceremony.
Under the agreements, Masdar will develop, build and operate the wind farm project, which will be located in the Zarafshon district of the Navoi Region. The wind farm will produce enough electricity to cover the consumption of more than 500,000 homes. Commercial operation is expected to be achieved in 2024.
According to the agreement, and in accordance with the terms of the «Electricity Sale and Purchase Agreement», the produced renewable energy resources are received by the JSC «National Electric Grid of Uzbekistan» as a single buyer and are supplied to consumers through the general electricity supply system of Uzbekistan.
Deputy Prime Minister Umurzakov, said: “Masdar is our long-term trusted partner in expanding our renewable energy capacities and bringing their well-known international expertise to the country. This energy project with Masdar clearly illustrates the testimony to the strong commitment by the Government of Uzbekistan to increasing private sector participation in the country and support our ambitious clean energy goals.”
Masdar’s Al Ramahi said: “Masdar is proud to be collaborating with the Government of the Republic of Uzbekistan on our second utility-scale clean energy project in the country. The 500MW wind farm supports Uzbekistan’s long-term renewable energy ambitions and its strong commitment to not only modernise its power sector, but also invest in energy security. As a global leader in the development of utility-scale wind power, Masdar is committed to advancing clean-tech innovation both regionally and internationally by deploying the latest technologies at scale and enhancing their commercial viability.”
The signing ceremony highlights Uzbekistan’s goal of developing 5 gigawatts (GW) of renewable energy by 2030.