Saudi Arabia’s ACWA Power has signed power purchase agreements (PPAs) and investment agreements with the Uzbekistan government to develop the 1.5GW Kungrad wind farm in Uzbekistan.
The wind farm will consist of three 500MW wind power projects operated by three subsidiaries, namely ACWA Power Kungrad Wind 1, ACWA Power Kungrad Wind 2, and ACWA Power Kungrad Wind 3.
The Kungrad wind farm is expected to be valued at $2.4bn.
Each of the three projects is expected to include a battery energy storage system with a capacity of 100MW.
To be developed in the Kungrad district, the Republic of Karakalpakstan, the onshore wind farm is anticipated to reach financial close by 2024 and to be fully commissioned in 2027.
Once operational, the Kungrad wind farm is expected to generate enough electricity to power 1.65 million households.
Formerly known as the Karakalpakstan Wind IPP, the Kungrad wind project is estimated to eliminate 2.4 million tonnes of carbon emissions annually, while having a lower environmental impact.
ACWA Power chairman Mohammad Abunayyan said: “The signing of key agreements today for the landmark Kungrad wind farm project, which will set a new benchmark for sustainable energy development in the region, and the world, would have not been possible without the guidance of our visionary leadership and the trust and commitment of our partners from the Uzbek government.”
The power generation company stated that the Kungrad wind farm will utilise the latest mitigation technologies, including bird detection technology to prevent bird collision or fatality.
Besides, the onshore wind facility is expected to drive the Uzbekistan government’s long-term strategy to expand the country’s energy mix, which aims to achieve 8GW and 12GW of solar and wind capacity by 2026 and 2030, respectively.
Uzbekistan Minister of Energy Jurabek Mirzamakhmudov said: “Uzbekistan is committed to delivering on policy goals to increase the renewable energy share of the country’s energy mix and reduce carbon emissions.
“The development of green energy and market reform go hand in hand in Uzbekistan, and the Kungrad project is a milestone both for our wind industry and the new public-private partnership model, introduced by the far-sighted reforms of President Mirziyoyev.
“The wind farm in Karakalpakstan, which will be built by our reliable partner ACWA Power, will be another pillar of a sustainable and reliable energy system in Uzbekistan.”
