Saudi's ACWA Power, PIF unit to develop largest solar plant in Middle East

DUBAI, Nov 30 (Reuters) - Saudi Arabia's private utility ACWA Power and a unit of the kingdom's sovereign wealth fund Public Investment Fund (PIF) on Wednesday signed agreements to develop the largest solar power plant in the Middle East, the state news agency SPA said.

The 2,060 megawatt project will be located in Al Shuaibah in Mecca province and is expected to be ready in the fourth quarter of 2025. The electricity generated from the project is expected to power 350,000 homes.

The plant will be jointly owned by PIF subsidiary, the Water and Electricity Holding Company (Badeel), and ACWA Power, with each holding a 50% equity stake in the joint venture Shuiabah Two Electrical Energy Company, the agency reported.

Badeel and ACWA will build, own and operate the Al Shuaibah Two facility and the electricity produced will be sold to the Saudi Power Procurement Company.

Shuaibah 2 is ACWA Power's sixth solar energy facility in Saudi Arabia. Badeel and ACWA are also developing the Sudair Solar PV 1,500 MW project, which was the first renewable energy project in PIF's program.

Reporting by Maha El Dahan; Editing by Arun Koyyur

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