Abu Dhabi announces world’s lowest tariff for solar power, sets at a record of USD 1.35 cents/kWh

Abu Dhabi Power Corporation (ADPower) has announced that it has secured world’s lowest tariff for solar power with a record Dh4.97 fils/kWh or $1.35 cents/kWh.

Emirates Water and Electricity Company (EWEC), delivered a virtual read-out of five consortia’s technical and commercial bids for the 2GW Solar Photovoltaic (PV) Independent Power Producer (IPP) project to be located in Abu Dhabi.

According to Khaleej Times, the project has received the world’s most cost-competitive tariff for solar PV energy on a Levelized Electricity Cost basis, which is approximately 44 per cent lower than tariff set three years ago on the 1.2GW ‘Noor Abu Dhabi’ project which started commercial operations in April 2019.

The UAE is one of the few countries to build a solar PV plant larger than 1GW, alongside the likes of China, Egypt and India.

Once operational, the Al Dhafra solar plant will produce enough power for approximately 160,000 households.

This solar power plant is expected to reduce the emirate’s carbon dioxide emissions by more than 1.6 million metric tons a year, equivalent to removing around 470,000 cars from the road.