ACWA Power has inaugurated its 120MW Khalladi wind farm in Tangiers,with the aim of supplying clean power to a number of large industrial companies, mainly operating in the cement sector in Morocco at competitive prices.
The wind firm is set to produce and supply 370 GWh of energy to industrial companies annually.This is equivalent to a yearly average consumption of a city of 400,000 people and will contribute to the reduction of more than 144,000 tonnes of CO2 emissions per year
The Khalladi wind farm , which was developed by ACWA Power in collaboration with ARIF investment fund, is situated at Jbel Sendouq, 30km from Tangiers and represents an investment of US $170m.
This entire project was privately funded and investment was financed with equity from ACWA Power and ARIF with a long tenor debt, from the European Bank for Reconstruction and Development (EBRD) in collaboration with the Clean Technology Fund (CTF), and the Moroccan BMCE Bank of Africa (BMCE).
With renewable energy playing an important role in the overall development of countries in Africa, including Morocco, the Khalladi project will contribute Morocco in achieving of the 2020 target of increasing renewable energy component of the energy mix to 42%.Part of this ambition to also develop 2 GW of wind capacity all by 2020.
According to ACWA Power chairman, Mohammad Abunayyan, “Morocco’s energy sector offers attractive investment opportunities, due to a well-established regulatory framework that was put in place by the Moroccan government and due to the country having already attracted significant investments in solar and wind energy.
This has made it possible for ACWA Power to, within six years, deliver the NOOR I solar plant (160 MWe) and the Khalladi wind farm (120MW) and a series of other investments in construction which by the end of 2018, will accumulate to 800 MW of generation capacity in the country,”said Mohammad
“Today, we are proud of having been able to establish in Morocco a solid foundation of seven power plants which will all be operational by the end of this year. With a portfolio valued at over US $3.2bn, we look forward to participating in the future tenders that will be offered to the private sector for power generation and desalinated water production capacity,”he added
ACWA Power has made significant investments in Morocco, with projects and operations expected to be rolled out over the coming decades. ACWA Power Morocco will also serve as a platform for the development of other energy projects in the continent as the company grows its operations into West Africa.
“We are contributing to the durability of Morocco’s economic and social development through the implementation an efficient environment friendly energy policy, which is bringing online significant capacity of reliable electricity supplies utilizing the renewable energy resources that Morocco is richly endowed with, thus reducing energy import bill and conserving foreign currency for decades to come,”said Paddy Padmanathan, president and CEO of ACWA Power.
“We are also proud to not only be able deliver renewable energy at the lowest possible cost to the industries and people of the kingdom but also add value to social and economic development of the country and the communities within which our power plants are located by maximising local content and local employment creation and by contributing to community development,”he added.
ACWA Power Khalladi is 75% and 25% owned by ACWA Power and ARIF Fund respectively,and it is managed by Infra Invest.