Jeddah, Kingdom of Saudi Arabia (20th January 2014) Abdul Latif Jameel Energy and Fotowatio Renewable Ventures (FRV) announce that they have formed a joint venture to develop photovoltaic (PV) solar energy projects in the Kingdom of Saudi Arabia. Both companies will jointly develop and invest in solar plants.
Through this venture, FRV and Abdul Latif Jameel Energy will together undertake the tender of the King Abdullah City for Atomic and Renewable Energy (KA-CARE) program, which includes the construction of 41 GW of solar power by 2032, of which 16 GW is photovoltaic. In a first step the program held a preliminary round of applications from five to seven renewable energy projects with a combined capacity of 500-800 MW.
Abdul Latif Jameel Energy, a wholly-owned division of KSA-based Abdul Latif Jameel Co. Ltd, brings its knowledge of the local market and financial capability. FRV, with presence in Dubai, and with more than 2 GW developed worldwide, brings its extensive experience in engineering, development and construction of solar installations, and a proven track record in adding value in the financing and management of the assets.
KA-CARE is His Majesty King Abdullah bin Abdul-Aziz Al Saud’s ambitious program to develop alternative energies and to position the Kingdom of Saudi Arabia as one of the most important renewable energy markets in the world. It includes PV and concentrated solar power energy, wind, geothermal, waste conversion as well as nuclear energy to diversify its energy sources in the future. These projects represent an estimated investment of over $60 billion.
Roberto de Diego Arozamena, CEO of Abdul Latif Energy commented: “The joint venture of Abdul Latif Jameel Energy with a world class developer of solar power plants such as FRV creates a highly competitive and experienced new player in the solar energy space. We aim to bring best cost, flawless execution and optimal energy pricing to the Saudi Arabian market supported by FRV’s significant track record and experience. Our partnership will bring additional value to the Kingdom by developing training programs and creating local job opportunities for Saudi nationals. In addition to the KA-CARE program, we are also evaluating other potential solar energy generation opportunities with FRV. We believe that this joint venture with FRV is a key element of our overall energy generation ambitions in the Kingdom of Saudi Arabia and the region, which will include other countries and technologies”.
According to Tristan Higuero, FRV´s Managing Director for the MENA region, “This joint venture with a partner as prestigious as Abdul Latif Jameel, with extensive experience and knowledge of the region, allows us to undertake the project with guaranteed success and to consolidate FRV’s long-term presence in this strategic market. Due to its geographical position, high level of
solar radiation and the government’s commitment to diversify the national energy production and to promote the creation of a local solar industry, Saudi Arabia is a strategic market for us”.
Photovoltaics are a method of generating electrical power by converting solar radiation into direct current electricity using semiconductors.
About Abdul Latif Jameel Energy
Formed in 2012 with offices in Jeddah and Dubai, Abdul Latif Jameel Energy was established with the goal to become an independent power plant developer and operator within the rapidly changing energy sector. The company will have an initial focus on renewable energies such as solar (photovoltaic & concentrated solar power), wind and hydro power in support of the MENAT region’s growing power and water requirements. Longer term, the company will explore development in conventional power generation, energy efficiency and water desalination projects. Through its operations the company also strives to improve communities through local job creation. Abdul Latif Jameel Energy will focus its resources in the GCC, North Africa and Turkey.
About Abdul Latif Jameel Group
Established in 1945 by the late Sheikh Abdul Latif Jameel, the company that bears his name remains a family owned entity today with headquarters in Jeddah, Saudi Arabia and with its international operations based in Dubai, UAE. The company’s current geographic footprint extends to 16 countries and includes the Middle East, North Africa, Turkey, Asia Pacific and Europe. The company is best known for its core automotive operations and associated value chain businesses, which had their origin in the company’s appointment as the distributor for the Toyota brand in The Kingdom of Saudi Arabia in 1955. Since then the company has diversified into financing, parts manufacturing, electronics distribution, advertising, media and events. In 2012 the company began to diversify further with the intent to become a power plant developer/operator and a residential and commercial real estate developer. The company currently employs 14,900+ people. Abdul Latif Jameel Group is proud of its award-winning and multi-faceted corporate social responsibility programs operated autonomously as Abdul Latif Jameel Community Initiatives (ALJCI). www.aljci.org
FRV is a leading global solar development company with a 2GW pipeline of projects in the emerging solar markets including the Middle East, Australia, Africa and Latin America. Such markets are characterized by the fact that solar power generation can be provided at cost less than the marginal cost of power and/or have broad support for the development of solar power. FRV has the expertise and capital to develop these core infrastructure projects from very early stage, taking them through to operations. FRV partners in the markets it operates.
Since 2006, the management team has completed the construction, operation, maintenance and financing of over 360 MW of photovoltaic and CSP solar energy plants. Such projects represent more than $2 billion in total financings with more than 20 leading banks.
For further information about Abdul Latif Jameel Energy:
Abdul Latif Jameel International, Dubai, United Arab Emirates
Tel: +971 4 448 0983
M: +971 56 604 2923
For further information about FRV:
Carmen Basagoiti / Irene Maeso
Kreab Gavin Anderson, Madrid, Spain
Tel: +34 917027170 / +34 607735133 / +34 649005605