Riyadh – Mubasher: Saudi Power Procurement Company (SPPC) has signed two power purchase agreements (PPAs) with a consortium-led Japanese business conglomerate Marubeni Corporation.

The PPAs include supplying energy from Saudi wind power projects Al Ghat and Wa'ad Al Shamal, which have capacities of 600 and 500 megawatts (MWs), respectively, according to a statement.

Prince Abdulaziz Bin Salman bin Abdulaziz Al Saud, Minister of Energy, said: "Al Gat had achieved a new record low cost of electricity production from wind power at 1.56558 cents/kWh levelised cost of electricity (LCOE)."

“Wa'ad Alshamal project achieved a second world record low for wind power at 1.70187 cents/kWh LCOE,” the minister added.

He emphasised that the electricity generated from both projects is ample to power 257,000 residential units annually, underscoring their significance in improving energy efficiency in Saudi Arabia.

The minister also highlighted that these initiatives are integral to the National Renewable Energy Programme (NREP) overseen by the Ministry of Energy, an extension of efforts to achieve Vision 2030's objectives, optimise the energy mix, and reduce reliance on liquid fuels in the kingdom's power sector.

It is worth noting that SPPC signed the agreements on the sidelines of the Saudi-Japan Vision 2030 Business Forum.

Earlier this week, Saudi Arabian Oil Company (Aramco), Japan’s Mizuho Financial Group, and other companies signed multiple agreements on the sidelines of the Business Forum of Saudi-Japan Vision 2030.