The Silk Road Fund has become a partner and 49% shareholder in ACWA Power Renewable Energy Holding Company Limited, according to ACWA Power.
The ACWA Power Limited is an ACWA Power renewable energy platform that currently owns a group of renewable energy projects. It has benefited from a rapid growth in the renewable energy potential of emerging markets, as it currently has concentrated solar and photovoltaic power plants, and wind power plants. These plants are located in the UAE, South Africa, Jordan, Egypt, and Morocco. and hold a total production capacity of 1,668 MW.
Paddy Padmanathan, CEO of ACWA Power, said the agreement signing with the Silk Road Fund confirms the strength of economic relations between Saudi Arabia and China. He added that the cooperation will enhance ACWA Power’s ambitious growth plans in the renewable energy sector in the Middle East, Africa, and Asia.
“We consider our partnership with the Silk Road Fund as a strategic step, as it contributes to the economic transformation that we look forward to seeing within the Belt and Road initiative, as well as in the Saudi Vision 2030, “said Rajit Nanda, Investment Director of ACWA Power.
Nanda added, “This partnership confirms the company’s commitment to contribute to the green development of the regions in which we operate, especially because we enjoy reliable financial stability that establishes our position as an attractive investment partner with shareholders, locally and globally.”
This is the third successfully sealed partnership between ACWA Power and the Silk Road Fund. The two companies had previously invested in two pioneering projects in the UAE.
These include the Hassyan Energy Production Complex that uses clean coal technology and an independent producer system to output 2400 MW. The two companies have also been involved in the fourth phase of the Mohammed Bin Rashid Solar Energy Complex that has a 950 MW capacity. It adopts a hybrid model combining solar panels and concentrated solar power technologies, to meet the energy needs of 320,000 housing units.