Saudi Arabian energy giant ACWA Power has signed a deal with the Bangladesh Power Development Board (BPDB) to build 1 GW of solar plants in different parts of Bangladesh.

Under the terms of the deal, ACWA Power will provide technological and financial support for the projects, while BPDB will offer administrative support. ACWA Power will develop the facilities as independent power producer (IPP) projects.

“As the deal is signed, ACWA will now acquire the necessary land and negotiate power prices with the BPDB,” a BPDB official told pv magazine.

The Bangladeshi government launched talks with ACWA Power last year, when a company delegation visited the South Asian country to discuss large solar projects.

Bangladesh currently has 949 MW of installed renewable energy capacity. About 715 MW of the total comes from solar. The government plans to generate 40% of the nation's electricity from renewables by 2041.