Kuwait’s Minister of Electricity, Water and Renewable Energy, Mahmoud Boushehri, signed a memorandum of understanding (MoU) with ABC Transco to establish a power generation station and related infrastructure in Kuwait on 27 January.

Boushehri said the MoU is part of the government’s “strategic vision and efforts to engage the private sector in development projects, particularly in power generation, under the independent supplier system”.

ABC Transco, in partnership with US-headquartered GE Vernova as a developer, operator and investor, presented a proposal to the ministry to build a gas-fired power generation plant in Kuwait with a total capacity of 3,000MW.

MEED has requested a comment from GE Vernova.

The proposed power plant “will include all the necessary infrastructure for the power station, such as the main conversion station for delivering electricity to the transmission networks, along with the required water pipelines, fuel lines and other essential elements deemed necessary for the success of the project”.

“I am aware of some parties proposing to develop a directly negotiated public-private partnership (PPP) project,” a source familiar with Kuwait’s power sector tells MEED.

The source added it is unclear if such deals are possible under Kuwaiti procurement law.

Kuwait received a single bid for the contract to develop its second independent water and power project (IWPP) in December.

The lone bidder for the contract to develop the Al-Zour North 2 & 3 IWPP comprises a team of Saudi utility developer Acwa Power and the local Gulf Investment Corporation (GIC).

The planned integrated facility will have a power generation capacity of 2,700MW and a desalination capacity of 120 million imperial gallons a day.