Kuwait selects developer for Shagaya zone one plant

14 August 2026
Kuwait selects developer for Shagaya zone one plant

A consortium of Abu Dhabi Future Energy Company (Masdar) and Kuwait’s Fouad AlGhanim & Sons has been selected for a contract to develop the 1.1GW Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone one independent power project (IPP).

Kuwait’s first utility-scale solar photovoltaic (PV) plant is being procured by Kuwait’s Ministry of Electricity, Water & Renewable Energy (MEWRE), through the Kuwait Authority for Partnership Projects (Kapp).

According to a source, China’s Aiko Energy, Yingli Energy Development and Hengdian Group DMEGC Magnetics have been selected to supply PV modules.

Another Chinese firm, Sungrow, will supply the project’s PV inverters, the source said.

As MEED understands, the Masdar-led consortium will export the plant’s electricity output to the national grid under a 30-year power-purchase agreement with the ministry. The contract also includes the construction of an associated 400kV transmission substation.

Financial bids for the developer’s contract were opened in July, with MEED exclusively reporting that the Masdar consortium had emerged as a frontrunner for the contract after making “the most competitive” offer.

In January, MEED reported that three developer consortiums had submitted bids for the project. Kapp previously issued the request for proposals in June 2025.

London-headquartered consultancy firm EY is the lead and financial transaction adviser. The UK’s DLA Piper is the legal adviser, while Norwegian engineering services firm DNV is the client’s technical and environmental adviser.

Zone two

Kuwait aims to have a renewable energy installed capacity of 22,100MW by 2030 as part of the 20-year strategy announced in March 2025 and ending in 2050.

In July, MEED exclusively reported that at least three consortiums had submitted bids for Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone two IPP, which will have a capacity of 500MW.

The Al-Dibdibah power and Al-Shagaya complex is located within the administrative boundaries of Kuwait’s Jahra governorate, west of Kuwait City.

The zone two scheme is the fourth renewable energy project to be developed under Kuwait’s public-private partnership programme.

Kapp opened bidding for the zone two IPP in September last year. The winning bidder will design, finance, construct and maintain the project.

Similar to the 1.1GW zone one project, EY and DLA Piper, together with DNV, are advising the client on the zone two solar IPP. A consortium of Abu Dhabi Future Energy Company (Masdar) and Kuwait’s Fouad AlGhanim & Sons has been selected for a contract to develop the 1.1GW Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone one independent power project (IPP).

Kuwait’s first utility-scale solar photovoltaic (PV) plant is being procured by Kuwait’s Ministry of Electricity, Water & Renewable Energy (MEWRE), through the Kuwait Authority for Partnership Projects (Kapp).

According to a source, China’s Aiko Energy, Yingli Energy Development and Hengdian Group DMEGC Magnetics have been selected to supply PV modules.

Another Chinese firm, Sungrow, will supply the project’s PV inverters, the source said.

As MEED understands, the Masdar-led consortium will export the plant’s electricity output to the national grid under a 30-year power-purchase agreement with the ministry. The contract also includes the construction of an associated 400kV transmission substation.

Financial bids for the developer’s contract were opened in July, with MEED exclusively reporting that the Masdar consortium had emerged as a frontrunner for the contract after making “the most competitive” offer.

In January, MEED reported that three developer consortiums had submitted bids for the project. Kapp previously issued the request for proposals in June 2025.

London-headquartered consultancy firm EY is the lead and financial transaction adviser. The UK’s DLA Piper is the legal adviser, while Norwegian engineering services firm DNV is the client’s technical and environmental adviser.

Zone two

Kuwait aims to have a renewable energy installed capacity of 22,100MW by 2030 as part of the 20-year strategy announced in March 2025 and ending in 2050.

In July, MEED exclusively reported that at least three consortiums had submitted bids for Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone two IPP, which will have a capacity of 500MW.

The Al-Dibdibah power and Al-Shagaya complex is located within the administrative boundaries of Kuwait’s Jahra governorate, west of Kuwait City.

The zone two scheme is the fourth renewable energy project to be developed under Kuwait’s public-private partnership programme.

Kapp opened bidding for the zone two IPP in September last year. The winning bidder will design, finance, construct and maintain the project.

Similar to the 1.1GW zone one project, EY and DLA Piper, together with DNV, are advising the client on the zone two solar IPP.

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