Kuwait signs $3.27bn contracts for Al-Zour North power plant
KUWAIT , 6 hours, 27 minutes ago
The Kuwait Authority for Partnership Projects (KAPP) has signed contracts with Saudi Arabia's Acwa Power and the Gulf Investment Corporation for the second and third phases of the Al-Zour North power plant.
The total cost for these phases exceeds 1 billion Kuwaiti dinars ($3.27 billion), according to Asmaa Al-Mousa, Director General of KAPP, who spoke with Reuters.
Al-Mousa stated that the investors, not the government, will bear the cost.
This signing marks the beginning of one of the largest electricity projects in Kuwait, aimed at tackling significant electricity shortages.
Upon completion, the Al-Zour North project is expected to generate 2.7GW of power and supply 120 million gallons of water daily through combined-cycle technology, with construction anticipated to take three years.
Kuwait anticipates a marked enhancement in electricity services as several major projects come online, including a substantial collaboration with China, as noted by Adel Al-Zamel, Undersecretary of the Ministry of Electricity, Water, and Renewable Energy, during the signing ceremony.
Since last year, the government has implemented planned power cuts in certain areas to manage the load.
"If these projects go according to plan, by 2028 our situation will be much better," Al-Zamel informed reporters.
Furthermore, Kuwait aims to secure an implementation agreement with China in the first quarter of 2026 for phases three and four of the Shagaya renewable energy project, which boasts a combined capacity of 3.2GW, Al-Zamel added.
