The tender handsomely beats the previous record of US2.91c/kW set just last month in Chile, andprevious sub-3c/kWh markers set in Dubai in an earlier tender.
And it continues the stunning cost reductions across renewable energy technologies, with new records set in recent months for on-shore and off-shore wind and solar thermal and storage in particular.
And, it seems, even this bid could be beaten, with the local National newspaper reporting that a local consortium, possibly Masdar Energy, submitting an offer of just US2.3c/kWh if the local authority agrees to write a contract for a solar farm of more than 1.1GW.
It was only 18 months ago that Saudia Arabia-based ACWA Power stunned the solar world, and the broader energy industry, with a bid of less than 6c/kWh in a Abu Dhabi tender.
That price was deemed “impossible” by many doubters, but that plant is being built – at even lower cost after it achieved cheaper than expected finance – and it has been bettered numerous times in the US, the Middle East, and South America.
Paddy Padmanathan, the CEO of ACWA Power, says prices can still fall: “We haven’t reached the bottom yet, but we’re close,” he told The National.
+Info and Source: https://goo.gl/qQ37Aq