ACWA Power Sells Stake in Bukhara Wind Projects to China Southern Power Grid
China Southern Power Grid has recently acquired a 35% stake in the “Bash” and “Jangeldi” wind power plants located in the Bukhara region of Uzbekistan. The Saudi company ACWA Power, which previously owned both energy projects, made the sale as part of a strategic partnership with China Southern Power Grid.
The acquisition ceremony took place on July 17, in the presence of Uzbekistan’s Minister of Energy, Jurabek Mirzamakhmudov. The two wind power plants, with a combined capacity of 1 GW, are currently under construction, with a total estimated cost of $1.3 billion.
This partnership marks the first joint “green” project between ACWA Power and China Southern Power Grid in Central Asia, signaling a collaborative effort to promote renewable energy in the region. In December 2022, ACWA Power signed framework agreements with Chinese partners to support financing, investment, and construction of renewable energy projects in Saudi Arabia and Belt and Road Initiative countries.
To finance the construction of the wind power plants, ACWA Power secured funding from international organizations such as the European Bank for Reconstruction and Development (EBRD) and the Asian Development Bank (ADB). EBRD and its partners granted $520 million for the wind farms’ construction, with an additional $47 million allocated for the transmission lines. The ADB also provided $174 million to support the projects.
The involvement of China Southern Power Grid in these wind power plants represents a significant step towards promoting clean energy initiatives in Uzbekistan and the broader Central Asian region. The collaboration between ACWA Power and China Southern Power Grid highlights the growing partnership between Saudi Arabia and China in the renewable energy sector.
