View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Comment
October 25, 2021updated 22 Oct 2021 9:38am

Huawei wins 1,300MWh Red Sea battery deal

The project is the world's largest planned battery storage facility to date

By MEED   

China’s Huawei Digital Power will build a 1,300 megawatt-hours (MWh) battery energy storage system (Bess) at the Red Sea Project in Saudi Arabia.

Free Report
img

Battery energy storage will be the key to energy transition – find out how

The market for battery energy storage is estimated to grow to $10.84bn in 2026. The fall in battery technology prices and the increasing need for grid stability are just two reasons GlobalData have predicted for this growth, with the integration of renewable power holding significant sway over the power market. Over the last decade, various new digital and smart technologies have been integrated, with countries aggressively promoting the modernization of grids, enhancing the grids’ capability to meet present and future requirements. As part of the effort, batteries are being deployed for a wide range of uses. A few such uses include aiding smart grids, integrating renewables, and creating responsive electricity markets. Read this report for expert insights into:
  • Market size and growth
  • Key drivers and restraints
  • Regional trends
  • The impact of the commodity price increase on the battery prices
Get ahead of this growing market and win big by utilizing our report.
by GlobalData
Enter your details here to receive your free Report.

Chinese firm Sepco 3, which is the engineering, procurement and construction (EPC) contractor for the Red Sea multi-utilities package, awarded the contract to Huawei Digital Power.

It is understood that the contract entails the development of 400MW of solar photovoltaic (PV) capacity.

The Red Sea Development Company (TRSDC) awarded the contract to develop all its utilities infrastructure to Saudi-based utilities developer Acwa Power on 16 November 2020.

At the time, it was reported that the utilities infrastructure would include 210MW of renewable energy utilising wind and solar turbines in the first phase, three seawater reverse osmosis plants, a solid waste management centre, an innovative sewage treatment plant and district cooling.

The project is a 100% private utilities project, with the client not investing any of its own capital in developing the infrastructure.

Instead, TRSDC committed to purchasing its utilities from Acwa Power and its consortium partners for 25 years.

It is a single contract, under which Acwa Power will form partnerships with other investors and will appoint EPC contractors for elements of the planned multiple utilities.

Battery energy storage

The contract, which utilises a design, build, operate and transfer model, entails building the world’s largest battery energy storage facility of 1,000MWh.

This solution will enable the development to be powered 100% by renewable energy and remain completely off-grid.

The planned facility at the Red Sea Project eclipses current world-record holders, including Tesla’s 730MWh Bess facility, which is under construction in a substation in California in the US.

The utilities infrastructure will support the development’s first phase, which is due to be completed in 2022. It includes 16 hotels and an international airport.


Energy Transition in the Middle East    

A major new report from MEED looks at how the global shift away from fossil fuels is reshaping energy policy in the Middle East and North Africa, and its impact on business and project investment. 

Learn more about the report here


This article is published by MEED, the world’s leading source of business intelligence about the Middle East. MEED provides exclusive news, data and analysis on the Middle East every day. For access to MEED’s Middle East business intelligence, subscribe here

Related Companies

Free Report
img

Battery energy storage will be the key to energy transition – find out how

The market for battery energy storage is estimated to grow to $10.84bn in 2026. The fall in battery technology prices and the increasing need for grid stability are just two reasons GlobalData have predicted for this growth, with the integration of renewable power holding significant sway over the power market. Over the last decade, various new digital and smart technologies have been integrated, with countries aggressively promoting the modernization of grids, enhancing the grids’ capability to meet present and future requirements. As part of the effort, batteries are being deployed for a wide range of uses. A few such uses include aiding smart grids, integrating renewables, and creating responsive electricity markets. Read this report for expert insights into:
  • Market size and growth
  • Key drivers and restraints
  • Regional trends
  • The impact of the commodity price increase on the battery prices
Get ahead of this growing market and win big by utilizing our report.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Wednesday. The power industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Power Technology