The Ministry of Climate Change, Environment and Energy is seeking investors to establish 15MW solar PV systems in 13 islands nationwide, with bidding opportunities opened until October 22.
The ministry stated that the effort falls under the Accelerating Renewable Energy Integration and Sustainable Energy (AREISE) Project, in collaboration with the World Bank. The project aims to significantly increase the use of renewable energy, install battery storage systems for storing electricity from renewable sources, and modernise utility networks on the islands.
Furthermore, the ministry disclosed that the selected contractor will bear the capital expenses for establishing and maintaining the solar PV systems over a 20-year period. The contractor will be chosen through a competitive bidding process based on technical and financial capabilities, as well as proposed electricity rates.
The ministry anticipates that they will be able to elect a contractor during the first quarter of 2025. It stated that practical works for the project will commence during the last quarter of 2025, following the completion of necessary surveys which will be conducted in the area in which the power systems are to be established.
Noting the significance of the project, the ministry projects a reduction of approximately 6 million litres of diesel annually. The ministry stated that it will further reduce the state expenditure on imported oil by USD3 million per year.
Under the AREISE Project, solar PV systems of 36MW and battery energy storages will be established in several islands across the nation. Additionally, the electricity networks of 19 islands will be upgraded and modernised as well.