A financing agreement has been announced by the Jordan Wind Project Company (JWPC) for construction to begin on a 38 turbine wind farm in the southern governorate of Tafila in Jordan. The wind farm will have a maximum generating capacity of 117 MW.
The electricity generated by the facility will be sold to Jordan’s National Electric Power Company (Nepco) in a 20 year power purchase agreement.
When the facility has been completed it will be able to produce around 400 gigawatt hours of electricity per year and this will displace 235,000 tonnes of carbon emissions each year.
Jordan has a need to diversify its energy supply and wind power is a good fit. There are few domestic energy sources and with the price of oil and gas being so high there is a need for energy sources such as wind power. The commissioning of the wind farm will increase Jordan’s total power capacity by 3 per cent.
The project is expected to begin construction by the end of March 2014. Power is expected to begin being delivered towards the end of 2014 with full production starting the following year.
Helping to finance the operation is a 31 per cent investment by Abu Dhabi renewable energy firm Masdar Clean Energy. This will be the first major Middle East wind farm the company has invested in outside of the UAE. The other investors in the project are InfraMed with a 50 per cent stake and EP Global Energy which holds the remaining 19 per cent.
It is estimated that the project will cost US$290 million. The project was able to secure financing late in November to ensure the project is able to go ahead on schedule. The financing has come from International Finance Corporation (IFC), the European Investment Bank, Eksport Kredit Fonden, Opec Fund for International Development, FMO, Europe Arab Bank and the Capital Bank of Jordan.