ISA, Cuba’s Unión Eléctrica (UNE), and India’s NTPC have been working together to ensure the solar project is bankable, technically sound, and attractive to international investment.
The International Solar Alliance, in partnership with the Republic of Cuba and National Thermal Power Corporation (NTPC), the Project Management Consultant, announced a request for qualification for an 1150 MW solar project to be implemented in Cuba.
The project is part of Cuba’s plan to implement 2100 MW of solar projects, reducing the reliance on expensive and polluting diesel generators and increasing its green energy portfolio. It also includes the building of 150 MW/150 MWh of storage to support grid reliability.
The Cuban government authorities have given a strategic priority to this project aimed at changing the energy mix in favour of renewable energy sources. The project is expected to follow the success of previous international projects, such as Solar Park and Natural Gas IPPs.
The International Solar Alliance and NTPC have been working with Cuban officials and engineers to ensure the success of the tender. “We have performed multiple site visits and thoroughly analysed the resource potential, land suitability, and transmission availability. This project is technically ready for international investment, and we are eager to help take it forward,” says the Project Manager from NTPC.
The project will be supported by a functional scheme that guarantees the return of investments and the benefits accruing from the savings of fossil fuels from the project. A sovereign guarantee is also being extended to the project along with other guarantees as per Cuban legislation. The project will receive priority with relevant procedures and permissions expedited in accordance with the regulations for Cuban foreign investment.
This project is the first in ISA’s broader solar park program, which seeks to support developing markets in structuring bankable, economic solar parks through technical support, transparent and competitive tendering and formulating effective project agreements like PPAs and implementation agreements.
Request for qualification (RFQ) has been floated on behalf of UNE by NTPC for the selection of an eligible list of participants. These selected participants will be called for the final stage of the tender, i.e., Request for Proposal (RFP), where they will need to provide price bids and quantum of power capacity in MW.