The consortium formed by ENGIE and Masdar has confirmed the financial close of the Khazna Solar PV project, a 1.5 gigawatt capacity facility to be built between Abu Dhabi and Al Ain. This step marks the formal start of one of the most ambitious PV initiatives in the United Arab Emirates and consolidates ENGIE as a key player in the expansion of renewable energy in the region.
Financing backed by 7 banks for the Khazna solar plant
To ensure the viability of the project, the consortium has secured funding from high-profile financial institutions such as Abu Dhabi Islamic Bank, Crédit Agricole CIB, KfW IPEX, BNP Paribas, HSBC, Sumitomo Mitsui Trust Bank and Emirates Development Bank.
This solid financial structure will allow us to move forward with the design, construction and commissioning of the complex, which will operate under a power purchase agreement (PPA). power purchase agreement (PPA) with EWEC, the UAE’s (PPA) with EWEC, the authority responsible for energy planning in the UAE.
2.4 million tons of CO₂ avoided per year.
The Khazna solar plant will generate enough electricity to power 160,000 homes in the Emirates, which is equivalent to avoiding the emission of approximately 2.4 million metric tons of carbon dioxide each year. This direct impact on the national carbon footprint aligns with the Net Zero by 2050 initiative and Abu Dhabi’s goal of meeting 60% of its electricity demand from renewable sources by 2035.
Khazna represents not only a technical breakthrough, but also the first project within a regional cooperation agreement between ENGIE, LONGi and PowerChina. The partnership aims to implement photovoltaic projects projects in excess of 800 MW in countries such as Saudi Arabia, Morocco and the UAE itself. This industrial synergy aims to establish a replicable model of green electrification in the Middle East and North Africa.
Solar energy at scale
Scheduled to enter commercial operation in 2028, Khazna will be the largest plant built to date by ENGIE. Its development strengthens the country’s energy security and contributes to a more resilient electricity system. It also introduces technical advances in solar modulesand storage, and smart grid management, consolidating the UAE as a technology hub in large-scale renewable generation.
Source and photo: ENGIE