Japan’s Toyota Tsusho is expected to build a 228MW thermal solar power and natural-gas hybrid plant at Abdalyiah in Kuwait.

The company is concluding feasibility and technical studies. The original site was rejected due to sub-surface oil and a nearby site has been chosen instead.

The project will have a capacity of about 65MW solar power and roughly 163MW in gas-fired capacity and will be built on a build-own-transfer (BOT) basis.

Once the studies are concluded, Toyota is set to enter negotiations on the power purchase agreement and energy conversion agreements with the electricity ministry and the Partnerships Technical Bureau (PTB).

As Toyota proposed the project and carried out the necessary studies, it is likely to be the company that will build the project. However, it will still need to compete in a tender. According to Kuwaiti law, the company will be awarded a 5-point advantage over the other bidders and is therefore in a strong position for the contract.

The solar/gas facility will be 100 per cent owned by the developer. According to a source at the PTB, the project is worth roughly KD200m ($720m). The sponsor will be responsible for financing the project as an independent power project (IPP).