Kuwait IWPP Up and Running: Engie

Kuwait’s $1.7bn Azzour North One independent water and gas-fired power project (IWPP) has started full commercial operations, French firm Engie said December 12.

Local newspaper Kuwait Times said the plant began commercial operations November 28, with its entire output being bought by the ministry of electricity and water under a 40-year deal. The gas comes from a mix of LNG imports and domestic production.

As Kuwait’s first IWPP, the plant has the capacity to generate 10% of Kuwait’s power requirements as peak capacity with 1,539 MW, and 20% of the country’s water generation with around 405,000 m³/day. It is owned and operated by Shamal Azzour Al-Oula KSC, which is 60%-owned by the Kuwaiti government. The other 40% equity is owned by a private consortium of Engie, Japan’s Sumitomo Corp and local AH Al Sagar & Brothers. The government of Kuwait is mandated to sell 50% equity to Kuwaiti citizens through an initial public offering (IPO) but will retain 10%, said Engie.

Panoramic view of the new Azzour North One (IWPP) in Kuwait (Photo credit: Engie)

Engie has co-developed a gross portfolio of 30,000 MW power and over 4.5mn m³/d desalination capacities in operation in the six Gulf Cooperation Council states; three such units (one IWPP and two IPPs) are in Saudi Arabia where Engie is also studying nuclear opportunities. The French firm is an established nuclear operator in Belgium.

Mark Smedley