Finnish Firm proposes building a power plant in Kuwait within 18 months

• The project, valued at approximately KD 425 million, will be entirely funded by the developer, with no cost to the Kuwaiti government.

• The power plant will utilize advanced technology to reduce fuel consumption and carbon emissions, with a competitive electricity production cost of 11 fils per kilowatt.

A well-informed source revealed to Al-Qabas newspaper that a global investor from Finland, specialized in building power generation and renewable energy plants, recently submitted a comprehensive proposal to finance and construct a 1,500 MW power plant in Kuwait within 18 months.

The initiative aims to address the country’s recurring power outages through an Independent Power Producer (IPP) model, at no cost to the state.

The Finnish developer, Wärtsilä Corporation, has conducted an extensive study, highlighting the benefits and sustainability of Kuwait’s electrical system if modern technology is adopted.

This technology not only reduces fuel consumption but also decreases carbon emissions and produces electricity at the lowest possible cost to the state.

The estimated cost to build the power plant, which will be fully funded by the Finnish investor, is around KD 425 million, offering significant savings to the Kuwaiti government.

The proposed cost of electricity production by the Finnish company is approximately 11 fils per kilowatt, depending on factors such as location and the scope of work, including the extension of electrical and fuel networks.

Advantages of the Finnish offer

The proposal from Wärtsilä includes several key benefits:

1. The ability to construct a 1,500 MW power plant within 18 months.
2. Financing, execution, operation, and maintenance of the power plant at no cost to the state.
3. The developer possesses the financial capability to manage the entire project, selling electricity to the government under a contract extending 25 years or more.
4. The government will not bear any risks or costs associated with the construction or operation of the power plant.
5. Competitive tariff due to the low project cost.
6. The developer has significant global expertise in energy and renewable energy using advanced technology.
7. The ability to use various fuel types, including green hydrogen, offering operational flexibility and significant cost savings.
8. A flexible system for operating generating units, enhancing the stability of the electrical grid.
9. A short and record-breaking time for starting generating units.
10. Minimal downtime for maintenance, as the plant is designed with separate units, reducing the likelihood of complete service interruptions.
11. The ability to meet rapid demand increases, helping to avoid scheduled or unexpected outages due to increased consumption or the failure of existing power stations.
12. The proposed power plant’s operational system supports the use of solar energy.
13. No water is required for cooling, allowing the plant to be built at any suitable location.
14. The ability to use green hydrogen as fuel in the future when it becomes available.
15. Support for the electrical system’s operational capacity, ensuring a continuous power supply for 25 years with a 98% reliability rate.

Delay in decision-making

The source emphasized the urgency of constructing power generation plants and water production facilities as soon as possible to avoid future power or water shortages.

Several global developers have presented exceptional initiatives to resolve Kuwait’s energy crisis in the shortest possible time, at no cost to the state, but no decisions have been made yet.

The source noted that these initiatives would not require the state to allocate any budgets for the construction or operation of power generation or water desalination plants, thus saving the government significant expenses.

This approach has been adopted by most Gulf countries and many other nations worldwide to provide electricity and water at the lowest cost and highest quality.

Use of green hydrogen

The Finnish company, Wärtsilä, which specializes in energy, renewable energy, and energy storage systems, is a leader in developing and using the latest energy technologies.

Established in 1834, the company employs over 20,000 people in 80 countries around the world.

The Finnish developer uses advanced generating units that can operate on all types of fuel, including green hydrogen when it becomes available in the future.

The company also offers flexible energy solutions and smart energy systems.

Global record in Jordan

The source mentioned that the Finnish developer previously built a 537 MW power plant in Jordan, which was recorded in the Guinness World Records.

Presence in 179 countries

The company has multiple energy projects in Tucson, Arizona; Oroville, California; Texas; Australia; Umm Al-Qura in Saudi Arabia; Musandam in Oman; Germany, and many other countries.

The company’s total installed capacity across 179 countries exceeds 71 GW.