Acwa Power, a leading Saudi developer, investor and operator of power generation and desalinated water plants, has signed a MoU with Neutral Fuels, the largest biofuel producer in the GCC, for future collaboration on the supply of its net zero biofuel for Saudi Arabia’s most ambitious regenerative tourism project on the Red Sea coast.
A consortium led by Acwa Power had been awarded The Red Sea Development Company’s (TRSDC) highest value contract to design, build, operate and transfer the project’s sustainable utilities infrastructure in November last year.
Once complete, the destination will become the first project of its scale in the world to be entirely powered by a range of renewable and sustainable energy sources, including biofuel, the ideal alternative energy source.
As part of the agreement with Acwa Power, Neutral Fuels biofuel is set to fuel the site’s entire transportation network.
"This is a hugely significant moment in the story of climate change. The scale of the project is impressive but the real news here is the massive scale of the commitment that Saudi Arabia is making to renewable energy," remarked Karl W Feilder, CEO of Neutral Fuels.
"They’re not just minimizing harm, they are actively reducing their dependence on fossil fuel and enhancing the environment as they contribute to sustaining and regenerating it for years to come," he added.
Feilder makes the point that given The Red Sea Project’s commitment, other companies have no excuse for continuing to contribute to climate change.
“Net zero biofuel is a very easy and clean plug-in replacement for the fossil fuels that are causing so much trouble to the environment. Any transportation fleet can make the switch overnight. I hope The Red Sea Project proves to be an inspiration for other companies to follow suit,” he said.
Commenting on the deal, Paddy Padmanathan, President & CEO of Acwa Power, said: "As the world seeks to satisfy the rising demand for affordable power and water, we remain committed to being at the forefront of the energy transition and providing transformative solutions, including the early adoption of emerging energy solutions like biofuels, to deliver power responsibly."
"We are delighted to be collaborating with Neutral Fuels, enabling us to accelerate our commitment to support the kingdom’s ambitions to deliver a tourist destination that limits the environmental impact through the provision of zero-carbon emitting utility services, he added.
The Red Sea Project is expected to prevent an estimated 500,000 tonnes of CO2 emissions each year by using renewable energy and has already surpassed significant construction milestones.
Work remains on track to welcome its first guests by the end of 2022, when the international airport and first hotels are due to open.-TradeArabia News Service