Abu dhabi: Abu Dhabi Future Energy Company PJSC - Masdar, a global clean energy leader, and ENGIE, a leader in low-carbon energy solutions, today announced they have reached financial close for the 1.5 gigawatt (GW) (AC) Khazna Solar Photovoltaic (PV) Independent Power Project. Financing facilities have been secured with seven leading regional and international banks, including Abu Dhabi Islamic Bank, Cr©dit Agricole Corporate and Investment Bank, KfW IPEX, BNP Paribas, Hong Kong and Shanghai Banking Corporation, Sumitomo Mitsui Trust Bank, and Emirates Development Bank.
According to Emirates News Agency, Khazna Solar PV was awarded to Masdar and ENGIE in October 2025. Following the award, a project company owned by ENGIE and Masdar signed a 30-year Power Purchase Agreement (PPA) with EWEC (Emirates Water and Electricity Company). This agreement is significant for the integrated planning, purchasing, supply, and system dispatch services of water and electricity across the UAE.
The project is expected to start commercial operations in 2028 and will produce enough electricity to power approximately 160,000 homes. It will also avoid around 2.4 million tonnes of carbon emissions per year, supporting the UAE's energy transformation and contributing to national decarbonization goals. Mohamed Jameel Al Ramahi, Chief Executive Officer of Masdar, emphasized the project's importance in the UAE's energy transformation and its contribution to Masdar's expanding portfolio.
Catherine MacGregor, CEO of ENGIE, highlighted the financial close as a landmark in developing a mission-critical asset for the UAE's path toward net zero by 2050. She noted that the Khazna Solar PV project will serve as a flagship in enhancing the UAE's national energy security and long-term decarbonization ambitions.
Ahmed Ali Alshamsi, Chief Executive Officer of EWEC, stated that the financial close of Khazna Solar PV is a decisive step in scaling world-class renewable capacity and transforming the UAE's energy landscape. The project is part of EWEC's strategic plan to meet 60 percent of total power demand from renewable and clean energy sources by 2035, aligning with the UAE Net Zero by 2050 Strategic Initiative.
Located between Abu Dhabi and Al Ain, the Khazna Solar PV project is 60 percent owned by Masdar, with ENGIE holding 40 percent. This development will contribute to the Abu Dhabi Department of Energy's 2035 Clean Energy Strategic Target, aiming to meet a significant portion of electricity demand from renewable sources.