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- The USD 4.2 billion projects have a combined generation capacity of 2.5GW and 968MW of battery storage
Riyadh, Kingdom of Saudi Arabia: Saudi-listed ACWA Power, the world’s largest private water desalination company, leader in the energy transition and first mover into green hydrogen, recently signed a joint development agreement with Japan’s Sumitomo Corporation, a Fortune 500 trading and business investment company, to develop key renewable energy generation and storage projects in the Republic of Uzbekistan.
The projects—which include Sazagan 1 and 2—are located in Samarkand. Each consists of 500MW solar photovoltaic (PV) and 334MW battery energy storage systems (BESS). Both sub-projects are expected to achieve commercial operations between Q2 2026 and Q2 2027.
The second set of projects includes Kungrad 1, 2 and 3 wind projects, located in the Republic of Karakalpakstan in Uzbekistan. Each sub-project comprises of 500MW wind power plant and 100MW BESS, with commissioning planned in Q2 2028.
The projects in Samarkand and Kungrad have a combined investment value of USD 4.2 billion and are among the largest clean energy and storage projects in Uzbekistan.
The joint development agreement will see ACWA Power divest 49% of its stake in the Samarkand and Kungrad projects to Sumitomo Corporation. The partnership follows agreements announced in May 2024 on the sidelines of the Saudi-Japan Vision 2030 Business Forum, which encouraged collaboration on renewable energy and water solutions.
Commenting on the partnership, Thomas Brostrom, Chief Investment and Development Officer, ACWA Power, said: "This joint development agreement with Sumitomo Corporation showcases ACWA Power's commitment to supporting Uzbekistan's impressive and ambitious energy transition. Integrating battery storage with our solar and wind projects in Samarkand and Kungrad enhances grid reliability and maximises renewable potential. The agreement also aligns with our growing Uzbekistan portfolio, which includes wind power plants in multiple regions and the country’s first green hydrogen plant that will produce 3,000 metric tons of green hydrogen per year. These, alongside other innovative energy investments across the country, illustrate ACWA Power’s commitment to supporting Uzbekistan's emergence as a regional leader in sustainable energy development."
"Uzbekistan is ACWA Power's second-largest market in terms of investments, demonstrating our ongoing commitment to the country's energy transition and sustainable development targets," said JP Tiwari, Vice President & Head of Business Development Central Asia, Caucasus, Turkey, ACWA Power. "By leveraging our partnership with Sumitomo Corporation, we are further cementing this commitment as we pursue the largest clean energy projects in the country, providing accessible, affordable, and sustainable energy for the people of Uzbekistan.”
Koichi Taniguchi, General Manager of Overseas Energy Solution SBU, Sumitomo Corporation, mentioned: “This joint development of remarkable renewable projects in Uzbekistan in collaboration with ACWA Power aligns with our company’s target in power generation business to provide a stable supply of the energy, essential for the economic and industrial development of local communities, through the projects which are in line with host countries’ energy transition policy. We aim to contribute to the sustainable growth of the country and communities in Uzbekistan through this collaboration with ACWA Power.”
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About ACWA Power
ACWA Power (TADAWUL:2082) is a Saudi-listed company and the world's largest private water desalination company, the first mover into green hydrogen, and a leader in energy transition. Registered and established in 2004 in Riyadh, Saudi Arabia, ACWA Power employs over 4,000 people and is currently present in 13 countries in the Middle East, Africa, Central Asia and Southeast Asia. ACWA Power’s portfolio comprises 90 projects in operation, advanced development, or construction with an investment value of SAR 353.77 billion (USD 94.3 billion), and the capacity to generate 65.6 GW of power and manage 8.0 million m3/day of desalinated water per day. This energy and water is delivered on a bulk basis to address the needs of state utilities and industries on long-term, off-taker contracts under utility services outsourcing and public-private partnership models. Learn more: www.acwapower.com
Media contacts:
Yahya Hamidaddin, Executive Director – Media Affairs & External Comms – YHamidaddin@acwapower.com
Mohammed Al Hasan, Media Lead – Media Affairs & External Comms – Moalhasan@acwapower.com
About Sumitomo Corporation
Sumitomo Corporation (TYO: 8053) is an integrated trading and business investment company with a strong global network comprising 128 offices in 66 countries and regions. The Sumitomo Corporation Group consists of approximately 900 companies and 80,000 employees on a consolidated basis. The Group's business activities are spread across the following nine groups: Steel, Automotive, Transportation & Construction Systems, Diverse Urban Development, Media & Digital, Lifestyle Business, Mineral Resources, Chemicals Solutions and Energy Transformation Business. Sumitomo Corporation is committed to creating greater value for society under the corporate message of "Enriching lives and the world," based on Sumitomo’s business philosophy passed down for over 400 years.
Media Contacts:
Corporate Communications Dept.: sc_koho_press@sumitomocorp.com