The Ministry of Climate Change, Environment, and Energy has announced a significant initiative aimed at enhancing renewable energy in the Maldives. Investors are now invited to submit bids for the establishment of 15MW solar photovoltaic (PV) systems across 13 islands nationwide. The bidding process is open until October 22.
This initiative is part of the Accelerating Renewable Energy Integration and Sustainable Energy (AREISE) Project, which is being implemented in collaboration with the World Bank. The project is designed to boost the use of renewable energy sources, including the installation of battery storage systems to store electricity from these renewable sources, and to modernize utility networks across the islands.
The successful contractor will be responsible for the capital expenditure involved in setting up and maintaining the solar PV systems over a 20-year period. The selection will be made through a competitive bidding process, evaluating both technical and financial capabilities as well as proposed electricity rates.
The Ministry expects to select a contractor in the first quarter of 2025, with practical work on the project slated to begin in the last quarter of 2025. This timeline will follow the completion of necessary surveys in the areas where the power systems are to be installed.
The project is expected to deliver significant environmental and economic benefits. The Ministry projects a reduction of approximately 6 million litres of diesel annually, which will also lead to a USD 3 million decrease in state expenditure on imported oil each year.
The AREISE Project also includes the installation of 36MW of solar PV systems and battery energy storage across various islands and the upgrading of electricity networks in 19 islands. This comprehensive approach aims to significantly enhance the sustainability and efficiency of the Maldives' energy infrastructure.