Western Power Enters Central Asia With ACWA

Korea Western Power (KWP) has entered the renewable energy market in Central Asia, marking the first time a state-run power generation company from South Korea will do so. On August 25, KWP signed a memorandum of understanding with ACWA Power, an international energy company with a majority shareholder being Saudi Arabia’s Public Investment Fund. The partnership aims to expand renewable energy projects in Uzbekistan, a country experiencing rapid electricity demand growth due to economic expansion and industrialization.

The agreement between KWP and ACWA plans to leverage their respective project development expertise and local capabilities to secure major renewable energy platform projects in Uzbekistan. Uzbekistan has set a goal to increase renewable energy generation to 40% by 2030, while modernizing its power sector and building large-scale energy storage systems.

ACWA Power, with a global capacity of 98 gigawatts across 16 countries, currently leads the market in Uzbekistan with 11.5 gigawatts of projects, including the "Tashkent Riverside" project—a solar power facility coupled with a 500-megawatt-hour energy storage system. KWP already has four projects in the Middle East and is currently constructing and operating them, generating 3.5 gigawatts of renewable energy and 877 megawatts of combined cycle power generation.

Building on this Middle East experience, KWP plans to utilize ACWA's local network to lay the groundwork for a successful entry into the Central Asian market. Following the signing ceremony, KWP President Lee Jung-bok met with Uzbekistan's Minister of Energy and the Vice Minister of Investment, Industry, and Trade to discuss sharing insights on the local power industry and potential cooperation strategies.

Lee stressed that KWP will serve as a catalyst, connecting overseas business projects to help South Korean small and medium-sized enterprises flourish in Central Asia.

ACWA Power's Central Asia representative, Abid Malik, echoed the commitment to support expanded cooperation with Korean financial institutions and work closely with KWP to ensure the ongoing success of Uzbekistan's energy transition.