Kuwait has launched the bidding process for the first phase of the Al-Khairan Independent Water and Power Producer (IWPP) project. The 1.8 GW project, to be fuelled by a combination of LNG and high-pressure natural gas, with gas oil as back up fuel,  is being developed under a public-private partnership model by the Kuwait Authority for Partnership Projects (KAPP), in cooperation with the Ministry of Electricity, Water and Renewable Energy. Located approximately 100 kilometres south of Kuwait City, the project will also desalinate water.

The scope of the tender includes the design, financing, construction, operation, maintenance, and eventual transfer of the facility. The selected developer will establish a project company to enter into a 25-year agreement to supply electricity and water to the government. Three consortia have been invited to submit proposals, led respectively by Abu Dhabi National Energy Company (TAQA), Saudi Arabia’s ACWA Power, and China Power International Holding. Additionally, Nebras Power and Sumitomo Corporation are among the other qualified bidders.

At the end of 2024, Kuwait’s total installed capacity reached 20.3 GW, predominantly thermal power, with 12 GW generated from gas and 8.5 GW from oil.