Israeli Finance Ministry has signed a deal to build a $1bn thermo-solar power plant to improve the electricity production from renewable energy sources in the country.
A consortium consisting of Israel’s Shikun & Binui and Spain’s Abengoa has been selected to build the 121MW plant in Israel’s southern Negev desert in Ashalim.
The latest plant will be built close to another ongoing photovoltaic power plant.
Ashalim thermo-solar power plant will be implemented under built, operate and transfer programme, and is expected to be completed by 2018, the ministry said.
The Ashalim plant will be capable of storing energy, which will produce electricity whenever required after sunset.
The plant will be largest one in the country and feature parabolic trough technology with a 4.5-hour thermal energy storage system using molten salts.
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By GlobalDataIt will be capable of meeting power needs of 69,000 households and reduce CO2 emissions by 463,000 tons annually in the country.
Construction of the project is expected to start this month and generating 633 jobs during the construction phase, followed by 60 jobs for plant operation and maintenance.
The two plants will produce 2% of total electricity production in Israel and the country is planning to increase it to 10% by 2020.
Shikun Binui Group chairperson Moshe Lahmani said: "This is another significant step in promoting a national project that encompasses the story of Shikun Binui: a mix of professionalism, financial and engineering capabilities, long-distance running and strategy.
"Ashalim is a leading mega project which contributes clean electricity to all the citizens of Israel and also provides significant technological and economic development to the Negev."
