>DEWA invited developers to submit bids for configurations made up of three sub-phases: a mandatory 200MW to be commissioned in April 2018, and another two optional 300MW tranches in 2019 and 2020, respectively,” the firm said in an analysis of the results.
so it's not being built for 2 or 3 years and they are probably hoping costs will continue dropping during that period.
As far as energy goes, that's still very near term. But costs will continue to drop in that time period, without a doubt. Perhaps as important, they're hoping that interest rates remain low for the next few years.
Don't see why they would need to hope that interest rates remain low. Interest rates are already low, so they can sell debt at current interest rates for the term needed. I do think you're correct that low interest rates are a factor.
>One can suspect that Masdar had access to long-term financing through the wealthy emirate of Abu Dhabi that no commercial banks, the primary source of capital for the other bidders, could match in cost.
>DEWA invited developers to submit bids for configurations made up of three sub-phases: a mandatory 200MW to be commissioned in April 2018, and another two optional 300MW tranches in 2019 and 2020, respectively,” the firm said in an analysis of the results.
so it's not being built for 2 or 3 years and they are probably hoping costs will continue dropping during that period.
The details of the situation are quite complicated, more details here http://www.apricum-group.com/dubai-shatters-records-cost-sol...