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Jordan plans 500MW gas-fired power plant

30 April 2025

 

Jordan plans to procure a gas-fired power station that will likely have a design capacity of around 500MW.

According to industry sources, the kingdom is seeking advisers for the project, which is anticipated to be developed using an independent power project (IPP) model.

MEED understands that the client is the state-backed utility, National Electric Power Company (Nepco).

One of the sources said: “There have been talks for some time now.” But he is unsure if the government has taken a firm decision to start the procurement process for the new plant.

Another source, however, said the advisers being sought will likely start preparing the project’s request for proposals.

Jordan has a total electricity generation installed capacity of about 7.1GW as of 2023, according to data published by the International Renewable Energy Agency (Irena).

Solar and wind power plants account for over 30% of the total installed capacity, which is one of the highest, if not the highest, renewable energy installed capacity in the Middle East and North Africa region, compared to overall generation capacity.

Work has been under way to enable the successful integration of renewable power into Jordan’s electricity grid. 

In February, the European Bank for Reconstruction & Development (EBRD) and the EU approved a €67.1m ($70.2m) financing package for Nepco.

The financing package consists of a sovereign-guaranteed EBRD loan of up to $56.5m and an EU investment grant of up to €12.4m ($13m).

EBRD said these funds will finance the construction of a high-voltage electricity substation in northern Jordan, improving the grid’s capacity and enabling it to handle existing and new generation in the north of the country.

According to MEED Projects data, roughly $3.3bn-worth of power projects are under way or planned in Jordan, with generation plants accounting for 59% of the total.

READ THE MAY 2025 MEED BUSINESS REVIEW – clck here to view PDF

Gulf hunkers down as US tariffs let fly; Abu Dhabi looks to secure its long-term economic prosperity; Nesma stays on top as China State moves up in 2025 GCC contractor ranking

Distributed to senior decision-makers in the region and around the world, the May 2025 edition of MEED Business Review includes:

> GULF PROJECTS INDEX: Gulf projects index inches upwards
To see previous issues of MEED Business Review, please click here
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Jennifer Aguinaldo

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