The International Finance Corporation (IFC) is considering providing up to $200 million in financing for a new gas-fired power plant in Jordan’s Mafraq Governorate, with a capacity of up to 700 megawatts (MW).
اضافة اعلان
The project aims to expand Jordan’s power-generation capacity, enhance the reliability of the electricity system, and strengthen the country’s energy security.
According to project information, the IFC is considering financing the project, which has an estimated total cost of around $900 million, while also mobilizing additional long-term financing.
The project is still awaiting approval. The IFC has set November 17, 2026, as the expected date for presenting the project to its Board of Directors.
According to the project’s environmental and social review documents, construction is expected to begin by the end of this year and take approximately two years.
The plant’s main facilities will include three gas turbines, three heat-recovery steam generators, and one steam turbine, in addition to associated systems and supporting facilities.
The project will be connected to Jordan’s national electricity grid through a 400-kilovolt transmission line extending approximately 7 kilometers, along with a substation. It will also include a natural gas pipeline of around 300 meters connecting the plant to the existing gas network, as well as a water supply pipeline approximately 4.5 kilometers long.
700MW Power Plant
The project involves the development, construction, operation and maintenance of a new 700MW combined-cycle gas turbine (CCGT) power plant in Mafraq Governorate.
The plant will generate electricity under a 25-year power purchase agreement signed with the National Electric Power Company (NEPCO).
The project will be located in the Al-Khanasri area of Mafraq District, approximately 80 kilometers north of Amman and around 50 kilometers southwest of central Irbid.
According to the IFC, the project’s main expected development impact is to increase Jordan’s electricity-generation capacity while enhancing the reliability of the power system and its reserve margins.
In April, the Cabinet approved the Ministry of Energy and Mineral Resources’ procedures to move forward with the combined-cycle power plant project, known as Independent Power Project 7 (IPP7), with Etihad Development, which is wholly owned by the UAE’s Etihad Water and Electricity (EtihadWE). The Cabinet also approved the agreements related to the project in preparation for their signing.
The government said at the time that the project is part of NEPCO’s expansion plan to meet expected increases in future electricity demand through the construction of a 700MW power plant using modern energy technologies.
The project is expected to contribute to energy security by providing additional dispatchable electricity-generation capacity, while supporting the integration of a larger share of variable renewable energy sources into Jordan’s electricity mix.
The IFC intends to support the project company in implementing environmental and social standards in line with its Performance Standards.
The project will be implemented through a special-purpose company, Al-Khanasri Energy Private Shareholding Company, while development will be undertaken by Etihad Development, the infrastructure development platform of EtihadWE, which is backed by the Emirates Investment Authority (EIA), the UAE’s federal sovereign wealth fund.
The IFC has classified the project as Category A under its environmental and social classification system, citing potentially significant and irreversible impacts associated with changes in land use, as well as the scale and complexity of the construction activities.
Source: Al Mamlaka
