Business is booming.

Firm Secures Contract to Develop Renewable Energy Complex in Southern Israel

By Abbas Nazil

Enlight Renewable Energy has won a competitive tender from the Israel Land Authority (ILA) to develop an integrated data center and renewable energy complex in Ashalim, southern Israel.

The company plans to invest up to $1.1 billion in the project, marking a major step in Israel’s effort to relocate large electricity consumers to regions with strong renewable energy infrastructure.

This initiative aligns with the national strategy of shifting energy-intensive operations away from the densely populated central region, where land and power supply constraints continue to grow.

Israel faces a rising demand for new data centers, yet most are concentrated in the central part of the country, where available land and power infrastructure are limited.

This concentration has led to costly electricity transmission from the south to meet the needs of these high-energy facilities. Ashalim, home to Israel’s largest renewable energy hub, offers an ideal alternative.

Its existing high-voltage transmission and communication networks make it an optimal location for the expansion of data centers, reducing the burden on the national grid while supporting the broader adoption of clean energy.

Enlight’s project will incorporate a state-of-the-art solar generation and energy storage facility to supply a portion of the data center’s electricity needs.

This approach is expected to cut operating costs and improve sustainability by reducing dependence on conventional power sources.

The facility will be developed with a 100 MW AC hourly consumption capacity, adhering to the requirements of the ILA tender.

With expertise in energy development, construction, financing, and management, Enlight aims to set a new standard for integrating renewable energy solutions into the growing data center market.

Beyond Ashalim, Enlight is also exploring further opportunities in the expanding sector of data centers powered by renewable energy, both within Israel and in Europe.

The company sees this project as a model for future developments that blend technology and sustainability to enhance energy efficiency and economic growth.

Gilad Peled, General Manager of Enlight MENA, emphasized the importance of this milestone, stating, “Enlight is leading the integration of renewable energy into the data center sector.

We believe that powering these facilities with renewable energy is the right path, both from a national perspective and as a company.

Winning this tender allows us to leverage our expertise in renewable energy and contribute to a national effort that fosters economic growth while addressing the challenges of power generation and transmission.”

With this project, Enlight Renewable Energy positions itself at the forefront of Israel’s renewable energy and technology revolution, ensuring a more sustainable and cost-effective future for the nation’s energy-intensive industries.

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