Deals

Egypt solar gets $116m backing from EBRD and Proparco

The financing will support two 50MW facilities in the 1.8GW Benban complex, built under the country’s feed-in tariff programme.

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Two 50MW solar plants in Egypt have received backing from the European Bank for Reconstruction and Development and Proparco, the first projects financed under the second round of the country’s renewable feed-in tariff scheme.

Each institution committed $58 million to the plants, which will be part of the planned 1.8GW Benban solar complex in the Aswan governorate, in southern Egypt.

The plants are the first to be funded under the EBRD’s $500 million renewable energy framework for the country, which was approved in June. That programme aims to build 16 solar plants delivering 750MW in total capacity.

The parks will be built, owned and operated by local subsidiaries of Paris-based EREN Renewable Energy and Dubai-based Access Power.

Egypt’s solar industry has seen an influx of backing this year. Last month, the International Finance Corporation committed $635 million to finance the construction and operation of 11 solar plants with 500MW in total capacity.

Egypt’s FiT scheme was launched in 2014, offering long-term power purchase agreements for wind and solar providers. The programme aimed to deploy 4.3GW of renewables capacity by the end of 2017, as Egypt looks to generate 20 percent of its energy from renewable sources by 2022.