ACWA Power protects US$ 114 million for 200MW Egypt solar plant
- Solar developer ACWA Power has safeguarded an overall US$ 114 million from banks to fund the building of what it declares will be Egypt's largest private solar plant.
Global banks the European Bank for Reconstruction and Development (EBRD), the OPEC Fund for International Development (the OPEC Fund), the African Development Bank (AfDB), the Green Climate Fund (GCF) and Arab Bank have all advanced loans completing US$ 114 million for ACWA's 200MW Kom Ombo solar PV project.
It is the 4th Egyptian renewables project in ACWA's portfolio, president and president Paddy Padmanathan said, including that the investment "demonstrates the confidence in the Egyptian federal government's ambitious renewable energy plans, being implemented through private-sector participation."
The Saudi Arabian programmer had already safeguarded a US$ 27.2 million loan from AfDB in March, prior to signing a 25-year power purchase arrangement (PPA) and network link contract for the project with government officials previously this month. Building and construction is expected to begin later this year, nonetheless, the project's overall development expense was approximated to be around US$ 156.4 million last month.
Egypt's government has established a target of producing 42% of the country's power demand from renewable resources by 2035.
The Kom Ombo plant will be based 800km southern of Cairo and also less than 20km from ACWA's existing 1.8 GW Benban solar facility. The firm is also involved in the development of a 2.3 GW natural gas center readied to come online in 2023.