ACWA Power settles agreements for 200-MW solar project in Egypt
- Saudi renewables designer ACWA Power on Wednesday introduced that it has actually authorized final contracts related to its 200-MW Kom Ombo solar photovoltaic (PV) project in Egypt.
Via a digital event, ACWA Power signed a 25-year power purchase arrangement (PPA), a network connection contract as well as an usufruct contract with the Egyptian government officials and agents from the Egyptian Electricity Transmission Company (EETC) as well as the New and also Renewable Energy Authority (NREA).
The Saudi company results from acquire a USD-40-million (EUR 33.7 m) elderly financial debt financing as well as a USD-14-million equity bridge loan from the European Bank for Restoration and also Development (EBRD), and a USD-27.2-million funding from the African Development Bank (AfDB) to finance the project.
It stated it expects to get to economic close and start construction in the third quarter of 2021.
The Kom Ombo site lies in Aswan Governorate, Upper Egypt, some 800 kilometres (497.1 miles) south of Cairo.
ACWA Power claimed it expects commercial operations to start in the third quarter of 2022.
"Egypt is home to a wide range of untapped renewable resources especially, wind and also solar energy. The electrical abilities that can be generated from renewable resources can rise to nearly 90 GW," said Mohamed Shaker El Markabi, the preacher of electricity and renewable energy in the government of Egypt.
Egypt has actually set a target to produce 42% of its electricity from sustainable resources by 2035. The minister said that the nation is presently carrying out researches to boost this portion.