ICBC and EBRD back Acwa’s Egypt solar FIT II

Under the EBRD’s US$ 500 million framework for renewable energy in Egypt, the bank is providing a financing package of US$ 73 million for the construction and operation of three solar photovoltaic power plants in Egypt totaling 120 MW.

These plants will contribute to a reduction of approximately 150,000 tonnes of CO2 emissions yearly and will help the economic development of the Aswan province.

Support for the framework has been provided by the SEMED Energy Efficiency Policy Dialogue Framework, funded by the European Neighbourhood Investment Facility; and the EBRD Southern and Eastern Mediterranean (SEMED) Multi-Donor Account.

Built by the Saudi energy and water developer ACWA Power together with Chinese partner CHINT Solar (Zheijiang) and local partner Al-Tawakol Electrical Co. (GILA), and co-financed by the Industrial and Commercial Bank of China (ICBC) with a matching loan that also benefits from support from MIGA (Multilateral Investment Guarantee Agency), the plants are part of the second round of Egypt's ambitious feed-in tariff scheme for renewables and will be part of the planned 1.8 GW Benban solar complex in Aswan province, in the southern area of Upper Egypt.

Harry Boyd-Carpenter, EBRD Director, Power and Energy Utilities, said:

“We are delighted to partner again with ACWA Power, who brings its deep expertise to another market with this investment in Egypt. This is a further signing under the Bank's US$ 500 million framework for renewables in Egypt and we are very pleased to be able to build on several years of policy advice and technical assistance with these investments.”

Rajit Nanda, Chief Investment Officer of ACWA Power added:

“The Benban projects are significant for being ACWA Power’s first investment in Egypt, and we are confident that we will have many more opportunities as the country moves towards energy security and other Vision 2030 goals. We are also proud to be associated with the EBRD in Egypt, building upon continuing relationships, as they support the development of renewable energy in Egypt and Northern Africa.”