Egypt to sign FiT contracts with 8 solar companies - report

Within 10 days the Egyptian Electricity Transmission Company (EETC) is to sign a contract with eight solar power companies under the first phase of the country's feed-in tariff (FiT) programme, Daily News Egypt reported on Wednesday.

These companies have managed to complete financing under the terms of the FiT first phase and, according to the report, include Scatec Solar, Wadi Degla, Infinite Solar, FAS Energy, Irena, Alfa, Mag and Dahma.

Daily News Egypt cited an official in the New and Renewable Energy Authority (NREA) who said that the electricity ministry was committed to its announced intention to sign the first phase contract by October 26. Those who failed to reach financial close could take part in the second phase, the official added.

Under the first phase of the FiT scheme, the tariff for large-scale solar facilities is USD 0.143 (EUR 0.13) per kWh. Arbitration in case of a dispute takes place in Egypt and companies have to secure 85% of the financing from foreign banks.

In the second phase, the tariff falls to USD 0.084 per kW. A portion of 70% of the financing should be from foreign banks. Arbitration is again in Egypt but this can change if agreed by the parties, Daily News Egypt noted.

(USD 1.0 = EUR 907)

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