EREN, Access announce fin close on 126 MWp in Egypt

Financial close has been reached on two solar projects in Egypt, of 126 MWp in total, developed by independent power producer (IPP) EREN Renewable Energy (EREN RE) and Access Power.

The companies announced today that construction of the two photovoltaic (PV) parks is seen to commence before the end of the year. Both will be part of the 1.8-GW, USD-3.5-billion (EUR-3bn) Benban solar complex in Aswan and both were developed under Egypt’s feed-in tariff (FiT) programme.

EREN and Access got USD 111.6 million in senior debt for the power projects from the European Bank for Reconstruction and Development (EBRD) and Proparco, a unit of French development agency Agence Francaise de Developpement (AFD).

Proparco said in a separate statement it will provide EUR 116 million (USD 135m) in financing to total of five Egyptian solar projects with a combined capacity of 225 MW. It is supporting projects of Voltalia SA (EPA:VLTSA), EDF Energies Nouvelles (EDF EN) and Elsewedy Electric Group, in addition to the two solar farms of Access and EREN.

“[Our] two projects will contribute to meeting the energy needs of the country while also enhancing the possibilities of additional large scale solar projects in the region, by providing a framework others can follow,” said Reda El Chaar, executive chairman of Access Power. Each of the power plants is to produce about 143 GWh per year, and together they are expected to avoid over 100,000 tonnes of annual carbon dioxide (CO2) emissions.

(USD 1 = EUR 0.86)

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