Dubai-based AMEA Power, a subsidiary of Al Nowais Investment (ANI), has signed a power purchase agreement (PPA) with the Egyptian Electricity Transmission Company (EETC) for a 200 MW solar PV project and a 500 MW wind project in the country.
AMEA Power acquires, develops, owns, and operates thermal and renewable power projects in Africa, the Middle East, and Asia.
As per the company document, the Abyodos Solar Power Company, which is fully owned by AMEA Power, will build, own, and operate the 200 MW PV solar power project in the Kom Ombo region of Aswan for 25 years. The 500 MW, wind power project, will be developed by Amunet Wind Power Company (AWPC) in the Ras Ghareb area under the 20-year take-or-pay agreement. (Under a take-or-pay agreement generally, the offtaker has to take, and pay a fixed tariff for all energy delivered (no dispatch required). If the offtaker cannot physically take the energy and the output is “curtailed,” energy will be calculated and paid for on a “deemed” delivered basis)
The solar power project is expected to be commissioned in Q4 of 2020, whereas the wind power project will be commissioned in Q3, 2023. The energy generated from these projects will be able to supply power to 83,000 households with a planned capacity of 2.9 GWh per year.
Speaking on the development, AMEA Power’s chairman, Hussain Al Nowais, said, “As we continue to expand our global presence, we are delighted to embark on these renewable energy projects in Egypt. We are thankful for all the support that we have received in the country, and we look forward to continuing to support Egypt in its drive to diversify its energy mix.”
Recently, AMEA Power signed a PPA with Togo’s national utility company, La Compagnie Energie Electrique du Togo (CEET), for a 50 MW solar PV project. Earlier this year, the company had signed a PPA with Chad’s Ministry of Energy for a 60 MW solar PV project.
Last month, ACWA Power, Saudi Arabia’s energy giant, signed a power purchase agreement (PPA) with the government of Egypt to finance, develop, construct, and operate the 200 MW Kom Ombo solar power project. ACWA Power had secured this project through a tender issued in August 2018.
Earlier this year, AMEA had announced financial closure for a 50 MW solar project in Jordan. The company had announced that it had secured $74 million for the Al Husainiyah project with assistance from the Dutch development bank, FMO. In addition to contributing $29.6 million, the FMO is expected to mobilize $29.6 million from DEG for financing this project.