The Egyptian Electricity Transmission Company (EETC) has tendered 600 MW of grid-connected solar photovoltaic (PV) projects to be developed in the West of Nile Area. The bid-submission deadline is January 14, 2018.

The projects will be developed under the Usufruct Agreement with the New and Renewable Energy Authority (NREA) of Egypt. The Usufruct Agreement pertains to the legal right to use and derive income or benefit from someone else’s property.  In Egypt, more than 7,600 square km of public land has been allocated for the implementation of renewable energy projects. NREA has obtained all of the necessary permits for land allocation and long-term land use agreements.

The tender is global, and the project will be developed under a build own operate (BOO) policy. The scope of work includes design, supply, construction, and construction financing. The successful bidder or bidders will be responsible for the operation and maintenance of the project or projects for a 25-year period.

The power purchase agreements for the proposed projects will be signed between the developers and EETC for a 25-year period. The bidders must have experience setting up at least three solar projects of 100 MW each prior to participating in the tender.

Solar project installation is increasing in Egypt as the country moves forward with its plans to supply 20 percent of its generated electricity from renewable sources by 2022. NREA is spearheading this paradigm shift in the country’s energy mix. Historically, Egypt has generated its electricity primarily from natural gas and petroleum products.

Progress toward Egypt’s renewable energy goal was evident recently when the International Finance Corporation finalized a $653 million debt package for the construction of 13 solar power projects near the Egyptian city of Aswan. The projects will be part of the Benban Solar Park. When complete, the park is set to have 32 solar power projects with a total capacity of 1,800 MW.