Egypt is taking steps towards harness renewable energy as the private sector begins bidding.
There is no shortage of sunlight in Egypt, but there is definitely a shortage of power, which is why a consortium of Egyptian investors are have put forth a plan to build four solar power electricity stations.
OneraSystems CEO Wael Al Nashar recently spoke with Ahram English, explaining that the consortiumlooking to invest in the plan comprise of three local banks, two local companies and two international companies. Al Nashar estimates each station will cost between $90-100 million with expected rate of return of 14% and a capacity of 50 megawatts (mW).
In September, Egypt’s cabinet announced that they will approve feed-in tariff for renewable energy production, which means solar and wind plants can sell electricity to the government at 14.34 cents per kilowatt. The Ministry of Electricity is allegedly only accepting plans to produce 2000mW in renewable energy. However, Al Nashar tells Ahram English "We are not expecting to have all four stations approved as there are other bidders."
The proposed plan by the consortium has been submitted to the government and a decision will be announced on November 26th.