JICA funds solar power plant in Hurghada with $60m

The Japanese International Cooperation Agency (JICA) has approved funding a solar power plant in Hurghada for $60m after the project was halted for over two years.

Mohamed El Khayat, the chairperson of the New and Renewable Energy Authority (NREA), said that contracting took place with an advisor of the project to establish a solar power plant of 20 mw capacity. The tender will be offered for Arab and international companies to launch the project mid next year. The executive regulations will be completed in February.

He explained that the JICA has completed the project’s feasibility study and provided a $1.5m grant to place equipment in the plant’s location with the aim of measuring the solar emissions to be sure about the project’s feasibility during different times of the year and calculate the expected production at the implementation. Part of the financing is allocated for developing the centres of NREA.

The plant is considered the fifth of its kind after El Koraymat plant of 20 mq capacity, Kom Ombo of 200 mw, Kom Ombo of 200mw, Hurghada of 20 mw with total 280mw capacities.

A source in the Ministry of Electricity revealed that there were negotiations with the JICA that focus on technical cooperation to benefit from the Japanese technology especially in coal-fired electricity generation plants. With the last exchange of expertise being the visit of an Egyptian delegation to Tokyo. The delegation is composed of representatives of the Egyptian Electricity Holding Company, the Ministry of Electricity and the Environmental Affairs agency, with the aim of benefiting from the Japanese experience in the field.

He explained that several Japanese banks agreed to finance a project to enhance the services of electricity distribution companies. It is expected to pay the allocated loan on several portions starting next month.

The Ministry seeks to produce 20% of electricity through new and renewable sources by 2020 through competitive tenders and direct contracting systems in addition to the feed-in tariff projects of 4200 mw, with investments worth $7.5bn.

Original Post : Daily News Egypt

Author : Mohamed Farag

About the author: Thomas Yates

After finishing his Business Management degree Tom was looking to join a progressive company where he had the opportunity to have his own ideas listened to and implemented. It was a case of being in the right place at the right time as Rivermead Global were looking at taking somebody on and in 2009 Tom joined the company. If you are looking at buying a property in Egypt or Turkey you have come to the right people. Read our Ultimate Guide To Buying Property In Hurghada