The Egyptian Electricity Transmission Company (EETC) will sign a power purchase agreement with Saudi Arabian Al Fanar Company.

Director of Alfanar’s Renewable Energy Projects in Egypt, Mohamed Abdel Karim, told Daily News Egypt that the Saudi firm paid the third installment of the cost-sharing agreement after an increase of its value by about 35%.

In February, an official at the Ministry of Electricity and Mineral Resources stated that EETC was ready to sign power purchase agreements with renewable energy companies under the Feed-in Tariff (FiT) program as soon as they reach financial closure of the projects.

Abdel Karim pointed out that his company managed to complete the financial closure of the new solar power plant with a capacity of 50MW and investments of up to EGP 100m. This project will be financed by the European Bank for Reconstruction and Development (EBRD) and the Islamic Development Bank (IDB).

Alfanar Company has allocated $200m for the establishment of two new and renewable energy projects in Egypt, with a total capacity of 100MW and operating according to the second phase of the feed-in tariff (FiT) program.