On December 8, 2017, MIGA signed a contract issuing guarantees of $1,343,581 to ib vogt GmbH of Germany for its investments in MMID 30 MW for Renewable Energy S.A.E. The guarantees are issued for up to 15 years against the risks of Transfer Restriction and Inconvertibility, Expropriation, War and Civil Disturbance, and Breach of Contract.
The project is part of Egypt’s Feed-in-Tariff Round Two program. It consists of the design, development, construction, operation and maintenance of a greenfield solar IPP facility with installed capacity of 30 MW located in the Benban solar PV park in the Aswan Governorate of Egypt.
The project is categorized as B under MIGA’s Policy on Environmental and Social Sustainability. Click here for the project’s Environmental and Social Review Summary.
Egypt needs additional power generation capacity to meet growing energy demands and support economic growth along with private sector development. Despite hydrocarbon production and significant new gas discoveries, Egypt is a net importer of fossil fuels, which account for over 90% of its power generation. The project will add generation capacity, diversify the power generation mix, increase self-sufficiency, and reduce dependence on fossil-fuel imports. The project will help protect Egypt’s economy from fluctuations in oil and gas prices, and reduce carbon emissions by producing emission-free power, in alignment with the goals of the Paris Agreement.