CAIRO: A credit facility agreement between Egypt and the French Development Agency (AFD) to establish a photovoltaic power plant has been approved President Abdel Fatah al-Sisi.
The power plant will be built in Kom Ombo City, southern Egypt, at a capacity of 20 megawatts, according to the Official Gazette issued Sunday.
In an October 2015 visit to Cairo, French Prime Minister Manuel Valls signed the project’s loan agreement worth 40 million euros ($43.6 million,) as part of a memoranda of understanding signed in the Egypt Economic Development Conference in March.
The Aswan project, which will contribute 40 gigawatt hours to the national electricity grid, is planned to be operational in 2017. Egypt strives to achieve a 20 percent of renewable energy in the country’s energy mix in 2022, amid an energy crisis that represented a serious national grievance in the past years.
The European Union contributes to the loan with 800,000 euros, according to a statement by the AFD.