As part of the its drive to invest in sustainable energy solutions, Qalaa Holdings’ energy distribution subsidiary, TAQA Arabia has signed an EGP 1.35 bn contract with the IFC to finance a 50 MW power plant that it will construct in partnership with Hassan Allam Holding
TAQA Power, a division of Qalaa Holdings’ energy subsidiary, TAQA Arabia, the largest private sector energy distribution company in Egypt, is investing in it’s first solar energy project in partnership with Hassan Allam Holding. The company has just signed an EGP 1.35 bn financing package with the International Finance Corporation (IFC) to fund a 50 megawatt photovoltaic power plant project in Benban, Aswan.
According to a joint statement issued by TAQA Arabia and Hassan Allam Holding, the project is in line with the second phase of the Egyptian government's feed-in tariff program. The plant will be part of a complex of 13 solar power plants in Upper Egypt, near Aswan.
"This project will be instrumental in helping to expand Egypt’s overall power generation capacity through the use of various renewable sources such as wind, solar and bioenergy,” said TAQA Arabia CEO, Pakinam Kafafi. “The project will also help to expand TAQA’s scope as an integrated energy distributor and operator in fields including power generation, gas distribution, petroleum products marketing and renewable energy,” she added.
According to Amr Allam, managing director of Hassan Allam Holding Group, construction work on the plant is expected to take approximately 11 months to complete. Once construction is complete, the plant will be connected to the national electricity grid under the feed-in tariff program.
“We are very pleased to have concluded this new agreement and are eager to begin construction on our first solar power plant. The project will be financed through contributions from TAQA Arabia and Hassan Allam Holding in addition to the IFC,” said TAQA Arabia Chairman, Khaled Abu Bakr.
TAQA Arabia’s solar power plant is the latest example of Qalaa’s backing of renewable energy projects within the framework of the firm’s overall commitment to the 17 UN Sustainable Development Goals (SDG’s). Qalaa believes that both its investments and corporate engagement strategy should align with the SDG’s to ensure inclusive economic growth with a particular focus on education, community development and environmental sustainability.
To absorb the impact of the energy crisis, Qalaa has been investing in alternative sources of clean energy. Qalaa’s subsidiaries in the energy sector are: TAQA Arabia,Tawazon, and Egyptian Refinery Company (ERC). Together, these companies cover energy generation and distribution, the development waste to energy solutions, and the refining of low quality petroleum into medium and light distillates such as the clean-burning Euro V diesel. Qalaa’s subsidiary GlassRock is also a leading producer of the energy-efficient insulation materials, glasswool and rockwool.
— Ends —
Qalaa Holdings (CCAP.CA on the Egyptian Stock Exchange) is an African leader in energy and infrastructure. Formerly known as Citadel Capital, Qalaa Holdings controls subsidiaries in industries including Energy, Cement, Agrifoods, Transportation & Logistics, and Mining. To learn more, please visit qalaaholdings.com.
For more information, please contact:
Ms. Ghada Hammouda
CMO & Head of Corporate Communications
Qalaa Holdings (S.A.E.)
Tel: +20 2 2791-4439
Fax: +20 22 791-4448
Mobile: +20 106 662-0002