KarmSolar, the Cairo-based solar technology start-up, has signed a deal with Dakahlia Group subsidiaries Dakahlia South Valley Poultry and Dakahlia Wadi El Natroun Agriculture to provide 75 percent energy needs over 30 years.
KarmSolar will generate and supply the energy through two stations in Menia governorate and Wadi Natroun area, located in Beheira Governorate, occupying around 360,000 square meters of land.
The two stations will be built with an investment of $US 23 million and will generate around 23.5 megawatts (MW) of electricity, making this the largest ever private power purchase agreement (PPA) signed in Egypt.
Since its founding in 2011, KarmSolar has been Egypt’s largest private off-grid solar energy integrator; it delivers innovative solar solutions to the agricultural, industrial, tourism and business sectors.
“This is a critical milestone in the brief history of KarmSolar. KarmPower, our subsidiary, is going to become through this deal the largest private sector solar energy provider in the country. Not only that, but it will provide the power at a lower cost than the government,” commented Ahmed Zahran, CEO and co-founder, KarmSolar.
Khaled Al Anani, CEO of Dakahlia Agricultural Development Co.and Vice chairman of Dakhalia Group, said “As one of the largest agro-food producers and exporters in Egypt, our energy needs, and by default, energy costs, have a critical business impact. We export to over 40 countries around the world, citrus and more.”
As Egypt possesses an abundance of land, sunny weather, and high wind speeds, making it a prime location for renewable energy sources, solar power is indeed a promising alternative source of energy in Egypt as it receives between 9 and 11 hours of sunlight per day.
However, wind and solar, combined, make up about one percent of the nation’s consumed energy.
“Egypt receives about six kilowatts/hour per square meter for nine hours or so per day from the sun. What this means is that a square kilometer of land, if equipped from end to end with solar panels, could offer us 60 million kilowatts of energy per day, enough to light up multiple residential blocks,” according to Chairman of the Board of Directors at the Egyptian Solar Energy Systems Company Samir Sbhi’s article published on Ahram Weekly.