UK-based Lightsource BP, Europe’s biggest solar energy developer, will form a joint venture with HA Utilities, the utility arm of leading regional construction and engineering group Hassan Allam Holding (HAH), to develop, operate, and fund utility-scale solar projects in Egypt, the company announced on Tuesday.
Egypt plans to generate 42% of its electricity from renewable energy by 2025, according to Electricity Minister Mohamed Shaker.
According to the statement, Lightsource BP, powered by Hassan Allam Utilities, will fund, develop, and operate solar projects locally.
Egypt is set to become a global leader in solar power generation as the world’s largest solar park (1.6 GW-Peak) in Benban is set to operate in 2019.
Amr Allam, Co-CEO of HAH and chairperson of HA Utilities, said that he is excited about the joint venture, as renewable energy offers steady income, and has high growth potential, as demand for renewable energy in emerging markets leapfrogs that of developed economies.
“Lightsource BP ticks all the boxes we were looking for in a JV partner to pursue very exciting opportunities in our region. The cultural fit between the two partners is very strong and this will ensure long-term alignment and success,” added Menatalla Sadek, CEO of HA Utilities.
Nick Boyle, CEO and founder of Lightsource BP, said, “Projects in emerging markets are not just yielding plays, they’re growth plays to power fast-growing economies and populations. We see exciting potential in Egypt following the country’s economic recovery and recently announced renewable power targets.”
Thirty companies from Aswan started implementing solar energy projects with the feed-in tariff scheme in Benban, Aswan after their documents were reviewed by Hassan Allam, who is responsible for managing services at the project site.