Egypt’s Electricity & Renewable Energy Ministry is considering inviting a second round of solar photovoltaic (PV) proposals from 20MW to 50MW under its feed-in tariff scheme.

The feed-in tariff is expected to be revised down.

“We would revisit the value of feed-in tariff, as the overwhelming interest shows how generous the current feed-in tariff is,” said the chairman of Egypt’s New and Renewable Energy Authority Mohamed Salah Elsobki, at the World Future Energy Summit in Abu Dhabi. “The companies on the waiting list for the first round will have priority.”

However, current grid capacity can only support 2,000MW of solar capacity, the target for the current round. Once 2,000MW of solar PV projects have been awarded, any companies remaining on the prequalifying list will be transferred to the waiting list.

Egypt’s government has committed to invest £E4bn ($549m) over the next year to improve grid capacity and strengthen the network.

Once this work is complete, and first round projects have reached a financial close, the ministry will invite more prequalifications for solar PV projects. A second round of wind projects is planned in the shorter term.

Companies interested in developing projects outside the feed-in tariff scheme will also have to wait for grid upgrades to be carried out.

Jordan has experienced problems with grid capacity with its own renewables feed-in tariff scheme.

Follow Philippa Wilkinson on Twitter: @Philippa_MEED