Lafarge Cement Jordan, part of France’s Lafarge Holcim, has signed an agreement with Dubai’s Adenium Energy Capital for a 15MW solar photovoltaic plant.

Lafarge will become the first private offtaker in the Middle East, under Jordan’s new metering regulations.

Under the agreement, Adenium will supply electricity to Rashadiya cement plant for 15 years.

Construction will start in early 2017 and be completed in the third quarter.

“This project is the first of its kind in the region; it is a build-own-operate project with a private offtaker that will be financed on a non-recourse basis,” said Wassef Sawaf, CEO of Adenium in a press release. “The PV plant will provide substantial savings to Lafarge’s electricity bills and is a great example of how renewable energy IPPs can add real bottom-line value to the private sector.”

US law firm Chadbourne & Parke advised Adenium on the deal.

High consuming commercial customers in Jordan pay high rates for electricity, as much as 0.3JD a kilowatt hour (kWh), while the cost of renewables in the country is much lower.

Private renewable producers can wheel electricity across the grid, and supply their private offtakers at much lower cost. The only restraint is grid capacity in various locations.

A number of other large commercial consumers in Jordan are also working towards signing energy agreements with developers.