Ten solar developers have signed a power purchase agreement (PPA) in Egypt under the first round of the feed-in tariff scheme.

The combined capacity of the solar projects is 450MW, costing about $615m, according to the Egyptian Electricity Transmission Company (EETC).

The developers are:

• Wadi Degla (local)
• Infinity Solar (local)
• Fas Energy (Saudi Arabia)
• Scatec Solar (Norway)
• Mag
• Desert Technology
• CTIP Oil & Gas (Italy)
• Elf Energy (Jordan)
• Arinna Solar (Germany)
• Winnergy (Philippines) / Schneider Electric (France)

EETC has not yet confirmed which developers reached a financial close by the deadline of 27 October.

The projects are located in Benban, Zafarana and West Nile.

A large number of developers pulled out of the first round due to the conditions, which stipulated local arbitration, and 85 per cent of finance from abroad.

This presented a huge challenge for the project finance, after development banks supporting the scheme withdrew support for round one.

Saudi Arabia’s Fas Energy, part of the Fawaz Alhokair Group, intends to self-finance most of the project.

Local Infinity Solar has secured 85 per cent of its project from a German LP bank, with guarantees from France’s Euler Hermes, it told local Daily Business News. The remaining 15 per cent came from local Arab African International Bank.

Round two is expected to begin immediately, with international arbitration but a much lower tariff.