Egypt has embarked on an ambitious project to build the largest solar photovoltaic (PV) plant in the world, as part of a broader initiative to tackle a 10-year long energy crisis.
Egypt’s Benban project in Aswan, aims to be the largest photovoltaic (PV) plant in the world. The project is a cornerstone of the government’s plan to generate up to 12% of its energy needs from renewable energy by 2020.
While international interest has been strong, initial concerns have been raised on the government’s proposed dispute resolution mechanism and the impact of the Egyptian pound’s recent devaluation on project financing. Investors will need to closely monitor the changing investment landscape to reap the full rewards of this opportunity.
KPMG’s Corporate Intelligence team has put together a note looking at these concerns, as well as the broader opportunities that Benban offers for international renewable energy companies.