Dubai-based renewables company Yellow Door Energy has secured up to US$33 million of publicly-funded finance to establish eight solar projects in Jordan.
The solar plants, which will have a total generation capacity of 48.3 MWp, will supply power to five commercial offtakers in a project Yellow Door yesterday described as the biggest “private-to-private” renewables portfolio developed under Jordan’s wheeling regulations, which permit use of the state grid to enable self-consumption.
The loans come in the form of a $15.6 million credit line from the private company-focused Deutsche Investitions und Entwicklungsgesellschaft (DEG) subsidiary of German state-owned development bank KfW, with DEG also contributing to a separate $10.6 million loan package for the project, supplied jointly by London-based development lender the European Bank for Reconstruction and Development (EBRD).
Up to $5 million will be loaned, via the EBRD, from Washington-based multilateral development lender the Global Environment Facility and the solar projects will have the chance to bank up to an additional €1.5 million ($1.8 million) of “results-based payments” from the Spanish and EU governments in return for the verified removal of carbon emissions, assessed by a system being developed by the EBRD. pv magazine has asked Yellow Door whether those payments would be repayable.
The energy offtakers will be the Umniah mobile telephone network owned by Bahraini state-owned parent Batelco; French supermarket chain Carrefour; the Jordanian Safeway supermarkets owned by Kuwait’s The Sultan Center; garment manufacturer Classic Fashion and shopping center Taj Mall.
Yellow Door’s shareholders include the private-sector International Finance Corporation arm of the World Bank, the Arab Petroleum Investment Corp established by 11 Arab states across the Middle East and North Africa; Norwegian state-owned energy company Equinor; and Japanese brand Mitsui.
Lenders HSBC and the Jordan-based Arab Bank were also involved in the project financing deal.
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Source: pv magazine