Egypt is set to use renewable energy resources to power the irrigation systems of its national project to reclaim 1.5 million feddans.
Egyptian solar energy startup KarmSolar has signed Monday an agreement worth 30 million Egyptian pounds (US$3.8 million) with Plus Leasing Company, aiming to apply renewable energy resources in powering irrigation systems to green one and half million feddans of desert.
Founded in 2011, KarmSolar is a solar technology and integration company that delivers innovative solar solutions to the agricultural, industrial, tourism and business sectors, with the main aim of providing electricity for residents who are living in off-grid locations with no access to electricity. Last December, KarmSolar has become the first company to receive a licence to sell electricity from solar plants in partnership with a company operating under Juhayna.
As for Plus Leasing, it has been established in 2013 with a capital of 40 million pounds and is one of Sarwa Capital Group since 2015; it offers Shariah-compliant, specialised and swift leasing solutions to help Egyptian SMEs acquire and use assets.
Upon the agreement, Plus Leasing shall secure the necessary funding for KarmSolar’s clients, including the firms and farms that are willing to make their irrigation pumps use solar energy instead of diesel.
This is the first agreement of its kind in Egypt that provides comprehensive funding solutions to encourage private firms to depend more on the solar energy, said Ahmed Zahran, CEO of KarmSolar.