{"id":3514,"date":"2023-01-27T21:02:25","date_gmt":"2023-01-27T21:02:25","guid":{"rendered":"https:\/\/riad-riad.com\/?p=3514"},"modified":"2023-01-27T23:09:25","modified_gmt":"2023-01-27T23:09:25","slug":"new-rules-for-solar-pv-self-consumption-plants-egypt","status":"publish","type":"post","link":"https:\/\/riad-riad.com\/new-rules-for-solar-pv-self-consumption-plants-egypt\/","title":{"rendered":"New Regulations for Solar PV Self-Consumption Projects – Egypt"},"content":{"rendered":"\n

The\u00a0Egyptian Electric Utility & Consumer Protection Regulatory Agency (EgyptERA<\/strong>)\u00a0<\/strong><\/a>issued Circular No. 3 for 2023 to regulate the licensing procedures and requirements for solar self-consumption plants (\u201cRegulations<\/strong>\u201d). The Regulations come into force on 1 March 2023.<\/p>\n\n\n\n

The solar self-consumption system allows the use of the PV electricity generated on-site to meet the energy needs of the consumer but not to exchange the generated electricity with the grid.<\/p>\n\n\n\n

Scope of Application<\/strong><\/h2>\n\n\n\n

The Regulations will apply on self-consumption isolated and connected PV plant with generation capacity above 500 kW.<\/p>\n\n\n\n

Projects with generation capacity of less than 500 kW can be exempted from the licensing requirements upon submitting a request to EgyptERA. However, a plant that is developed and owned by a qualified developer who enter into power purchase agreement with the consumer must be licensed.<\/p>\n\n\n\n

Project Location<\/strong><\/h2>\n\n\n\n

A self-consumption solar PV project must locate within the site of the consumer as reflected in its operation license.<\/p>\n\n\n\n

Project Capacity<\/strong><\/h2>\n\n\n\n

The capacity of the project might not exceed the maximum electricity consumption of the consumer throughout the year preceding the commercial operation date of the plant. In all cases, the maximum allowed generation capacity of the PV plant is 30MW.<\/p>\n\n\n\n

The total generation capacity of the solar PV projects under the net-metering and self-consumption system all around Egypt will not exceed 1000 MW including the existing and the future projects.<\/p>\n\n\n\n

Merger Fee<\/strong><\/h2>\n\n\n\n

Merger fee<\/a> will be paid according to the rates announced by EgyptERA<\/a>. <\/p>\n\n\n\n

However, existing and future self-consumption projects with capacity up to 10 MW will be exempted from paying the merger fee as of the effective date of the Regulations.<\/p>\n\n\n\n

Licensing Requirements and Procedures<\/strong><\/h2>\n\n\n\n

Isolated self-consumption projects<\/em><\/strong><\/h3>\n\n\n\n

In order to establish an isolated self-consumption solar PV plant, the consumer, or the company which will develop the plant for the consumer (developer) shall be required to obtain the customary license for electricity generation.<\/p>\n\n\n\n

Connected Self-consumption solar PV projects <\/em><\/strong><\/h3>\n\n\n\n

In order to integrate the generated electricity with the electric power system, the consumer\/develop shall obtain the prior approval of the network operator, being the Egyptian Electricity Transmission Company (EETC) or the licensed distribution company.<\/p>\n\n\n\n

EgyptERA License<\/em><\/strong><\/h3>\n\n\n\n

Projects with generation capacity exceeding 500 kW must obtain a prior license from EgyptERA before applying for the approval of the network operator.<\/p>\n\n\n\n

Licensing Procedures<\/em><\/strong><\/h3>\n\n\n\n

The licensing procedures for projects connected to the grid will include the following main steps:<\/p>\n\n\n\n

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  1. Determination of the allowed capacity:<\/em><\/strong> the consumer\/developer will submit a request to the network operator to determine the capacity of the PV plant that can be integrated with the consumer\u2019s electricity system. The network operator is committed to determine this matter within one week from submitting the request thereto.<\/li>\n\n\n\n
  2. Selection of the developer:<\/em><\/strong> the consumer\/developer will choose the company that will develop the solar plant from among the companies qualified by EgyptERA<\/a>.<\/li>\n\n\n\n
  3. Applying for the preliminary approval:<\/em><\/strong> The consumer\/developer will apply to the network operator for a preliminary permit to establish the PV plant and pay the associated fees. The application will include,among others, the following information:\n