SECI-DT Benban 1 - ARC

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The project is a greenfield 50 MWac photovoltaic (PV) plant being developed by a joint venture between  SECI Energia S.p.A,   Enerray S.p.A, and Desert Technologies Industries Co. Ltd.  (together the sponsors).  The sponsors will own the project company ARC for Renewable Energy SAE (ARC).  The Engineering Procurement and Construction (EPC) Contractor will be an EPC joint venture between Enerray S.p.A and Desert Technologies Industries Co. Ltd. (JV Enerray-DT) who will also undertake the role of the Operations and Maintenance (O&M) Contractor for this project.  Enerray S.p.A has 10 years’ experience in EPC and O&M services and has completed power plants of more than 200 MWp in Morocco, Turkey, Jordan, Iran and Central and South America. Desert Technologies as an EPC contractor has experience as a manufacturer and developer of PV projects.  It has developed solar projects in Jordan and has 33MW of signed bankable EPC contracts since 2015. The total project cost is up to US$75-80 million with an IFC A loan of up to US$15-20 million and syndications of up to US$45 million, and the balance covered by equity. The project will be located within Egypt’s New and Renewable Energy Agency (NREA)’s 37.5 km 2   Benban 1.8 GW PV solar park comprising 39 separate PV plots, situated 12 km east of the nearest village (Benban), and 15 km west of the Nile River.  It is close to the Luxor-Aswan road, 40 km northwest of Aswan city, in the Aswan Governorate of Upper Egypt.  The project capacity is approximately 63.283 MWp (DC) for a 50 MW nominal power (AC) and occupies a 0.98 km 2   plot (2-1) in the Benban PV solar park.  The Benban PV solar park is being constructed on open desert land that is owned by NREA.  All of the 39 PV development sites are greenfield, and none have begun construction. One project has started preliminary works and constructed some basic facilities on the site including office, dispensary, workers resting area, and installed underground septic tanks, none of which are yet operational.  The area is mainly flat, with sand and gravel dunes, and with no notable natural vegetation and no human activities.  The project will be linked to substation 1 (SS1) on the northeastern corner of the Benban PV solar park, via an underground 22 kV transmission line installed by EETC. Substation 1 covers an area of 15,000 m2. To evacuate the energy produced by the 39 projects located at the solar park, in addition to the underground connections and substations, the EETC will also be responsible for designing and building 220 kV overhead transmission lines that will connect the solar park to existing transmission corridors. At a later stage, an additional 180 km double circuit 500 kV transmission line will be constructed by EETC north of the site. EETC will be responsible for the procurement and development of the corresponding environmental and social assessments (ESIAs) for all the elements listed above. All output generated by the project will be sold to EETC under a 25-year Power Purchase Agreement (PPA).The project’s underground transmission line right-of-way will follow the route of the internal Benban PV solar park roads.  The water necessary for the solar plants (predominantly to be used during construction and for PV panel cleaning during operations) is to be sourced from wells around the site.  NREA is taking responsibility for commissioning the relevant studies of groundwater in the area and are liaising directly with the Ministry of Water Resources and Irrigation.  Subject to the results of these studies, additional infrastructure may be required for the extraction and distribution of water within the Benban PV solar park.  A Facility Manager Contractor (FMC) will lead and coordinate the water supply in collaboration with the developers on the site.   As mentioned in the section on PS1 below, a FMC will be hired to undertake or direct the management of cross Cutting  construction and operation activities for all the Benban solar park on behalf of the solar developers.  This approach will assist in ensuring that ESHS risks are managed consistently and there is a well-managed and coordinated response to overarching cumulative issues such as occupational health and safety, transport / traffic management, security, community engagement and corporate social responsibility, and labor, worker welfare and accommodation, among others.The project will comprise a single axis tracking system of approximately 197,760 PV panels (polycrystalline silicon modules) with a nominal capacity of 50 MW AC and a peak capacity of 63.283 MW DC.  Power will be sent to an inverter and fed into the utility power grid system through EETC substation 1. The Network Connection Agreement (NCA) formed part of the original cost sharing agreement signed on the 30th November 2015.  It is estimated that the project construction period (currently expected to start in September 2017) will last approximately 12 months with the project designed for a 25 plus year operational lifetime, with options to extend the lease after that date.  The FMC will be responsible for managing water and wastewater services, waste management services, logistics and security services, stakeholder engagement and worker accommodation among other, all of which will be developed by October 2017 once the FMC is appointed.  The project is expected to employ an average of 250 workers during construction (reaching a peak of 500), and is expected to employ 15-20 personnel during the operational phase of the project.