MARSO Co. is investing in a 320 kW grid-connected solar photovoltaic plant to be implemented by the EPC Contractor Global Techniques for Energy. The solar plant will be commissioned under a net-metering scheme and will be located on the rooftop of the company’s production facility in the 10th of Ramadan City, Sharqia Governorate, Egypt.
MARSO Co. was established in 1970 as a recycling facility for rubber products which were used to produce rubber tires, tubes, and rubber car mats. The private-owned company is located in the 10th of Ramadan City and currently manufactures and exports a broad range of rubber products including car spare parts, irrigation hoses, and flooring for motor vehicles.
The 320 kW solar plant will enhance the company’s competitiveness by generating electricity savings which can be re-invested into other areas of business operations. The solar plant also promotes sustainability of the manufacturing facility through reduced greenhouse gas emissions. Under the net-metering scheme, the manufacturing facility is able to utilize energy from the solar system when needed and inject excess energy generated into the grid, in exchange for a credit. In this way, the investment in a grid-connected solar energy system alleviates the financial risk of fluctuating electricity prices and allows for better financial and operational planning by MARSO Co.
The GVC team evaluated the technical and financial feasibility of the project and confirmed that an investment in a grid- connected solar energy source would increase the company’s competitiveness by reducing operational expenses. The technical support as well as the financial incentive encouraged MARSO Co. to finance their new investment through the Egypt GVC/VC loan facility.
The US$ 382,538 investment in solar will result in the generation of 540 MWh of electricity and financial savings of in the first year of operation. Additionally, by switching to a renewable energy source, the project will lead to a greenhouse gas emission reduction of 256 tCO2eq per year and 5,808 tCO2eq over the project lifetime. The implementation of the project will also see temporary job creation for 20 males.
The Egypt Green Value Chain Financing Facility was developed by the European Bank for Reconstruction and Development (EBRD) and is financially supported by the Green Climate Fund (GCF), the European Union (EU) and the EBRD Shareholder Special Fund (SSF).
The Sub-borrowers receive an investment incentive for successful project implementation, provided by a grant from the EU.
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