ADCB, Schneider Electric sign two deals to finance green, sustainable projects in Egypt

Published on February 19, 2024

Abu Dhabi Commercial Bank – Egypt and Schneider Electric, a leader in digital transformation of energy management and automation, announced a strategic partnership through signing two memorandums of understanding (MoUs). The first MoU aims to establish a framework for cooperation to finance green and sustainable projects in Egypt, by providing micro-grid solutions to Schneider Electric’s Badr Factory. The second MoU aims to implement sustainable development projects in Marsa Matrouh Governorate, by establishing a cooled agricultural greenhouse, a water desalination unit, and a modern fertilization unit.

The MoUs were signed by Sebastian Reyes, President of Schneider Electric for North East Africa and Arab Levant, and Ihab Al-Sowerky, CEO of Abu Dhabi Commercial Bank Egypt.

According to the first MoU, Schneider Electric and Abu Dhabi Commercial Bank will cooperate to support green financing initiatives, the circular economy, and the sustainable use of natural resources and land.

The MoU will provide mini-grid solutions that integrate various distributed energy resources with renewable solar energy resources for real estate projects in Egypt. This will improve the efficiency of buildings and energy consumption, as well as provide smart energy distribution and storage services via microgrid, electric car chargers, and irrigation and water systems. The MoU will also finance the micro-grid network at Schneider Electric’s Badr Factory, which aims to use renewable energy with a capacity of 758 kilowatts through solar panels and micro-grid solutions to maximize its resources and achieve sustainability.

According to the second MoU, Schneider Electric and Abu Dhabi Commercial Bank – Egypt will implement sustainable development projects in Marsa Matrouh Governorate. The projects will create a positive change in society in the water, food, and energy sectors, and provide technical support and training to the beneficiaries.

The signing also involved Gebal Egypt for Agriculture, Sustainability and Livelihoods, which will be in charge of implementing the projects. The projects include establishing a cooled agricultural greenhouse, a water desalination unit, a fertilization unit, and a unit for lifting water from wells. The technology is expected to reduce the environmental impact by lowering carbon emissions and saving water consumption. The projects are also expected to support 1,000 village residents, improve their living conditions, produce 10 tonnes of agricultural crops per year, desalinate 3,650 cubic meters of water annually, and pump 7,300 cubic meters of well water per year, in addition to producing 70 megawatts/hour of clean energy.

“Egypt aims to reach 42% of the energy mix based on clean and renewable energy,” said Reyes. “The current percentage is 12%. To achieve this goal, which is consistent with Schneider Electric’s vision and strategy, the private sector and society need to cooperate. This is a vital part of Egypt’s 2030 plan. We are committed to providing innovative and effective solutions that will make a positive difference in society.

He also expressed his company’s eagerness to cooperate with reliable entities that share the same goal of creating a positive climate. He also expressed his pride in cooperating with Abu Dhabi Commercial Bank Egypt and Gebal in this project.

For his part, Ihab Al-Sowerky, said that this partnership is a new step that his bank is taking towards implementing the sustainability strategy of Abu Dhabi Commercial Group.

“Sustainable development has indeed become one of many countries’ top priorities, and it so happens that it is one of Abu Dhabi Commercial Bank’s top priorities as well. We believe in the pivotal role that banks can play to support the economy and the shift towards sustainability. Today, we join hands with the international Schneider Electric Company to maximize the impact on society by expanding financing green projects. We are committed to supporting the transition and also committed to contributing to achieving community development, and generating jobs.” Al-Sowerky said.

Source: Daily News Egypt


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