Dubai Based PV Developer Raises $31.2 Million Loan

• Yellow Door Energy has raised $31.2 million from a host of lenders to support the completion of 48.3 MW distributed PV capacity
• It will be developed in the form of 8 solar projects under wheeling regulations for corporate clients to sell power to
• Out of 8 projects, 5 are already connected to the grid and remaining 3 are under construction

Jordan based solar PV developer for commercial clients Yellow Door Energy has obtained $31.2 million senior secured loan to support 8 distributed solar parks in the country representing a combined capacity of 48.3 MW, which on completion is expected to generate over 81 GWh annually. It will be used by the developer for the development, construction and operation of the projects.

The European Bank for Reconstruction and Development (EBRD) has shelled out $10.6 million, complemented by a loan mobilized by the bank for up to $5 million by the Global Environment Facility (GEF). There is a parallel $15.6 million senior loan in local currency from the German development finance institution DEG. Yellow Door Energy is contributing with equity investment while Spain is providing results-based payments of up to €1.5 million along with technical assistance together with the European Union (EU).

All this capacity under the country's wheeling regulations is contracted by 5 private offtakers named as telecommunications firm Umniah, retails chains Carrefour, Safeway and Taj Mall, along with garment manufacturer Classic Fashion. Of the 8 wheeling solar parks, 5 are already operational and connected to the grid. Remaining 3 projects are at the tail end of construction phase.

The EBRD defines wheeling regulation in Jordan as, "These regulations allow customers to establish and lease or own renewable energy plants and, if necessary, connect them to the transmission or distribution system at remote locations in order to generate power for their own consumption."

In May 2019, Yellow Door Energy secured a power purchase agreement (PPA) with Carrefour Jordan for clean energy supply from 17 MW solar park (see Yellow Door To Build 17 MW Solar For Carrefour Jordan).

Previously in 2019, EBRD contributed to a $35 million financial package for a 37 MW solar power facility with Orange Power as the offtaker under wheeling policy (see 37 MW Jordan PV Project Gets EBRD Financing).