Libya’s Renewable Energy Holding Company has unveiled plans for the establishment of a special purpose vehicle (SPV) to develop a 100-megawatt (MW) renewable energy power generation project, with estimated investments of 500 million Libyan dinars ($90 million).

The project aims to contribute to energy security and diversify electricity generation sources by developing a modern power plant and connecting it to the national grid in accordance with internationally recognised technical and environmental practices.

During the meeting at the economy Ministry on Friday, proposed financing mechanisms for the project were reviewed, including the issuance of bonds for public subscription.

This aims to broaden national participation in infrastructure and sustainable energy projects and enhance the role of the private sector and the capital market in financing development projects, the official Libyan News Agency reported.

“Participants in the meeting emphasised the importance of expediting the completion of related regulatory and administrative procedures, particularly the determination of the purchase tariff for electricity generated from renewable energy sources by the national electricity grid,” the report said.

“This is considered a fundamental element for finalising the project's economic and financial feasibility study and attracting investors and financing institutions.”

(Writing by N Saeed; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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