UAE-based food and beverages giant Agthia Group announced on Monday that it has signed solar lease agreement with Dubai-based distributed solar projects developer Yellow Door Energy (YDE) to establish two solar power plants with capacities of 5 megawatt-peak (MWp).

The two solar PV plants, , will be located at the two production facilities of Agthia subsidiaries Al Ain Water and Al Foah Dates, respectively, the ADX-listed company said in a stock exchange statement.

The two plants will generate 287,000 megawatt-hours (MWh) of clean energy over their 25-year operating period and reduce CO2 emissions by 124,000 tonnes, according to the statement. 

The project will offset almost 20 percent of the energy consumptions for the factories every year, it added.

Project costs weren't disclosed.

Alan Smith, Group Chief Executive Officer of Agthia Group, said: "Food processors and manufacturers have significant hurdles in balancing safety and quality requirements with sustainable production techniques while boosting energy efficiency. By introducing solar into our energy mix, we significantly lower the carbon footprint associated with operations in these two locations."

YDE's project portfolio stands at more than 200MWp serving 80 businesses in six countries.

(Writing by Senthil Palanisamy; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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