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Egyptian renewable energy projects get $210 million boost

Ron Watts | Corbis | Getty Images

The Asian Infrastructure Investment Bank (AIIB) has announced as much as $210 million in debt financing in order to "tap" the renewable energy potential of Egypt.

In a statement on Tuesday, the Beijing headquartered AIIB said the project would comprise 11 solar power plants with an "aggregate" capacity of 490 megawatts and would help the country to meet its pledges under the Paris Climate Agreement.

"Investing in clean, renewable energy is a big part of our strategy to promote a sustainable and low-carbon future for Asia," D.J. Pandian, the AIIB's vice president and chief investment officer, said.

"We are supporting this project because it contributes to Egypt's renewable energy capacity, and it will help position the country as a regional energy hub, which will have economic benefits for the entire region," Pandian added.

In terms of its environmental benefits, the AIIB said the solar plants would help avoid over half a million tons of CO2 annually.

Worldwide, the potential of solar is significant. The World Energy Council has said that solar energy has a "big part to play" in cutting future carbon emissions and "ensuring a sustainable energy future."