The government on Tuesday signed an agreement to carry out a USD 75.5 million project in partnership with the Asian Development Bank (ADB) to increase electricity generation from renewable energy sources.
The "Accelerating Sustainable System Development Using Renewable Energy Project" was signed on behalf of the government by Finance Minister Dr. Mohamed Shafeeq.
As part of the project, solar PV systems capable of generating 20 megawatts are to be installed on 20 islands on a power-purchasing agreement basis. Battery energy storage systems of 44 megawatts would also be set up on the islands to improve grid stability.
The project also involves generating electricity from wind turbines and piloting an ocean energy system on an island.
The procurement of three megawatt solar PV systems needed for the first phase of the "Magey Solar" household solar program would also be funded under the project. Other components include a community irrigation system and community farming development program powered by solar energy.
"As a result of these projects, about 10 million liters of diesel could be saved annually and emissions could be reduced by 26,000 tons a year," the ministry said.
Speaking at the ceremony, Environment Minister Thoriq Ibrahim said the project will pave the way for achieving the government's target of generating 33 percent of electricity from renewable sources.
