Construction of a 60 MW wind farm in Yemen
A loan agreement for KD 18 million was signed in Marrakesh on 17 April 2012 between the Government of the Republic of Yemen and the Arab Fund for Economic and Social Development to help finance the construction of a 60 MW wind farm in the Mokha area in the Republic of Yemen.
The loan agreement was signed by H.E. Dr. Mohammed Saeed al-Sa’adi, Minister of Planning and International Cooperation, on behalf of the Government of the Republic of Yemen, and by H.E. Mr. Abdlatif Yousef Al Hamad, Director General/Chairman of the Board of Directors, on behalf of the Arab Fund.
The project aims at increasing the installed generating capacity in Yemen in order to satisfy a part of the growing demand for energy and power in the country, without the use of fossil fuels. This will be accomplished through the construction of a60 MW wind farm in the Mokha, close to the Red Sea, and connecting it to the electric grid.
The project includes the following main components:
1 - Wind farm.
2 - Advisory services, programs and computers.
3 - Institutional support.
The loan will carry interest at 2.5% per annum and will be repayable over 25 years including a 5-year grace period.
With the signing of this loan, the Arab Fund's total contribution to financing projects in Yemen now amounts to KD 767.6 million.