Minister of Energy and Water, Walid Fayad, revealed on Monday the main reason behind the small growth in energy renewables in Lebanon.
According to Renewables Now, the Minister delivered a speech at Siemens Energy Week to announce that “the rollout of renewable energy in Lebanon is sputtering due to the lack of financing.”
He then explained that it is not currently possible to receive financing from local banks and the financing from international banks depends on the agreement with the International Monetary Fund (IMF).
“As many as 14 projects, including 165 MW of solar and 210 MW of wind, have received permits but the lack of financing poses an obstacle to their implementation,” cited Renewables Now business news provider.
11 companies were granted licenses in May by the Lebanese government to build solar plants with a capacity of 15 MW each, but these projects can’t be implemented without the necessary funds.
Back in February, the United Nations Industrial Development Organization (UNIDO) announced that it has secured €3.7 million (about $4,230,000) from the European Union (EU) to finance renewable energy projects in Lebanon.
With Lebanon suffering from a lack of electricity, many people have resorted to private generators and, more recently, solar panels that are now being loaned.