AMEA Power’s 500MW Amunet Wind Project in Egypt wins the IJGlobal ESG Award 2023 in the wind sector for the MENA region, voted on by the independent panel of judges.

This is the second time Amunet has picked up an award from IJ, having in April been awarded a trophy in Dubai for greenfield financing in the 2022 calendar year.

One judge said: “The Egyptian Amunet Wind Project's focus on biodiversity conservation supports critical global goals. The use of non-domestic offsets – a first in an IFC financing – to create a net gain in populations of several migratory bird species that may be affected by the project is an interesting approach.”

Another judge added: “The project has driven enhanced stakeholder engagement processes to establish a CID programme informed by specific local community needs and targets SDG objectives. Its ability to secure among the lowest global tariffs for renewable wind energy is noteworthy.”

And yet one more said: “Its lifecycle focus and view of plant decommissioning as a point of system regeneration rather than an end point is critical to delivering on circular economy objectives in this sector.”

The financing of Amunet by AMEA Power (60%) and Sumitomo Corporation (40%) closed on 30 November 2022 with a debt package amounting to $540 million – the lion’s share of which was arranged by JBIC.

It wins the ESG award for wind in the MENA region as its impact goes far beyond carbon reduction as it aims to demonstrate environmental and social impact as well.

From an environmental perspective, the project has conducted several biodiversity studies that have included a critical habitat assessment (CHA), a cumulative effect assessment (CEA) and extensive consultation among key project stakeholders, including Natural Conservation of Egypt (NCE), and representatives of Birdlife International for Egypt.

These studies allowed the SPV to develop a fit-for-purpose biodiversity action plan (BAP) to protect the region’s wildlife, including native and exotic birds, which use the region as a migrating corridor.

It has also developed typical on-site mitigation strategies such as installing radar and implementing shutdown-on-demand protocols, including the use of non-domestic offsets (a first for IFC), to create a net gain in populations of several migratory bird species that may be affected by Amunet.

This has been done in addition to the primary action of retrofitting power lines in Egypt with bird diverters that will save the lives of countless migratory birds across Egypt.

From a social perspective, most of the workers are local, creating job opportunities in the region – with a particular focus on improving the livelihoods of the local communities.

The project company conducted local community consultation sessions, focus group discussions, interviews taken with governmental entities, and further consultations via live meetings, which included open public consultation with community members and other stakeholders. This allowed for the identification of key issues facing the local community.

As a result, it came up with CID actions under different SDG objectives that are not directly related to negative impacts or risks from the project but aim to maximise positive impacts and improve the livelihoods of the local communities.

Some of these activities include:

• distribution of 1,800 boxes of food supplies at the occasion of Ramadan
• 700 families received meat during Eid Al Adha

Other activities are planned:

• provide a course for the divorced and widows in Resin
• 3-months internship programme within the project to local students
• provide school material supplements for students in need
• awareness sessions for Bedouins related to grazing sheep, camels and nutrition
• rehabilitation of El Abour primary school
• provision of medication and medical equipment
• provide the youth with a bird observation course

Furthermore, most of the workers will be local allowing them to gain career experience and develop skills. Also, the subcontractors will be hired locally creating more active business in the region.