In 2022, KarmSolar became the first private company to receive a permit to distribute electricity in Marsa Alam by the Egyptian Electricity Regulatory Agency. Accordingly, KarmSolar launched the Marsa Alam Solar Grid, a first-of-its-kind regional energy solution that aims to power resorts across Marsa Alam with a connection to the national grid and solar energy.
KarmSolar’s first project in Marsa Alam was back in July, 2015. Marsa Shagra Resort (Red Sea Diving Safari) signed a PV/Diesel Hybrid Solar PPA, contributing renewable energy to the resort’s consumption and significantly lowering their energy bills. Since then, KarmSolar replicated the same model with 5 new hybrid PPA stations for resorts across Marsa Alam, thereby ensuring that their electrical needs were being satisfied with a renewable and economical source of energy.
The reason Marsa Alam served as an attractive destination for KarmSolar’s next venture was essentially due to its status as a thriving touristic destination, as well as it being an off-grid location. Consequently, the primary source of energy for all Marsa Alam occupants is diesel generators. This has posed quite an issue for the many residents of Marsa Alam, especially since diesel generators are an exceptionally problematic energy source due to the role they play in releasing various kinds of pollution.
The permit awarded by the Egyptian Electricity Regulatory Agency allows us to distribute electricity to North Marsa Alam locations Marsa Shagra Resort, The Oasis, Wadi Sabbara, Equinox 3 Corners, and Solidaire Resort as part of Phase I of the project.
Through the Marsa Alam Solar Grid, KarmSolar has signed agreements with the participating resorts to cover their grid-connection costs and install a dedicated solar energy station at each location. The resorts will be charged KarmSolar electricity bills and will consume energy generated from the solar station and the national grid, relieving them of their dependency on diesel generators that are costly to operate and produce high emissions.
Phase II will add the Marriott Ayoun Misr (under development) to the North Marsa Alam Solar Grid, and in Phase III, we will be establishing the South Marsa Alam Solar Grid to the project, which includes Azure Wadi Lahmy, and Lahamy Bay Resort among other locations.
The 8 participating resorts have all signed electricity distribution agreements with KarmSolar, activating their subscription to the project as soon as official permits are awarded. Subscription to the Marsa Alam Solar Grid is still open to resorts and destinations in Marsa Alam looking to join the national grid through an official grid connection provided by KarmSolar, and benefit from a dedicated solar energy station.
The cost of grid connection amounts to 5-9 Million EGP per resort (depending on the distance from the national grid connection point) and will be completely covered by KarmSolar. Participating resorts will be paying KarmSolar electricity bills, and receive their energy from their dedicated solar station as well as the national grid.
Also, as aforementioned, the emissions of greenhouse gases produced from diesel are particularly harmful for the environment as they contribute to the erosion of the ozone layer. On a slightly less crucial note, diesel generators are also notoriously loud, thereby producing noise pollution as well, which can be especially aggravating for the guests staying at the hotel.
As a result, connecting to the national grid while simultaneously utilizing solar energy will provide the participating hotels with much more economical, reliable, and environmental electricity rather than their previous energy setups.