PIF signed a loan agreement with IFC for a total amount of NIS 60 million to finance part of the School Solar Rooftop program for 500 government schools that aim at generating 35MW of clean energy over a three-year period. The program will be implemented through PIF Massader company in partnership with the Ministry of Education and Electricity Distribution Companies.

This program is part of ‘Noor Palestine’ Solar Program implemented by PIF to generate 200MW of electricity, the equivalent of approximately 17% of Palestine’s needs of electricity, while the development of the Jericho and Jenin Solar PV Plants is considered the other part of Noor Palestine Program.

Dr. Mohammad Mustafa, chairman of PIF Board of Directors, said that PIF ‘is leading an investment program for impact that covers a diverse portfolio of strategic economic sectors. PIF focuses its investments on productive sectors, with the energy sector, both traditional and renewable energy, being at the center, with the aim of reducing the energy bill since more than 95% of electricity in Palestine is imported from neighboring countries, thus push towards an independent Palestinian energy sector away from economic dependence.”

Dr. Mustafa added: “the conclusion of this agreement is an accomplishment that we are proud of and is one of the fruits of cooperation between PIF and IFC. We look forward to continue and strengthen this cooperation since the Schools’ Solar Rooftop Program is one of the key development projects of PIF.” Dr. Mustafa indicated that PIF is proud of its partnership with renowned international institutions since such partnerships highlight the importance and strategic nature of the projects that PIF is implementing. Additionally, these partnerships reiterate the level of good governance principles that PIF applies in accordance with the highest international standards.

Massader has implemented the first phase of this project by installing electricity generating systems for 30 schools that were linked to distribution networks. Currently, work is underway in the second phase and its expected to complete the installation of the systems for an additional 120 schools by the end of the year, which will include a total of 150 out of the 500 targeted schools.

In her turn, Ms. Linda Munyengeterwa, IFC Regional Industry Director in the MENA region, said: “there is a need to create economic opportunities in the West Bank and Gaza Strip, and to focus on providing and improving the basis infrastructure services which would facilitate the work of businesses and enhance the sense of initiative among Palestinians.”

The CEO of Massader Azem Bishara said: “Massader is implementing this project in partnership with the Ministry of Education and Electricity Distribution Companies. These companies will take part in the implementation and overall supervision of the project as well as buy the electricity that is generated. In the meantime, the Ministry will use savings in the electricity bill to cover the schools’ expenditures and develop the education process.”

Bishara added: “the program will have multiple economic benefits. Distribution companies will have stable supplies of energy which would contribute towards increasing production, expanding and creating job opportunities, all of which would ultimately drive economic growth. The program offers benefits to the Palestinian electricity distribution companies by providing them with electricity at a lower cost than what is now available from Israel, in addition to minimizing technical losses.”