The state utility company, Fenaka Corporation Limited, has signed a power purchase agreement with Magoodhoo Island Council to buy solar energy produced in the island.
At a function held in Magoodhoo, Faafu Atoll, Managing Director of Fenaka Ahmed Saeed Mohamed and President of Magoodhoo Island Council signed the agreement. Fenaka explained the agreement as the first ever power purchase contract signed in Maldives.
The agreement represents the support towards clean energy production and readiness to purchase clean energy produced in accordance with standards set by the Maldives Energy Authority, according to Fenaka. Under the agreement, Fenaka will use a share of the energy produced via solar systems established in Magoodhoo with the assistance of Milano-Bicocca University of Italy.
The purchase of solar energy will reduce the use of fuel to produce energy in Magoodhoo. The agreement will also benefit the council economically.