Yellow Door Energy, a commercial solar developer in the Middle East, is helping food and beverage manufacturers switch to solar energy and reduce electricity bills through an innovative solar leasing model. The company will share its insights and success stories at the inaugural Future Food Summit, which takes place in Dubai on September 25-26.
We interview the developer ahead of the event for insights on current activity and future plans:
Please tell us more about the positive impact solar leasing will have on the F&B industry in the upcoming years, especially in the region.
Solar leasing helps qualified F&B manufacturers switch to clean energy, reduce electricity bills and enhance their sustainability reputation. They can go solar without any capital investment or any solar engineering know-how. This means a chocolate manufacturer can focus on its core business of delighting customers with sweet creations, while walking the talk of sustainability and enjoying a 10% to 40% reduction in electricity bills.
Yellow Door Energy, the solar lease provider, manages all stages of the solar plant from financing, engineering, construction and commissioning, all the way to operating and maintaining. The chocolate manufacturer would pay YDE a monthly solar bill at an electricity unit rate that’s less than that of the local utility’s tariff.
In an era of rising costs and heightened uncertainty, F&B manufacturers can trust YDE to bring down their electricity bills and guarantee the performance of the solar plant over the period of the lease.
What were some of the biggest challenges you have faced so far and how did you manage to find solutions?
Lack of space is often a challenge with industrial buildings. We need at least 2,000 square metres for a 200 kilowatt-peak solar plant. To address this challenge, we’ve come up with very creative solutions. In addition to putting solar panels on the roof of the factory, we can also put solar panels on top of the parking lot, called a carport system, or on the ground, called a ground-mount system. We’ve done this for numerous customers to increase the size of the solar plant and maximise the clean energy generated.
Lack of awareness is another challenge. Solar is relatively new to the region and solar leasing is another new concept, even though our company has a proven track record, guarantees the performance, and is backed by institutional investors such as the International Finance Corporation. We are fortunate in the UAE because both federal-level and emirate-level government bodies are supportive of solar. This clean source of energy plays an integral role in energy mix of the UAE as per its Energy Strategy 2050.
What would you tell businesses that are interested in exploring the solar leasing business model in the Middle East?
We would encourage businesses wanting to reduce both their electricity bills and carbon emissions to consider solar energy. They can reach out to us for a free assessment to see if they would qualify for a solar lease.
If your business meets the three criteria below, then you may qualify for a solar lease:
- Minimum of 2,000 square meters of available space (roof, car park, ground)
- Minimum energy consumption of 400,000 kWh per year
- Reputable company with good track record of experience
These are only the initial criteria. The best way is to contact our company so we can give you a free assessment, and maybe even take you on a tour of one of our many operating solar plants in the UAE and Jordan. This way, you can better understand if solar leasing is the right option for you.
What’s in the pipeline for Yellow Door Energy?
We currently have 100 megawatts of solar projects in the UAE and Jordan, including with big names such as Nestlé Middle East, Carrefour/Majid Al Futtaim and Al Nabooda Automobiles. We’re expanding to other markets in the Middle East and you’ll hear from us very soon about our new projects!
