The Ugandan government has signed an MoU to build 500MW of utility-scale solar power.

Under the terms of the agreement with Taiwanese-US partnership, Ergon Solair, four 125MW power plants will be built for the Ugandan Development Corporation.

Construction on the first plant is scheduled to begin in 2014 with the full capacity to be installed by October 2016, according to the document seen by PV Tech.

Ergon Solair has proposed using Jinko Solar modules and is working with Portuguese firm Martifer Solar on the technical development of the projects.

The government of Uganda has committed to purchase the power from the four solar farms, according to the deal.

Ergon Solair has also signed a 2000MW agreement with the East African Chamber of Commerce, Industry and Agriculture (EACCIA).

Under the terms of that deal Ergon Solair will look to develop competitively price solar power for rural communities and small businesses.

“Many of these communities are paying enormous sums for their energy. They are using diesel generators and kerosene. Solar can be competitive and help them save between 30 and 50% of their energy bill,” Lorenzo L. Colacicchi, CEO and chairman of Ergon Solair told PV Tech.

“We’re going to be working on micro-grids. We have proposed creating small localised grids for the communities so they don’t have to rely on transmission [networks]. We’ll be integrating some storage too,” added Colacicchi adding that they will look to use existing tried and tested technology, rather than experimenting with new ones.