Rashmiyah Implements Microgrid to Replace Lebanese Electricity

In June 2026, the town of Rachmiyah in the Aley District, Lebanon, began producing part of its electricity needs through a 256-kilowatt solar power station operated directly by the municipality as part of the shift toward decentralized energy solutions. The project relies on a "microgrid" model, where the electricity generated by the solar panels is distributed directly to subscribers via a private network managed by the municipality, rather than through the Lebanon Electric Corporation grid. This approach reduces costs and enhances current stability. The system produces approximately 368,000 kilowatt-hours annually and serves over 200 subscribers, supported by a battery storage system with a capacity of 240 kilowatt-hours. The project cost around $400,000, financed by an investor under a 13-year Build-Operate-Transfer (BOT) contract, after which ownership and revenue transfer to the municipality. Despite its success, the project faces legal challenges, as Lebanese law regulates the capacity and methods for distributing electricity through microgrids. Direct distribution via a private network is considered outside existing legal frameworks, but the Ministry of Energy has shown leniency due to the electricity supply shortage. Meanwhile, the Cabinet approved a new framework for regulating microgrids, including the issuance of "No Objection" decisions for projects that meet specific criteria, aiming to promote local electricity generation and reduce dependence on the Lebanon Electric Corporation. These projects are intended to be temporary, with future transfer to the public sector.

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