Scatec and Engie have secured land set for development of wind power project in Egypt. The achievement was sealed through a signing ceremony that took place in the presence of Mohamed Shaker, Egypt’s Minister of Electricity and Renewable Energy, and Hilde Klemetsdal, Norway’s Ambassador to Egypt.
The energy project involves construction of 8 GW of wind power. Together with Scatec, NREA Chairman Mohamed El-Khayat signed the land permit for the development of 5 GW of wind power generation capacity while Egypt’s flagship Orascam Construction signed a contract for 3 GW of wind power, which it will develop as part of a consortium that also includes French energy company Engie and Japan’s Eurus Energy.
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Benefits
The project is estimated to mark a substantial investment of US $9bn and upon completion contribute to the reduction of CO2 emissions by 17 million tonnes annually. Minister Mohamed Shaker views these projects as instrumental in achieving Egypt’s target of generating 42% of its electricity from renewable sources by 2030, thereby reducing reliance on fluctuating natural gas prices.
To date, the country’s total installed capacity of renewables amounts to 3.7 gigawatts (GW), including 2.8 GW of hydropower and around 0.9 GW of solar and wind power. The shift towards renewable energy aligns with global trends and positions Egypt as a regional frontrunner in sustainable energy production.
While Egypt’s renewable energy ambitions hold promise for sustainable development, balancing energy needs with environmental conservation remains a crucial aspect of the country’s energy transition strategy.
