A consortium led by Saudi Arabian power generation developer, operator and investor, ACWA Power, formalized an agreement on June 21, 2022, to develop a 1.1 GW wind project in Egypt.
The agreement, signed at a dedicated ceremony at the Egyptian General Authority for Investment and Free Zones headquarters in Cairo, will see the ACWA-led consortium develop the largest single contracted wind farm in the Middle East.
Present at the signing ceremony for the wind project were Dr. Mohamed Shaker El-Markabi, Egypt’s Minister of Electricity and Renewable Energy; H.E., Dr. Majid Bin Abdullah Alkassabi, Saudi’s Minister of Commerce; H.E. Dr. Issam bin Saad bin Saeed, Minister of State and Cabinet member for Shoura Council affairs; H.E. Dr. Hala Al Said, Egypt’s Minister of Planning and Economic Development; Counselor Mohamed Abdel Wahab, CEO of the General Authority for Investment and Free Zones; Eng. Osama Asran, Egypt’s Deputy Minister of Electricity and Renewable Energy; Eng. Gaber Desouky, CEO of the Egyptian Electricity Holding Company; Dr. Amjad Saeed, Advisor to the Minister; Eng. Sabah Mashali, Chairperson of the Egyptian Electricity Transmission Company; Dr. Mohammed El Khayat, Chairperson of New and Renewable Energy Authority; and H.E. Mohammad Abunayyan, Chairperson of ACWA Power.
The $1.5 billion project, located in Egypt’s Gulf of Suez and Gabal el Zeit areas, represents one of the largest onshore wind farms in the world. The 1.1 GW wind project is expected to reach financial close by Q3, 2024, and is scheduled for commercial operation by the end of 2026. The facility is expected to alleviate up to 2.4 million tons of carbon emissions annually and provide electricity to over one million households.
H.E. Dr. Mohamed Shaker El-Markabi, stated that, “This milestone wind project falls within the framework of the Egyptian government’s strategy to diversify its energy sources and leverage the country’s rich natural resources, especially in renewable energy. The Ministry of Electricity and Renewable Energy is taking concrete actions to ensure the resilience of our energy strategy, because of the escalating changes that the world is witnessing, which aim to increase the contribution of renewable energy by up to 42% by 2035.”
H.E. Minister Shaker El-Markabi added that the 1.1 GW wind project confirms Egypt’s commitment to leading in the adoption of renewable energy sources to reduce carbon emissions and the associated impacts produced by conventional energy sources in the build-up to Egypt hosting COP27 in November this year. The project, according to the minister, is a clear example of the government’s efforts to increase private sector participation regarding green energy.
During the development phase of the project, the consortium – comprising Egypt’s leading engineering company, Hassan Allam Holding – will complete site studies while securing financing.
“We are honored to contribute to the strengthening ties of Saudi Arabia, our home, and Egypt via this milestone wind project, and extend our sincerest gratitude to the leaders of both countries in entrusting their faith in our abilities to realise their renewable energy mandates,” stated H.E. Mohammad Abunayyan.
