EBRD approves $65mn loan for Hassan Allam solar project in Egypt

The European Bank for Reconstruction and Development (EBRD) has approved a $65mn loan to Egyptian venture HAU Energy, a subsidiary of Hassan Allam Utilities, to finance the development of a new solar power project in Egypt, according to a statement released on April 14. 

The funding will support the construction of a 200MW solar plant in the Benban area of Aswan, alongside a battery energy storage system with a capacity of 120MWh. The project is expected to strengthen Egypt’s renewable energy capacity while enhancing grid stability through integrated storage solutions.

According to the EBRD, the project will contribute to reducing carbon dioxide emissions by up to 280,000 tonnes annually. It will support Egypt’s transition towards a low-carbon economy and reduce reliance on fossil fuels.

The financing will include a technical cooperation programme under the EBRD’s economic inclusion and gender equality framework. This includes the design and delivery of nationally accredited training programmes focused on green skills for young jobseekers in Egypt.

“The financing will be complemented by a comprehensive technical cooperation package provided through the EBRD’s Gender and Economic Inclusion Technical Cooperation Framework, which will support the design and implementation of two nationally accredited technical training programmes focused on green skills for young jobseekers. The programmes will help equip youth with the practical expertise required for employment in Egypt’s expanding renewable energy sector,” according to the bank.

HAU Energy, established in 2024 as a platform for renewable energy investments in Egypt, is jointly owned by France’s Meridiam, Hassan Allam Utilities, and the EBRD.

EBRD said the project marks another step in enhancing Egypt’s energy security through affordable clean energy and storage solutions, while supporting the country’s strategy to diversify its energy mix and improve resilience to external shocks. Hassan Allam Utilities said the project marks a key step in scaling up integrated solar and battery storage systems to support the national grid.