Egypt signs 5.6GW renewable energy and storage deals to accelerate clean energy shift

The Egyptian government has signed three major agreements to develop renewable energy projects and battery storage facilities with a combined capacity of 5,620MW, as part of its strategy to expand clean energy production, Al Youm Al Sabea reported on March 18.

Minister of Electricity Mahmoud Esmat said the deals are part of Egypt’s national energy strategy, which aims to have renewable energy account for over 42% of the energy mix by 2030 and 65% by 2040.

PM Mostafa Madbouly witnessed the signing ceremony, which included a land usufruct agreement for a 900MW wind project in Ras Shukeir. The project will be developed by a consortium comprising Egyptian Orascom Construction (DFM: OC), France’s Engie (EPA: ENGI), and Japan’s Toyota Tsusho (TYO: 8015) through its subsidiary Alifos, operating under the project company Shukeir Wind Energy.

A second agreement covers the purchase of electricity generated from the same 900MW wind project in Ras Shukeir.

The third agreement, signed with Egypt United for National Industries (Kemet Group), includes several projects: a 2,000MW solar plant in Nagaa Hammadi, a 2,000MWh standalone battery storage facility in the same area, and additional solar projects with capacities of 320MW and 400MW in El Oweinat.

Esmat explained that the new projects will support efforts to reduce reliance on fossil fuels, cut carbon emissions, and enhance grid stability through battery storage systems, while also promoting private-sector participation and the localisation of energy technologies.