UAE–Japanese consortium, IFC back $700mn solar facility in Egypt

Dubai-headquartered renewable energy developer AMEA Power, a unit of UAE’s Al Nowais Group and Japan’s Kyuden International Corporation have partnered with the International Finance Corporation (IFC) and other lenders to develop a major $700mn solar and battery storage project in Egypt, according to a statement from AMEA Power, cited by Al Mal. 

The facility aims to strengthen the resilience of the country’s power system. Egypt aims to rapidly expand renewable energy to reach 42% of its electricity generation mix by 2030, focusing on large-scale solar and wind projects across the country. The plan is designed to reduce reliance on fossil fuels and cut carbon emissions.

The project, to be built in Aswan, will include a 1,000MW photovoltaic solar plant alongside a battery energy storage system (BESS) with a capacity of 600MW/hs. Once operational, expected in June 2026, it is set to become Africa’s largest combined renewable energy and battery storage facility developed as a single asset.

At full capacity, the project is expected to generate more than 3mn MW/h of clean electricity annually, enough to supply over 500,000 homes, while reducing carbon dioxide emissions by around 1.6mn tonnes per year.

Ownership of the project will be split between AMEA Power, holding a 60% stake, and Kyuden International, with 40%. Financing is being supported by a $570mn loan package led by IFC, alongside several international development finance institutions.

Construction is expected to create more than 4,000 jobs, with over 95% filled by Egyptian workers, supporting local skills development and economic growth.

Days earlier, Amea Power commissioned a 120 MW solar power plant in Tunisia, marking the largest solar project ever brought online in the country and a key milestone in its energy transition.