Egypt is accelerating the deployment of renewable energy through a series of coordinated investments in solar generation, battery storage and electricity transmission infrastructure, reinforcing its strategy to diversify the national energy mix, enhance grid resilience and attract long-term private investment.
The African Development Bank (AfDB) has approved a financing package of up to US$66 million for the first phase of the 500MW Dandara Solar Project in Qena Governorate. The project includes a 100MWh Battery Energy Storage System (BESS) and is scheduled to become fully operational in early 2028, generating an estimated 1,373GWh of clean electricity annually. The financing will support the design, construction, operation and maintenance of the facility, which is expected to contribute to Egypt’s industrial decarbonisation efforts while expanding the country’s renewable energy capacity.
Complementing the new generation capacity, the Egyptian Electricity Transmission Company (EETC) has signed a contract with a consortium comprising the High Dam Electrical Projects Company (Hydelico) and Wadi El Nile Real Estate Investments to construct a 220kV overhead transmission line capable of integrating 1,100MW of new wind power projects in the Gulf of Suez and Jabal El-Zeit. Scheduled for completion within 10 months, the project will strengthen the national transmission network and facilitate the connection of additional renewable electricity to the grid.
In a parallel move, EETC also awarded three turnkey contracts to Elsewedy Electric for Trading & Distribution for the construction of new 500kV double-circuit transmission infrastructure linking additional wind energy developments in the Gulf of Suez to the national grid, further expanding the country’s capacity to accommodate utility-scale renewable generation.
The latest investments come as Egypt seeks to reduce natural gas consumption in electricity generation, meet rising power demand and advance its renewable energy targets under the country’s long-term power-sector strategy. The programme also reflects continued confidence among multilateral development institutions and private investors in Egypt’s clean energy sector, which has become one of the region’s most active destinations for renewable energy investment and climate finance.
Taken together, the projects demonstrate Egypt’s integrated approach to the energy transition by developing renewable generation, battery storage and high-voltage transmission simultaneously rather than in isolation. Such parallel investment is essential to integrating variable solar and wind resources without compromising grid stability, while supporting the country’s longer-term ambition to become a regional centre for renewable power, green industry and cross-border electricity interconnection.
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