Egypt’s Ministry of Electricity and Renewable Energy has approved a $900 million investment from Abu Dhabi Future Energy Company (Masdar) to develop solar power plants in Upper Egypt, including Aswan. The project aims to generate about 1,000 megawatts (MW) of solar power, significantly increasing Egypt’s renewable energy capacity. Masdar will execute and finance the project under the build, own, operate (BOO) model, ensuring it will manage both the construction and operation of the solar plants.
The Egyptian Electricity Transmission Company (EETC) has agreed to purchase all the energy produced for a period of 25 years, providing a long-term energy supply agreement. The final contracts and energy purchase agreements are currently under review and are expected to be signed between the New and Renewable Energy Authority (NREA) and EETC by October. The NREA will acquire land for the project under a royalty system in exchange for 2% of the electricity generated. The solar power projects, which use solar systems and solar panels, are scheduled to be completed by the end of 2025 and will be connected to Egypt’s national grid. The source is expected to work with an Egyptian partner on development projects and increase the region’s participation in the renewable energy sector. . The project highlights Egypt’s efforts to expand its renewable energy infrastructure and reduce reliance on traditional energy sources.