Egyptian President Abdel-Fattah El-Sisi reviewed the country's strategy to expand new and renewable energy projects, aiming to raise their share of total electricity generation to 45 percent by 2028. The meeting, held in New Alamein City, brought together Prime Minister Mostafa Madbouly, Minister of Electricity and Renewable Energy Mahmoud Esmat, and Ahmed El-Abd, chairman of Concord Engineering and Contracting Company. This plan aligns with Egypt's goal of becoming a regional hub for clean and green energy.
The strategy involves greater use of battery energy storage systems to strengthen the national grid and ensure a stable and reliable electricity supply. Egypt has accelerated investments in renewable energy and electricity infrastructure to meet growing domestic power demand and reduce fuel import costs. The country focuses on solar and wind power projects in Upper Egypt, the Gulf of Suez, and Red Sea coastal areas, which have some of the world's highest levels of solar radiation and strong winds.
Minister Esmat stated that total investment in Egypt's electricity and renewable energy sector had reached about EGP 5 trillion since 2014. The meeting also discussed the role of international partners in providing technical support and financing for renewable energy projects. This support will help strengthen Egypt's position as a regional hub for energy and electrical equipment manufacturing.
El-Sisi emphasized the importance of supporting different forms of partnership, particularly those involving locally manufactured equipment and energy storage batteries. He called for greater local production of renewable energy-related equipment as part of efforts to strengthen energy security and support the country's green transition. This push for local production aims to boost Egypt's industrial capabilities.
The president directed the development of local manufacturing in various sectors, including black sand processing, value-added industries, fertilizers, and rare earth elements. This diversification of local industries is expected to contribute to Egypt's economic growth and development. By promoting local production, Egypt aims to reduce its reliance on imports.
Egypt's renewable energy expansion is a key component of its national energy strategy. The country targets a 61.2% renewable energy share by 2040, according to the Electricity Minister. Achieving these targets will require continued investment and innovation in the renewable energy sector. Egypt's progress in renewable energy will be crucial for its sustainable development.
The Egyptian government has secured significant financing for renewable energy projects, including a €690 million EU-EIB financing package. This funding will support the integration of renewable energy into the national grid. With international support and local investment, Egypt is poised to make significant strides in its renewable energy goals.
Key points
- Egypt aims to raise the share of renewables in electricity generation to 45% by 2028.
- The country has invested EGP 5 trillion in the electricity and renewable energy sector since 2014.
- Egypt targets a 61.2% renewable energy share by 2040.
