Egyptian Minister of Electricity and Renewable Energy, Dr. Mahmoud Essmat, recently met with Stefan Rouenhoff, Parliamentary Undersecretary of State at the German Federal Ministry of Economic Affairs and Energy, and his accompanying delegation. The meeting, attended by German Ambassador to Cairo, Jurgen Scholtz, and Egyptian Ambassador to Germany, Wail Hamad, aimed to strengthen partnership and cooperation in energy policy, renewable energy, and infrastructure development. The two sides discussed ways to support the national electricity grid.
The meeting focused on current and future cooperation areas, including joint projects related to a debt swap agreement to finance the construction of transformer stations and power transmission lines. This initiative aims to support the national electricity grid within the framework of the NWFE program. The German side expressed interest in financing projects to improve clean energy supplies, including the rehabilitation of hydroelectric power plants and increasing the capacity of transformer stations at the High Dam power plant.
Dr. Essmat highlighted the importance of cooperation with Germany in the field of electricity and renewable energy, praising the depth of relations between the two countries. He emphasized the need to transform the Egyptian electricity grid from a traditional to a smart grid, continuing to build and develop its capabilities and infrastructure. Egypt aims to increase the share of renewable energy in its energy mix to 45% by 2028.
The German delegation reviewed the latest developments in cooperation between the two countries, following the governmental consultations held in Berlin in November. These consultations included financing projects to support the grid and connect renewable energy stations, as well as providing a grant of 17.5 million euros and a debt swap of 50 million euros. This aims to support efforts to reduce carbon emissions and achieve international climate change goals.
During the meeting, Dr. Essmat invited German companies to invest in renewable energy projects, including conducting wind speed measurements at some sites to establish wind farms. He also emphasized the importance of increasing storage capacity using high-efficiency batteries to maximize returns from renewable energy. The two sides discussed ways to enhance electricity transmission networks to add significant renewable energy capacities and support grid stability.
The Egyptian minister stressed the role of the private sector in leading renewable energy projects, aiming to secure permanent, clean, and low-cost energy sources. He also highlighted efforts to reduce consumption of traditional fuel and lower carbon emissions. Egypt is working on several projects in the solar and wind energy sectors, welcoming cooperation and partnership with the private sector.
The meeting concluded with an emphasis on increasing cooperation between Egypt and Germany in the energy sector. Both sides expressed their commitment to achieving the goals of sustainable development and addressing climate change. The debt swap agreement and grant from Germany are expected to support Egypt's efforts to transition to a more sustainable and renewable energy-based economy.
Key points
- Egypt and Germany discuss debt swap agreement to finance renewable energy projects
- Egypt aims to increase renewable energy share to 45% by 2028
- Germany provides 17.5 million euros grant and 50 million euros debt swap for energy projects
