The government of Egypt through its Prime Minister Dr. Mostafa Madbouly, has signed a Power Purchase Agreement (PPA) with Lekela Power, a pan-African renewable energy generation company for a 250 MW wind farm project.
Lekela’s CEO Chris Antonopoulos confirmed the reports and said the project, which is part of the Government’s Build, Own, Operate (BOO) scheme, will be installed near Ras Ghareb and is slated for commissioning in 2021.
“Egypt has a target of achieving 20% renewable power in its overall energy mix by 2022. Once constructed, it will increase Egypt’s wind energy capacity by 14%. Currently, Egypt has a total consumption of around 150.40 billion kWh with a Per capita of approximately 1,542 kWh,” said CEO Chris.
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Wind energy project
Located 30 km north-west of Ras Ghareb, the project’s total investment is estimated at US $325m. Leading Development Finance Institutions have been approached for financing. Once operational, the 73-turbine wind farm will be able to generate more than 1,000 GWh of electricity per year, or enough to supply over 350,000 homes.
CEO Chris pointed out that the company has requested long-term senior debt financing of up to $81.4m from the European Bank for Reconstruction and Development (EBRD). The wind energy project will additionally create employment opportunities locally and contribute to implement socio-economic development projects in the area.
The project is a major part of 1300MW renewable energy projects across Africa in countries such as Ghana, Senegal, and South Africa. It will be constructed on an EPC basis which is yet to be announced.
