ACWA Power Co. has inked a preliminary deal with Egyptian entities to construct a 10-gigawatt wind project in Egypt.
According to a statement from the Saudi Ministry of Energy, the MoU was agreed upon with Egypt’s New & Renewable Energy Authority and Egyptian Electricity Transmission Co. Prior to the signing of the final contracts, Egypt will provide the lands required to conduct the project’s feasibility studies.
Electricity Minister Mohamed Shaker and Saudi Energy Minister Prince Abdulaziz bin Salman met in Riyadh, where they inked the deal.
The two ministers also discussed topics of collaboration in the areas of hydrogen and renewable energy while they were meeting. As well as the development of the electrical interconnection between the two nations. Furthermore, ACWA Power spent $1.5b on an Egyptian wind farm earlier in June, in an effort to broaden its renewable energy horizons.
The 10GW wind project in Egypt to supply electricity to 1,080,000 homes
The 1,100mw wind project in Egypt is situated near the Gulf of Suez and Gabal El Zeit. It is reportedly the largest single-contracted wind farm in the Middle East region. Additionally, the project will also supply electricity to 1,080,000 homes and reduce annual carbon dioxide emissions by 2.4m tons.
Hassan Allam Holding was a member of the ACWA Power-led consortium. And they will collaborate during the development stage to finish the site investigations and find funding for the project.
Mohammad Abunayyan, chairman of ACWA Power said, “Despite the uncertainty in the global economy, this wind project shows a dedication to achieving a greener tomorrow. We look forward to collaborating with like-minded partners to build a brighter future.”
According to the Information and Decision Support Center of the Egyptian Cabinet, Egypt ranked first among Arab nations in the production of wind and solar energy in July with 3.5 gigawatts of capacity and expects to achieve 6.8 gigawatts in 2024.