(Ecofin Agency) – Currently, 306 MW of capacity of the Red Sea Wind Energy wind farm are already connected to the Egyptian national grid, ahead of the presented schedule. The commissioning of the entire fleet is planned for the 3e quarter 2025.
ENGIE announced on Friday January 10 work to extend Red Sea Wind Energy, the largest wind farm in Africa according to the French energy group which owns 35% of the shares, its partners Orascom Construction, Toyota Tsusho Corporation and Eurus Energy Holdings holding 25%, 20% and 20% respectively. The infrastructure located in Ras Ghareb in Egypt will thus see its capacity increase from 500 MW to 650 MW.
Financing for this extension is provided in particular by the Japan Bank for International Corporation (JBIC), the Sumitomo Mitsui Banking Corporation, the Norinchukin Bank, Société Générale SA as well as the European Bank for Reconstruction and Development (EBRD). The overall project benefits from long-term financing guaranteed by an extension of the power purchase agreement (PPA) with the Egyptian Electricity Transmission Company.
« We are committed to replicating the same level of operational excellence for the Red Sea Wind Energy expansion. Once completed in 2025, this project will be one of the largest onshore wind installations in ENGIE’s global portfolio, and will significantly contribute to Egypt’s ambitions for a low-carbon economy. » declared Paulo Almirante, Executive Vice-President of ENGIE, who sees his role in the development of renewable energies in Africa and the Middle East reinforced.
Egypt seeks to produce 42% of its electricity from renewable sources by 2040. An ambition which cannot be achieved without the participation of the private sector, like the consortium formed by ENGIE and including Red Sea Wind Energy is the 2e project, after a first park of 262.5 MW operational since 2019, still in Ras Ghareb.
Furthermore, the completion of the Red Sea Wind Energy project in 2025 could encourage new investments in renewable energy in Egypt and Africa. Additionally, it is expected to strengthen Egypt’s energy infrastructure, reduce CO₂ emissions by 1.3 million tonnes per year, and improve access to electricity for more than 1 million households, while supporting climate commitments of the country.
Abdullah Diop
Edited by: Feriol Bewa
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