"Al-Mashat": 6.7 Billion Egyptian Pounds in Public Investments in the 2025/2024 Plan to Connect 4 Renewable Energy Projects under the "NWFE" Program to the National Electricity Grid

H.E. Dr. Rania A. Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, stated that four projects listed under the energy pillar of the "NWFE" program will be connected to the national electricity grid by the upcoming summer. This is part of the state's efforts to enhance grid stability and increase the capacity of clean electrical energy.

A progress report (Report No. 2) for the "NWFE" program, which was launched by the Ministry of Planning, Economic Development, and International Cooperation, was released yesterday, Thursday, under the patronage and attendance of Prime Minister H.E. Dr. Mustafa Madbouly.

The report mentioned that, as part of the integration between public investments and international partnerships, investments worth 6.7 billion Egyptian pounds have been secured from the current fiscal year's economic and social development plan. These investments are aimed at supporting the first urgent phase of reinforcing the national electricity grid to accommodate the expected renewable energy capacities entering the grid by the summer of 2025.

The report indicated that the first urgent phase of projects (scheduled to be connected before the summer of 2025) will have a total capacity of 3,700 megawatts of solar energy, in addition to storage capacity through batteries, amounting to 2,840 megawatt-hours. The importance of this project lies in strengthening the unified grid to absorb the expected renewable energy capacities, therefore contributing to solving the electricity outage issue and securing the country's electricity needs.

The projects scheduled for connection include the EMIYA station with a capacity of 1,000 megawatts in Southeast Benban, the Scatec station with a capacity of 1,000 megawatts in Nagaa Hammadi, the Masdar station with a capacity of 900 megawatts in El-Wahat, and the 500-kilovolt transformer station in the 10th of Ramadan in the Sharqia governorate.

The 2nd progress report for the "NWFE" country platform revealed developments in implementing energy projects under the program.

H.E. Dr. Rania Al-Mashat confirmed that energy projects within the "NWFE" program align with the political leadership's directives to expand green transition projects, support the electricity and renewable energy sector, and achieve a qualitative leap in this vital sector to implement the National Integrated Sustainable Energy Strategy. This strategy aims to increase the share of renewable energy in the energy mix to 42% by 2030 and 60% by 2040, in partnership and cooperation with the private sector. H.E. Minister Al-Mashat further explained that the focus on the energy sector has a significant impact on efforts to achieve economic development and increase investments in various sectors.

The report highlighted progress in implementing energy projects within the "NWFE" program, which aims to add 10 gigawatts of renewable energy capacity with investments of approximately 10 billion dollars, as well as the gradual phase-out of 5 gigawatts of fossil fuel-generated power by 2028, while enhancing and developing the grid infrastructure and supporting national grid investments. This supports the national strategy.

The report outlined that through joint efforts between the Ministry of Planning, Economic Development, and International Cooperation, the European Bank for Reconstruction and Development (EBRD), which is the main development partner for the energy axis, as well as the Ministry of Electricity and Renewable Energy and relevant national entities, agreements for energy purchase have been signed between the Egyptian Electricity Transmission Company and private sector companies (such as ACWA Power, Masdar, Infinity, Scatec, EMIYA Power, Orascom, and Hassan Allam Utilities) with a total capacity of 4.2 gigawatts.

Efforts have also succeeded in securing development financing for the private sector amounting to 4 billion dollars from development partners such as EBRD, the International Finance Corporation (IFC), the African Development Bank (AfDB), the British International Investment (BII), the OPEC Fund for International Development, the Japan International Cooperation Agency (JICA), the Green Climate Fund (GCF), and the DEG of the German Development Bank, among others.

Additionally, thermal power plants with a total capacity of up to 1,200 megawatts out of the targeted 5,000 megawatts under the program have been shut down, alongside securing the necessary funding for the financial closure of seven renewable energy projects (wind/solar).