Abu Dhabi Future Energy Company PJSC – Masdar, Infinity Power, and Hassan Allam Utilities have all signed an agreement with Egypt’s New and Renewable Energy Authority to obtain land to build a 10-gigawatt capacity onshore wind farm in Egypt, set to be one of the largest in the world with a project value of more than $10 billion.
The wind project will produce 47,790 gigawatt hours of clean energy yearly and reduce around 9% of Egypt’s annual carbon emissions by cutting carbon dioxide emissions by 23.8 million tons a year. The developers say it is the largest wind project in Africa, which will also help Egypt meet the country’s objective of sourcing 42% of its energy from renewable sources by 2030.
The 10 GW plant is estimated to save the North African nation $5 billion in natural gas costs a year.
The original agreement to develop the wind farm was signed between Masdar, Hassan Allam Utilities and Infinity Power, and the Egyptian Electricity Transmission Company (EETC) and was witnessed by presidents of the UAE and Egypt at the UN climate change conference – COP27 – held in Sharm El Sheikh, Egypt, last year.
Masdar, Infinity Power, and Hassan Allam Utilities also signed agreements with Egyptian organizations during COP27 to develop green hydrogen and derivatives production facilities. The group is currently targeting a capacity of 4 GW by 2030, plus an output of up to 480,00 tons of green hydrogen annually.
Wind Projects Help Egypt with SDGs
The wind energy program will help meet Egypt’s growing energy needs and the project aligns with the nation’s sustainable development goals, Amr Allam, CEO of Hassan Allam Holding said.
In March 2023 Masdar became the largest operator of renewables in Africa, according to a press release, after its joint venture with Egypt’s Infinity – Infinity Power – acquired Lekela Power, a renewables developer across the continent. Masdar also signed deals in January 2023 to develop renewable energy projects, which have a combined capacity of up to 5 GW, in Uganda, Angola, and Zambia.
Sultan Al Jaber, UAE minister of industry and advanced technology, chairman of Masdar, and COP28 president-designate, said the project is aimed to be one of the largest wind farms in the world and the largest on the African continent. It has the potential to create jobs, cut emissions, and power homes with clean electricity, showing a strong partnership between UAE and Egypt.
To meet the goals of the Paris Agreement, the world needs to triple renewable energy capacity by 2030, he said. Projects such as this will support global efforts to reduce the impacts of climate change and help keep the goal of 1.5 degrees Celcius intact while allowing socio-economic growth.
The project is being developed by an association led by Masdar and its partners: Infinity Power – Masdar’s joint venture with Egypt’s Infinity, which is claimed to be Africa’s largest pure-play renewable power company, and Hassan Allam Utilities, an investment platform focused on sustainable infrastructure.
Egypt is North Africa’s most populous country with an abundance of renewable energy sources such as wind and solar. Masdar has a presence in Egypt with projects dating back to 2015, which is a starting point to target the African continent through the Infinity Power platform.