Egypt Secures 20-Year Wind Energy Deal

February 24, 2025 • Estimated Reading Time: 2 minutes

Key Figures & Findings: Egypt has sealed a 20-year agreement with Saudi-based ACWA Power to purchase electricity from its Red Sea wind energy project at 2.4 cents per kilowatt-hour. The $2.3 billion wind farm, located south of Hurghada, will be developed under a build-operate-transfer (BOT) model, with ACWA Power fully funding and managing the project. This initiative aligns with Egypt’s renewable energy expansion strategy.

Statistics & Insights:  Egypt aims to generate 42% of its electricity from renewables by 2035, with wind energy expected to account for a significant share. The country has already added over 3 gigawatts of wind power capacity in recent years, positioning itself as one of  North Africa’s key players in the energy market.

Future Implications: The agreement could lower electricity costs and enhance energy security in Egypt, reducing the burden of importing fossil fuels. Additionally, ACWA Power's growing investments signal more private sector involvement in Egypt’s clean energy transition, potentially leading to new projects beyond 2030.