Saudi Arabia Will Produce Wind Power in Egypt

Agreement between Cairo and Riyadh provides for $1.5 billion investment

Saudi Arabia and Egypt have agreed to produce wind energy in the Gulf of Suez and Gebel Az Zeit near the Red Sea. The agreement, signed between Egypt’s New and Renewable Energy Development and Utilization Authority and the conglomerate led by Saudi Arabian Acwa Power, involves an investment of $1.5 billion. The generation capacity is estimated at 1.1 gigawatts.

The new project will allow Egypt to reduce carbon dioxide emissions by 2.4 million tons per year and save about 840,000 tons of coal and other fossil fuels. At the social level, about 6,000 “direct and indirect” jobs will be created. Finally, the new wind farm will provide electricity to about a million homes.

According to Egyptian Energy Minister Mohamed Shaker, “the agreement with Saudi Arabia is part of a broader program by the Egyptian government aimed at attracting foreign investors, especially from neighboring Gulf countries.” The implementation of the project with Saudi Arabia will contribute to the restoration of the country’s economy. The Egypt – Saudi Arabia alliance will work through the project’s development phase to “complete research and secure financing for the project,” which is said to be the “largest wind power generation of its kind in the entire Middle East.”