Foreign investments in new energy projects in Egypt double to $3.5B in 2022/2021

CAIRO - 1 August 2022: Volume of foreign investments in new energy projects in Egypt doubled to $3.5 billion during 2021/2022 on an annual basis, according to data from the New and Renewable Energy Authority.

 

In its thirteenth periodic publication, the authority said that the capacities of new energy projects under development witnessed a remarkable increase during the period, reaching 3,570 megawatts, with foreign direct investments of nearly $3.5 billion, double its counterpart in 2020.

 

The authority explained that 78 percent of the capacity was for wind energy projects in the Gulf of Suez region on the Red Sea coast with high wind speeds, and 22 percent for solar energy.

 

The growth in foreign direct investment in the fields of new and renewable energy in Egypt came with the increase in the demand for investment in the fields of renewable energy, driven by the decline in its prices, as well as the high frequency of risks to fossil fuel supplies globally, in addition to the positive environmental dimension of renewable energies, according to the authority’s bulletin. 

 

Hydroelectric power production during the fiscal year 2022/2021 amounted to about 13,878 gigawatt hours, while wind power projects recorded about 5,737 gigawatt hours.

 

While the energy produced from solar cells connected to the grid amounted to about 4,393 gigawatt hours, in addition to about 88 gigawatt hours generated from biofuel projects.

 

These capabilities contributed to reducing carbon dioxide emissions by approximately 10,990 thousand tons of carbon dioxide, and creating fuel savings of approximately 4,347,000 tons of oil equivalent, which highlights the great role of renewable energy in combating climate change.

 

On the other hand, the period witnessed the import of many renewable energy tasks, especially the requirements of the wind power plant in the Gulf of Suez and solar cells, where 9,246 batteries and 5,843 current changers were imported, which indicates the growing role of these projects in meeting part of the demand for electric power.