Log in or Register for enhanced features | Forgotten Password?
White Papers | Suppliers | Events | Report Store | Companies | Dining Club | Videos
Green Power
Return to: CTBR Home | Green Power | Wind

Engie-led consortium to develop 250MW wind farm in Egypt

CTBR Staff Writer Published 01 November 2017

A consortium led by French energy utility Engie has been selected to build, own and operate (BOO) a 250MW wind farm in Egypt.

Other members of the consortium include Toyota Tsusho Corporation/Eurus Energy Holdings Corporation (40%) and Orascom Construction Limited (20%). 

The wind farm will be located in Rhas Gharib on the Gulf of Suez, which is considered to be an optimal site with over 60% of gross capacity factor.

Electricity generated from this wind farm will be supplied to the Egyptian Electricity Transmission Company (EETC) under a 20 year power purchase agreement (PPA).

Construction of the Gulf of Suez wind project is scheduled to take place by the end of 2017 and is expected to take about 24 months for completion.

As per Engie, this is the first wind farm that it tendered on a BOO-basis and is part of Egyptian government’s drive to increase renewables share in the country’s energy mix. The country has a target to generate at least 7GW in wind generation by 2022.

Engie stated that the wind farm will see an investment of $400m and financing will be offered by the Japanese Bank for International Corporation (JBIC) in coordination with commercial lenders SMBC and Sociéte Générale. 

Engie Africa CEO Bruno Bensasson said: “Egypt is a country which expects a strong power demand growth in the next years to accompany its economic and social development. With this large wind project, Engie becomes an important player in Egypt’s ongoing renewable energy transition. 

“Gulf of Suez is definitely proof that good regulation can bring foreign investment at a competitive price to the benefit of African countries. For our Group it is an opportunity to scale up our presence in a strategic country with a long-term contracted asset guaranteed by the government.”

Image: Officials of Engie signing the BOO contract. Photo: Courtesy of The ENGIE Group.