On the vast land of the Sinai Peninsula, a large-scale renewable energy complex is moving from blueprint to reality. This land, blessed by sunlight and wind energy, will become a new engine for Egypt's energy transition.

In 2025, the International Energy Union held in-depth talks with the Egyptian government on a $15 billion renewable energy complex project in the southern Sinai Peninsula. This wind solar hybrid project with a planned installed capacity of 10 gigawatts will not only become one of Egypt's largest clean energy plans, but also a key step in building its regional green hydrogen market leadership position.

Strategic Ambition

This grand project was proposed by an international consortium with the aim of accelerating Egypt's transition to large-scale green electricity production. According to Egypt's national energy strategy, the proportion of renewable energy in the total installed capacity will increase to 42% by 2030.

The project will be implemented in stages, with an initial investment of approximately 6.7 billion US dollars, with the goal of providing approximately 1.25 gigawatts of clean electricity by 2030. The project will be developed in collaboration with the Egyptian Ministry of Military Production, demonstrating that the Egyptian government has elevated clean energy projects to a national strategic level.

The project covers an area of 100 square kilometers and will operate completely off grid. In the future, it can integrate up to 15 gigawatts of photovoltaic capacity to ensure stable and low-cost hydrogen production. A seawater desalination plant will be built within the complex to provide water specifically for green hydrogen production, which is a key link in Egypt's strategy to build an energy export hub.

Economic opportunities

After the project is fully completed, it is expected to operate for about 50 years, providing long-term renewable energy electricity for the Egyptian power grid. The park will also host the country's first large-scale green hydrogen facility, which is directly in line with Egypt's green hydrogen industry development strategy.

The Egyptian government has set clear hydrogen energy targets: by 2030, the production capacity of green hydrogen and its derivatives will reach 1.5 million tons; By 2040, this number is expected to climb to 5.8 million tons. The Sinai Peninsula project is an important carrier for achieving these goals.

Egypt has made substantial efforts in localizing the solar panel industry, utilizing its abundant white sand reserves and huge solar energy resource advantages to attract international capital, including several Chinese companies, to invest in setting up factories. By establishing a complete renewable energy industry chain, Egypt is expected to create a large number of job opportunities, reduce dependence on imports, and enhance its export potential for green energy.

This $15 billion green energy project will drive a fundamental transformation of Egypt's energy structure. In conjunction with other large-scale new energy cooperation between Egypt and countries such as the United Arab Emirates and France, Egypt is moving towards the position of a regional green energy center. Keywords: Middle East International News, Middle East Latest News

With the localization of renewable energy technologies and the formation of the green hydrogen industry, Egypt is not only expected to break away from its dependence on fossil fuels, but also become a green hub connecting energy markets in Africa, Europe, and the Middle East.Editor/Cheng Liting