On the vast desert edge of Egypt, a grand narrative about green energy is unfolding. Recently, Norwegian renewable energy giant Scatec and Egyptian state-owned transmission company EETC officially signed a power purchase agreement for a comprehensive solar and energy storage battery project with a total scale of up to 6GW. This not only sets a new record for the scale of integrated solar energy storage projects in Africa, but is also seen as an important milestone in Egypt's energy transition process. With the announcement of China's new energy enterprise Sunshine Power to build a supporting factory in Egypt, a clean energy blueprint drawn up by international cooperation is slowly unfolding.

Africa's largest solar energy storage 'giant'

This project is currently the largest planned integrated solar and battery energy storage project in Africa, and also the largest investment in the history of Skatek's enterprise development. Specifically, the project includes a 1.95GW solar power station and a supporting 3.9GWh battery energy storage system. The overall system consists of an integrated hybrid system of solar energy and energy storage, as well as two independent battery energy storage projects. Among them, the hybrid system aims to achieve continuous and stable power supply, while the independent energy storage project specifically provides grid stability support services for the Egyptian national power grid, comprehensively ensuring local power supply and grid security.

25 Years of Association and Localization Layout

According to the agreement, the project will operate under a 25 year, US dollar based settlement purchase model based on actual power generation. After the project is completed, it is expected to generate up to 6000GWh of electricity annually, providing Egypt with round the clock power supply and professional grid support services. In terms of implementation support, Skatek will be fully responsible for the entire process of project engineering design, equipment procurement, construction, asset management, and operation and maintenance. In order to ensure the supply of batteries for the project, Chinese new energy company Sungrow will build a 10GWh battery production plant in the Suez Canal Economic Zone in Egypt, achieving localized layout of supporting industries for the project. It is expected to complete financing and delivery in the second half of 2026.

Assisting Egypt's energy transition

Egypt, as an important market for energy development in Africa, has previously set a development goal of increasing the proportion of renewable energy generation to over 42% by 2030. Skatek CEO Taye Pilskog stated that the integration of advanced solar and battery technologies will effectively assist Egypt's energy transition process. The signing and approval of this project is a key measure for Egypt to promote renewable energy planning. It will effectively increase the local installed capacity of renewable energy generation, optimize the power energy structure, and provide important references for the development of renewable energy and the construction of solar storage projects in Africa.Editor/Yang Meiling