BAKU, Azerbaijan, December 24. The European Bank for Reconstruction and Development (EBRD) has announced a $275 million syndicated loan to support the construction and operation of Africa’s largest wind farm in Egypt’s Gulf of Suez region, TurkicWorld reports.
The loan includes $200 million directly from the EBRD and $75 million in B loans provided by Arab Bank and Standard Chartered. Additional co-financing comes from institutions such as the African Development Bank, British International Investment, Deutsche Investitions- und Entwicklungsgesellschaft, the OPEC Fund for International Development, and APICORP.
The wind farm will have a total capacity of 1.1 GW, generating over 4,300 GWh of electricity annually and cutting CO2 emissions by more than 2.2 million tonnes each year. The renewable energy generated will be supplied at a cost lower than conventional power sources.
This project is a cornerstone of Egypt’s Nexus of Water, Food, and Energy (NWFE) program, which was introduced during COP27. It contributes to the NWFE goal of adding 10 GW of renewable energy capacity while supporting Egypt’s target to derive 42% of its energy mix from renewables by 2030.
Suez Wind, the company leading the project, is a joint venture between ACWA Power and HAU Energy, a renewable energy platform backed by the EBRD, Hassan Allam Utilities, and Meridiam Africa Investments.
Rania A. Al-Mashat, Egypt’s Minister of Planning and Economic Development, highlighted the project’s importance: "Through our partnership with the EBRD, we are mobilising blended finance to attract private investments in renewable energy. This project is a vital part of our efforts to reduce fuel consumption and expand clean energy initiatives."
Nandita Parshad, Managing Director of the EBRD’s Sustainable Infrastructure Group, added: "The EBRD is proud to finance this landmark project, which marks Egypt as a leader in large-scale renewables in Africa. Following the success of the continent’s largest solar farm, this wind farm further underscores the country’s commitment to clean energy."
Since 2012, the EBRD has invested approximately 13.3 billion euros in Egypt across various sectors, including transport, agribusiness, and energy infrastructure.
