Banking & Finance Egypt closes $680m funding for 500MW wind farm By Pramod Kumar April 6, 2023 Unsplash.com Bash and Dzhankeldy will be the largest utility-scale wind power development in the Central West Asia region The Red Sea Wind Energy consortium has signed a financial closing agreement worth $680 million to establish a wind farm in the Gulf of Suez with a capacity of 500mw. The project will be funded by the Japan Cooperation Bank and the European Bank for Reconstruction and Development, Egypt Today newspaper reported, citing an Egyptian cabinet statement. Egyptian minister of electricity and renewable energy, Mohamed Shaker, said the project will be one of Egypt and Africa’s largest wind energy projects. He stated that the role of Red Sea Wind Energy will be to operate and maintain the wind farm under a 25-year power purchase agreement with the Egyptian Electricity Transmission Company. “The plant is scheduled to be connected to the national grid in two phases, with full commercial operation planned during the third quarter of 2025,” he added. The ministry has launched several initiatives to promote and encourage investment in power generation from renewable energy through the private sector. “A large number of investors from the foreign and local private sectors applied to establish new projects, and among these investments is the wind farm project in the Ras Ghareb area in the Gulf of Suez,” Shaker said. Red Sea Wind Energy Company chairman Khaled El-Degwi said that they will build, own and operate the wind farm, the report said. The consortium includes France’s Engie with a 35 percent stake, Egypt’s Orascom Construction (25 percent), Japan’s Toyota Tsusho Corporation (20 percent) and Eurus Energy Holdings Corporation (20 percent). Orascom Construction will carry out the civil and electrical works for the wind farm, El-Degwi stated. “This will be the third private wind farm in Egypt. It is expected to be the largest in Africa, which will help reduce carbon dioxide emissions by about one million tons annually,” he said.