Cairo – Egypt: Egypt's Electricity Minister Mohamed Shaker has witnessed the initiation of the Red Sea Wind Energy (RSWE) work project to develop, construct, and operate a greenfield wind farm of 500 (megawatt) MW in Ras Ghareb, Egypt, according to an official statement.
Red Sea Wind Energy is a consortium formed by Orascom Construction, Japan’s Toyota Tsusho Corporation/Eurus Energy Holdings Corporation, and France’s ENGIE.
The project is developed on a build-own-operate (BOO) basis under a 25-year Power Purchase Agreement with the Egyptian Electricity Transmission Company (EETC). Further, it is part of Egypt's plan to benefit from wind resources in the Gulf of Suez.
Total investments of the project from foreign direct investment (FDI) stand at $680 million. The project will be financed by several international financing entities, including the Japan Bank for International Cooperation (JBIC), the European Bank for Reconstruction and Development (EBRD), and Green Climate Fund, in addition to a group of commercial banks.
The project is expected to complete within a period of 32 months while phase one is likely to complete within 24 months.
Moreover, the project will provide 1,100 job opportunities and is expected to produce more than 2,200 gigawatt hours (GWh) per year and save over 1.20 million tonnes of CO2 emissions annually.
