Egypt’s Ministry of Electricity and Renewable Energy announced the attraction of an investment package worth 12 billion dollars in the renewable energy sector during 2026, distributed across solar, wind, and green hydrogen projects spanning several governorates. These investments come within the framework of Egypt’s strategy to raise the share of renewable energy sources to 42% of the total electricity mix by 2030, an ambitious target that demands an accelerated pace of projects and financing.
The most prominent announced projects include the expansion of the Benban Solar Complex with the addition of 1,500 megawatts of new generating capacity, the construction of a giant wind energy project in the Gulf of Suez with a capacity of 2,000 megawatts, and a green hydrogen project in the Ain Sokhna area to be implemented in partnership with a consortium of European and Gulf companies. These projects are considered the largest of their kind in the history of energy sector investment in Egypt.
The Minister of Electricity explained that these investments will contribute to reducing the fossil fuel import bill by the equivalent of two billion dollars annually once the projects are completed, as well as creating more than 50,000 direct and indirect jobs and reducing carbon dioxide emissions by 18 million tons per year. He indicated that Egypt will become a net exporter of renewable electricity to Europe through undersea cables planned for construction by 2028.
On the financing side, Egypt signed concessional loan agreements with the European Investment Bank and the African Development Bank totalling three billion dollars, while attracting private investments from multinational companies across Europe, the United States, and China. Updated investment legislation provides greater guarantees for foreign investors, making Egypt a highly attractive destination within the regional clean energy ecosystem.
This transformation of the energy sector represents a fundamental pillar of Egypt’s long-term economic vision, contributing to reducing dependence on subsidised fossil fuels and freeing up resources to redirect toward social and development spending. It also strengthens Egypt’s position in international climate negotiations and presents the country as a pioneering model for energy transition among developing nations endowed with abundant solar resources.