This project, which aligns with the Egyptian government’s renewable energy targets, is part of the country’s 10 GW objective under the Energy Pillar of the Nexus for Water, Food, and Energy (NWFE).

The wind farm project will leverage Egypt’s strong wind resources in the Gulf of Suez to deliver clean energy at a highly competitive tariff within the region. By doing so, it will further Egypt’s renewable energy transition while significantly reducing environmental impacts from traditional energy sources. The project is expected to bring measurable environmental benefits to the Egyptian power sector by reducing emissions of local pollutants, lowering CO2 output, and decreasing water consumption. Once operational, it is anticipated to save approximately 2.2 million tonnes of CO2 emissions annually, contributing to Egypt’s climate objectives.

Suez Wind Energy, incorporated in Egypt, will be responsible for the project’s development and implementation. The SPV will be backed by a consortium that includes ACWA Power, an internationally recognized developer in power generation, desalinated water, and renewable hydrogen, as well as HAU Energy, a recently established renewable energy investment platform. HAU Energy is owned by Meridiam (45%), Hassan Allam Utilities (30%), and the EBRD itself (25%).

The EBRD’s financing structure provides terms and conditions that are not typically available from commercial sources in the market. This includes an extended grace period and longer financing tenor, essential elements in structuring such a substantial project. The EBRD’s involvement is notable not only for its financial contribution but also for its track record in similar renewable projects in Egypt and other countries, which provides strategic support in managing non-financial risks such as regulatory, project, and political risks, thus strengthening investor confidence.

This investment reinforces the EBRD’s commitment to promoting green energy solutions and supporting Egypt’s transition to a low-carbon economy by introducing additional renewable energy into the country’s power supply mix, ultimately aiding in its climate resilience and economic stability.