Clean energy

Egypt Signs 25-Year Deal for 1 GW Wind Farm at the Gulf of Suez

Egypt is turning one of its strongest wind corridors into a major source of electricity. Infinity Power and Hassan Allam Utilities Energy have signed a 25-year power purchase agreement with Egypt’s state grid operator for a 1 GW wind farm at Ras Shokeir, on the Gulf of Suez. The project will cover about 143 square kilometres and is expected to generate enough electricity to power more than 1.2 million Egyptian homes.

The deal brings together Egypt’s private-sector engineering and renewable-energy capacity with UAE-backed capital. Infinity Power, a joint venture between Egypt’s Infinity and the UAE’s Masdar, is developing the project with Hassan Allam Utilities Energy, the renewable-energy arm of Egyptian infrastructure group Hassan Allam. The electricity will be sold to the Egyptian Electricity Transmission Company under the long-term PPA, giving the project a contracted buyer for its output.

The numbers are significant. Once operational, the wind farm is expected to avoid more than 1.36 million tonnes of CO₂ emissions every year while adding 1,000 MW of generation to Egypt’s electricity system. It is also part of a much larger push involving wind, solar and battery storage, including a planned 1 GW solar project paired with 600 MWh of batteries in Minya and additional renewable projects in Benban.

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For Egypt, the attraction goes beyond cutting emissions. More renewable generation means less dependence on natural gas for electricity and more access to predictable, potentially cheaper power as demand grows. It also gives Egypt more room to develop industries around abundant renewable electricity, including green hydrogen and ammonia projects aimed at export markets.

The Ras Shokeir deal therefore looks less like a standalone wind farm and more like another piece of Egypt’s emerging renewable-energy industrial strategy. The country is trying to turn its exceptional solar and wind resources into large-scale infrastructure, attract private capital and build an electricity system capable of supporting new industries. At 1 GW, Ras Shokeir is a sizeable step in that direction.

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