The Egyptian cabinet has conferred the “Golden License” upon Abydos for Renewable Energy, a subsidiary of the UAE-based AMEA Power, to develop a substantial photovoltaic (PV) power generation project in Aswan Governorate.
This $850 million initiative is set to occupy 20 square kilometres in New Benban, a region already distinguished by the expansive Benban Solar Park. The project aims to deliver 1,000 megawatts (MW) of electricity, complemented by a 600 megawatt-hour (MWh) energy storage system.
The Golden License, as delineated by Egypt’s Investment Law No. 72 of 2017, streamlines the approval process for strategic projects, granting comprehensive consent for establishment, operation, and management, including building permits and land allocation.
This development follows closely on the heels of the inauguration of the Abydos 1 Solar PV Plant in Kom Ombo, Aswan. Commissioned by AMEA Power, this 500 MW facility is among the largest solar PV plants in Africa and underscores Egypt’s commitment to expanding its renewable energy capacity.
Egypt has set an ambitious target to source 42% of its electricity from renewable energy by 2030. However, as of July 2024, solar, wind, and hydropower constituted only 11.5% of the nation’s electricity generation. The government acknowledges that achieving its renewable energy goals is contingent upon increased international support and investment.
The Benban area, already home to the Benban Solar Park with a capacity of 1,650 MW, is a focal point for Egypt’s solar energy initiatives. The addition of the new 1,000 MW project by Abydos for Renewable Energy is poised to further solidify the region’s status as a renewable energy hub.
The Egyptian government’s issuance of the Golden License to Abydos for Renewable Energy signifies a strategic move to attract foreign investment and expedite the development of large-scale renewable energy projects. This approach is anticipated to play a pivotal role in meeting the country’s renewable energy targets and addressing the growing demand for sustainable power solutions.
