Mohamed Shaker, the Minister of Electricity and Renewable Energy, met with Vladimir Kazbekov, the Deputy Head of the New Development Bank of the BRICS alliance, and his delegation. The meeting explored ways to enhance cooperation between the Egyptian electricity and renewable energy sector and the bank.
Shaker said that the Egyptian government has implemented several reforms and policies in the electricity sector. He praised the sector’s efforts to improve and develop all services, such as production, transmission, and distribution. He expressed his willingness to collaborate with the bank.
He also outlined the state’s strategy to increase the share of renewable energy in the electricity mix, stressing the sector’s focus on diversifying sources of electricity production and using Egypt’s natural resources, especially new and renewable energy sources. The aim is to increase the share of renewable energy in Egypt’s energy mix to more than 42% by 2030.
Shaker emphasized the importance of relying more on renewable energy sources in electricity production to reduce the use of fossil fuels. This would increase the share of clean energy in the energy portfolio, protect the environment, and optimize natural gas consumption, thus improving economic efficiency.
Shaker highlighted the sector’s measures to tap into the huge potential of renewable energy. He mentioned various mechanisms to encourage private sector involvement in the sector’s projects, especially in new and renewable energy projects. He said that negotiations are underway with investors for competitive solar energy projects, with rates of 2 cents per kilowatt-hour for solar projects and 2.45 cents per kilowatt-hour for wind projects.
Shaker also expressed the sector’s interest in green hydrogen, noting cooperation with global companies to implement pilot projects for green hydrogen production in Egypt. This is a first step to expand in this field and possibly explore export opportunities. He said that during the COP27 conference, agreements were signed with nine developers for green hydrogen production projects, in addition to the 23 memoranda of understanding signed in this field.
Shaker pointed out the sector’s interest in electricity interconnection projects with neighbouring countries and exporting electricity to Europe. This would position Egypt as a regional energy hub. He confirmed the sector’s readiness to cooperate with all parties to implement the interconnection with Europe, considering Egypt as a passage for clean energy in Africa and supporting African countries’ access to clean energy from renewable sources.
Kazbekov praised the achievements in the Egyptian electricity and renewable energy sector, expressing the bank’s desire to increase investment in Egypt and cooperate with the electricity sector. He confirmed the global entities’ interest in investing in Egypt, considering it a gateway to the African continent.
Shaker welcomed cooperation with the bank in renewable energy projects, which serve as alternative energy sources, such as wind and solar energy, green hydrogen, and the localization of related industries, as well as pumped storage, and electrical interconnection.
The minister stressed that such meetings reflect the ministry’s keenness to enhance cooperation between Egypt and the world in the coming period, leveraging their advanced expertise in various fields. He emphasized Egypt’s commitment to strengthening cooperation, exchanging experiences in all areas, and attracting and encouraging investment in Egypt, particularly private sector participation in various electricity sector projects. It’s worth noting that Egypt joined the membership of the New Development Bank, established by the BRICS alliance in 2015, to integrate with global efforts to achieve economic growth and sustainable development.
