Expanding the Egypt renewable energy Portfolio
Alcazar Energy has made a significant move in Egypt’s renewable energy sector by acquiring a 100 MW portfolio of solar and wind projects from FAS Energy, the renewable energy arm of Fawaz Alhokair Group. This acquisition is a major milestone for Alcazar Energy Partners II (AEP-II), the largest renewable energy fund dedicated to the Middle East, North Africa, and Eastern Europe.
The acquired projects include a 50 MW solar photovoltaic (PV) plant in Kom Ombo, Aswan Governorate, and a 50 MW wind farm in Ras Ghareb, Suez Governorate. Both projects are already operational and connected to the electricity grid under the BOO (Build, Own, Operate) scheme. They benefit from 25-year power purchase agreements (PPAs) with the Egyptian Electricity Transmission Company (EETC).
Strengthening the Commitment to Egypt renewable energy
Daniel Calderon, CEO of Alcazar Energy, stated that this acquisition underlines the company’s commitment to expanding its presence in Egypt and supporting the country’s renewable energy goals. He emphasized that the transaction aligns with Egypt’s Vision 2030, which aims to increase the share of renewable energy in the national energy mix to 42% by 2030.
“These high-quality assets will enable us to accelerate our contribution to Egypt’s ambitious renewable energy targets and our broader mission of driving the energy transition across the region,” Calderon said.
AEP-II is managed by Alcazar Energy and backed by a diverse range of investors, including regional, European, and global development finance institutions, sovereign wealth funds, and private investors. The fund focuses on mobilizing capital for the development of renewable energy projects across the Middle East, Africa, and Eastern Europe. Egypt has been making strides in expanding its renewable energy capacity, and projects like these are crucial to meeting its ambitious goals.
A Strategic Move for Alcazar Energy’s Renewable Energy Fund in Egypt
The acquisition is part of Alcazar Energy’s broader strategy to expand its renewable energy portfolio in key markets. The company has a strong track record of developing and operating renewable energy projects across the Middle East and Africa. With this latest addition, Alcazar Energy aims to further consolidate its position as a leading player in the renewable energy sector.
Alcazar Energy’s focus on Egypt is strategic, given the country’s abundant renewable energy resources and supportive regulatory framework. Egypt is one of the largest markets for renewable energy in the Middle East, with significant potential for solar and wind energy projects. The government’s commitment to increasing the share of renewables in the energy mix makes it an attractive destination for renewable energy investments. The government is actively seeking investments in renewable energy projects, including more solar PV and battery storage systems, as seen in recent developments.
The projects acquired by Alcazar Energy are expected to play a crucial role in helping Egypt achieve its renewable energy targets. The 50 MW solar PV plant in Kom Ombo is one of the largest solar projects in the country, while the 50 MW wind farm in Ras Ghareb is part of the first phase of Egypt’s ambitious wind energy program. Egypt has also launched its first solar power plant featuring integrated battery storage in Sharm El-Sheikh, demonstrating a commitment to innovative energy solutions PVKnowhow Egypt solar project: 100 MW Breakthrough in Renewable Energy Revolution – PVknowhow.com.
Alcazar Energy’s Role in Egypt renewable energy Future
Alcazar Energy’s acquisition of these projects is expected to have a positive impact on the local economy by creating jobs and supporting the development of the renewable energy sector. The projects will also contribute to reducing greenhouse gas emissions and improving energy security in Egypt.
The acquisition is also significant for Alcazar Energy’s investors, who are increasingly focused on sustainable and impact-driven investments. By investing in renewable energy projects in Egypt, AEP-II is helping to drive the global energy transition and support the development of a low-carbon economy. With substantial investments in infrastructure and the incorporation of renewable energy sources, Egypt continues to enhance its power generation capacity. As of 2022, the country’s solar energy capacity reached 1,724 megawatts, supported by government initiatives promoting small-scale solar projects Egypt Solar Panel Manufacturing | Market Insights Report.
This acquisition represents a significant milestone for Alcazar Energy and its investors, as well as for Egypt’s renewable energy sector. As the company continues to expand its portfolio, it is well-positioned to play a leading role in the region’s energy transition.
