Renewables
EBRD backs major solar and storage facility in Egypt
International lenders are financing a massive 1.2 GW solar installation paired with battery storage in Minya, Egypt.
Key points
- The European Bank for Reconstruction and Development is coordinating a funding package of up to $566 million.
- The facility will combine 1.2 GW of solar generation capacity with a 600 MWh battery energy storage system.
- Power generated will be supplied to the national grid under a 25-year purchase agreement.
What happened
A consortium led by the European Bank for Reconstruction and Development (EBRD) has arranged substantial financing for a combined solar and battery storage installation in Egypt. According to reports from pv magazine, the initiative is being developed by Nefer Menya for Renewable Energy in the Minya region.
The debt package reaches up to $566 million. This funding structure includes a $265 million arrangement led by the EBRD, featuring its own capital alongside contributions from the Bank of Jordan and the Climate Investment Funds. Additional co-financing is being provided by development institutions including Germany's DEG, the Dutch FMO, and France's Proparco.
Ownership of the developing entity is shared between Infinity Power Holding and HAU Energy. The installation will feature photovoltaic modules supplied by AIKO and is scheduled for completion by September 2027, following the receipt of a golden license from the Egyptian cabinet earlier in the year.
The generated electricity will be delivered to the state transmission company through a long-term agreement spanning 25 years. Integrating a 600 MWh battery storage system allows the facility to preserve daytime generation for release during evening demand peaks, addressing grid stability concerns.
Why it matters
This development supports Egypt's broader strategy to expand its renewable energy share and manage rising domestic consumption. According to World Bank figures from 2021, Egypt's renewable share of electricity output stood at 12.2%, while electricity use per person reached 1,555.4 kWh in 2024. Projects of this scale are essential for policymakers and investors aiming to meet national targets, such as generating 42% of electricity from clean sources by 2030.
For energy investors across Africa, the venture demonstrates how blended finance and utility-scale storage can mitigate intermittency issues in solar-rich regions. By aligning with the country's Nexus of Water, Food and Energy framework, the project illustrates a pathway for integrating private capital into national infrastructure transitions while simultaneously retiring inefficient fossil-fuel generation.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Renewables are the fastest-growing part of the world’s energy system. The COP28 goal is to triple capacity by 2030, and solar mini-grids are the fastest route to power for millions of people without electricity.
12.2% of electricity in Egypt was renewable in 2021Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
