ACWA Power wins over $4bn green hydrogen project in Egypt

In a significant move towards renewable energy expansion, ACWA Power, a leading Saudi-listed company known for water desalination and a pioneering force in green hydrogen, has formalized a monumental agreement to develop a Green Hydrogen project in Egypt. The project, valued at over $4 billion, is set to initiate the first phase focusing on producing 600,000 tonnes-per-year of green ammonia, with plans for a subsequent phase that could scale up to a staggering capacity of 2 million tonnes-per-year.

The framework agreement, signed between ACWA Power and key entities including The Sovereign Fund of Egypt (TSFE), the Suez Canal Economic Zone (SCZone), the Egyptian Electricity Transmission Company (EETC), and the New and Renewable Energy Authority (NREA), marks a pivotal advancement in Egypt’s renewable energy landscape.

The signing ceremony witnessed the presence of distinguished figures including H.E. Dr. Moustafa Madbouly, Prime Minister of Egypt, H.E. Dr. Mohamed Shaker, the Egyptian Minister of Electricity, H.E. Osama Bin Ahmed Nugali, Saudi Arabia’s Ambassador to Egypt, and other high-ranking officials and executives from involved organizations.

Emphasizing their commitment, Marco Arcelli, CEO of ACWA Power, highlighted the company’s expertise and dedication as a trailblazer in the green hydrogen market. Arcelli expressed confidence in Egypt’s potential to emerge as a significant global producer of green hydrogen, aligning with the increasing demand, particularly in Europe.

This ambitious venture adds to ACWA Power’s existing portfolio in Egypt, contributing to a total of five renewable energy projects underway with a collective power generation capacity of 1.4 GW.

ACWA Power’s pursuit of green hydrogen extends beyond Egypt, as evident in their endeavors in Saudi Arabia’s NEOM Green Hydrogen Project, a joint initiative to establish the world’s first utility-scale green hydrogen plant. Moreover, recent developments in Uzbekistan and plans outlined during COP28 for projects in Jordan and Indonesia underscore ACWA Power’s robust commitment to pioneering sustainable energy solutions globally.

The expansion into Egypt’s green hydrogen sector signifies a significant stride for ACWA Power, aligning with their dedication to fostering clean and renewable energy sources across international territories.