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hydrogen

ACWA Power’s $4B Green Hydrogen Project Ignites Egypt’s Energy Transition

Anela DoksoBy Anela Dokso20/12/20232 Mins Read
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ACWA Power, a leading international developer and operator of power generation and water desalination projects, has inked a framework agreement to kickstart the initial phase of a groundbreaking green hydrogen project in Egypt.

This move is poised to position Egypt as one of the world’s foremost producers of green hydrogen, marking a transformative moment in the country’s energy landscape.

The ambitious project aims to establish a massive 600,000 tonnes-per-year green ammonia plant, with an anticipated investment of $4 billion. This initial phase sets the stage for an even more expansive second phase, contemplating a staggering capacity of 2 million tonnes-per-year. The collaborative effort involves 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).

At the heart of this groundbreaking initiative is the utilization of renewable energy sources, with the project being powered by both wind and solar plants. This strategic approach aligns with the broader global shift towards sustainable practices and marks a pivotal moment in Egypt’s journey towards cleaner and greener energy solutions.

The signing of the framework agreement signifies a crucial milestone in the development of this large-scale green hydrogen facility. ACWA Power’s Chief Executive Officer, Marco Arcelli, expressed enthusiasm, stating, “Egypt is well-positioned to become one of the world’s top producers of green hydrogen, and we are elated to be a part of the country’s energy transition.” This project not only propels Egypt into the forefront of green hydrogen production but also contributes to the global efforts in combatting climate change.

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