The New and Renewable Energy Authority (NREA) will start on 20 May to receive offers for the establishment of a new wind farm with a capacity of 250MW in the Jabal El-Zayet area.
According to sources in the NREA, ten companies, including Vestas, Acciona, and Siemens, have bought the prospectus of the project, which costs €500. The project will be financed by the German Development Bank (KFW) and the European Investment Bank, as well as a number of international institutions.
The sources added that the authority has taken the necessary procedures for the implementation of the project, and completed the project’s feasibility study. The NREA has also contracted with an international consultant to observe the implementation phases of the project. They expected that the project will start next year.
The KFW has announced that it is planning to finance three projects in the renewable energy, water, and sanitation sectors in 2017.
Burkhard Hinz, director of KFW’s Cairo office, said the bank will finance a wind farm in the Gulf of Suez, in cooperation with the European Investment Bank and the French Development Agency.
He revealed that the project will cost about €200m, of which about €80m will be provided by the KFW, and the rest will be funded by the European partners and the Egyptian side.
Hinz pointed out that the bank had financed two similar projects in the Zafarana area, which were the first wind farms in the African continent.
He added that the bank will also finance two projects in the water supply and sanitation sectors in Upper Egypt and the Delta to provide fresh water for millions of people.
The German government provides loans and financial facilities through its financing arm, the KFW, while the German Development Agency (GIZ) provides technical assistance to different countries.