India-based power transmission infrastructure company Sterlite Power has proposed to establish a dedicated electricity grid for green hydrogen projects in Egypt, the Egyptian Ministry of Investment and Foreign Trade said.
The initiative was discussed by Sterlite company executives and Egypt’s investment minister Hassan El Khatib during his visit to India.
The project has an estimated investment cost of about $5 billion to $6 billion and will enhance the energy transmission infrastructure, supporting Egypt’s plan to transition to clean energy.
Minister El Khatib said the proposal reflects the confidence of global investors in the Egyptian market.
During the discussions, Tushar Chhabra, Head of Business Acquisition at Sterlite Power, stressed that the company is ready to invest in long-term strategic projects to support Egypt’s transformation into a major renewable energy hub.
Chapra explained that the company sees Egypt as a promising market for expanding its investments in the renewable energy sector, especially with the government’s push to support green hydrogen projects.
Over the last few years, the Egyptian government has signed numerous agreements for the production of green hydrogen and other renewable energy sources.
However, these projects remain in the very early stages.
Egypt’s renewable energy push
Meanwhile, AMEA Power recently inaugurated a $500 million, 500-megawatt solar farm in Aswan, about 650 km south of Cairo, and plans to construct a larger 1,000-megawatt facility nearby.
AMEA Power’s Chairman, Hussein Al Nowais, revealed that AMEA would invest $300 million upfront to fast-track construction ahead of securing full project financing by May, with operations expected to begin in early 2026.
AMEA is not alone in scaling up Egypt’s solar capacity.
Norwegian firm Scatec signed a deal in September for a 1,000-megawatt solar project.
In November of 2024, a partnership between UAE companies Infinity and Masdar, alongside Egypt’s Hassan Allam, agreed to develop a 1,200-megawatt solar facility.
Earlier in January, the OPEC Fund for International Development announced a $30 million investment in Africa’s largest onshore wind power project, located in Egypt’s Gulf of Suez region.
This funding goes to the construction of two wind farms with a combined capacity of 1.1 gigawatts (GW), under Egypt’s Nexus of Water, Food & Energy (NWFE) initiative.
