Egypt to open tender for four 250MW projects

EGYPT: The Egyptian government says it will soon launch a tender to develop 1GW of wind energy in the Gulf of Suez region as part of the country's aim to develop 7.2GW of installed wind capacity by 2020.

Egypt's Gulf of Suez: set for four 250MW projects
Egypt's Gulf of Suez: set for four 250MW projects

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The 1GW will be divided into four projects of around 250MW each. They will be offered on either a build, own and operate basis or possibly under a feed-in tariff system currently under discussion. The tender process is expected to open in September.

The announcement came in the wake of a decision by the World Bank to lend Egypt $220 million (EUR175 million) to develop transmission infrastructure linking future wind plant along the Gulf of Suez and Gulf of El-Zayt to the national grid.

The tender marks the second phase of a plan to offer 2.5GW for private sector participation. The first call was launched last summer to build, own and operate a 250MW facility on the Gulf of Suez between Hurghada and Zafarana.

Ten companies and consortia qualified for the second bidding round, which is expected to take place later this year. Completion is scheduled for later 2013 or early 2014.

Operating capacity in Egypt has now reached 430MW, with another 120MW due on line at Zafarana by the end of the year. Spanish firm Gamesa is building the new facility, comprising 850kW turbines, funded with Danish assistance.

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