Scatec ASA has signed a long-term power purchase agreement with the Egyptian Electricity Transmission Company for a large-scale renewable energy project combining solar generation and battery storage. The Scatec Egypt solar-plus-storage PPA covers a 1.95 GW solar plant paired with a 3.9 GWh battery energy storage system in Egypt.
The 25-year agreement includes the delivery of a fully integrated solar-plus-storage facility expected to generate around 6 TWh of electricity annually, along with two additional standalone battery energy storage projects. Once completed, the combined development will represent the largest solar and battery installation in Africa and Scatec’s single largest investment to date.
Scatec will serve as lead developer for the project, taking responsibility for engineering, procurement and construction, as well as asset management and operations and maintenance services.
The company said it plans to bring in additional equity partners and will disclose capital expenditure estimates and financing details once the project reaches financial close, which is expected in the second half of the year.
“By integrating advanced solar and battery technologies, we are providing Egypt with sustainable, around-the-clock power and grid stabilising services, supporting both the country’s energy transition and the region’s long-term economic development,” commented Scatec CEO Terje Pilskog.
Scatec’s investment portfolio in Egypt was valued at $3.6 billion as of last September. Its local project pipeline includes the 1.1 GW Obelisk solar plant combined with 200 MWh of battery storage, which began construction last May, and a separate 1 GW solar project with 200 MWh of battery capacity for Egypt Aluminium Company following a PPA signed last March.
The company’s broader Egyptian portfolio also includes the country’s first green hydrogen and ammonia production facility in the Suez Canal Economic Zone, a 900 MW wind farm, and an additional green ammonia project. The Scatec Egypt solar-plus-storage PPA further strengthens the company’s position in the country’s renewable energy sector.
Egypt’s operational solar capacity currently totals about 3.3 GW, according to data from the Africa Solar Industry Association, with roughly 1.8 GW concentrated at the Benban solar complex.