Egypt secures EBRD $100m fund to establish wind farm
The European Bank for Reconstruction and Development (EBRD), in cooperation with the Green Climate Fund (GCF), are issuing a senior secured loan of up to $100m to Red Sea Wind Energy. Newly acquired loan will fund constructing and operating a 500 MW onshore wind farm in the Gulf of Suez area.
The loan is the Bank’s first project to be co-financed by the Japan Bank for International Cooperation. Other first-time co-financers include private commercial banks insured by Nippon Export and Investment Insurance, a statement by the EBRD read.
The establishment of this wind farm comes following COP27, during which Egypt’s Country Platform for NWFE programme. The programme includes the EBRD as the lead development partner for the Energy Pillar.
The new project is expected to reduce carbon emissions by one million tonnes per year. This emissions reduction equals taking more than 215,000 cars off roads. It also constitutes the first step in utilizing an additional 10 GW of Egypt’s renewable energy capacity between by 2028. The new wind farm is expected to be the largest in Africa.
