Scatec Enters Groundbreaking Power Purchase Agreement in Egypt

Scatec Enters a Historic Power Purchase Agreement in Egypt

Scatec ASA recently achieved a significant milestone by signing a power purchase agreement (PPA) with the Egyptian Electricity Transmission Company (EETC). This agreement, which spans 25 years and is valued in USD, will enable the development of a groundbreaking 1 GW solar and 100 MW/200 MWh battery storage hybrid project in Egypt.

A New Era for Renewable Energy in Egypt

This project marks the first hybrid solar and battery initiative in Egypt's energy landscape, underscoring Scatec's strong commitment and position as a leader in renewable energy production within the country. Scatec’s CEO Terje Pilskog expressed enthusiasm over this development, stating, "We are pleased to have entered the PPA with Egyptian Electricity Transmission Company. We will now finalise land lease agreements, grid connection agreements, and financing, and prepare for construction of the project." This initiative sets a precedent for future renewable projects in the region.

Funding and Development Timeline

Scatec is actively working on finalizing arrangements for financing this ambitious project. It has signed a mandate letter with several development financing institutions aimed at securing concessional financing. The expectation is to reach financial closure with these lenders and to commence construction in the first half of 2025.

Comprehensive Project Management

The company plans to oversee various project aspects through its Engineering, Procurement and Construction (EPC), Asset Management (AM), and Operations & Maintenance (O&M) services. This integrated approach ensures that all processes are aligned for efficient execution, thereby reinforcing Scatec's established reputation for delivering comprehensive renewable energy solutions.

Scatec's Vision and Commitment

Scatec is not just focused on this project but is continuously working towards expanding its renewable energy footprint globally. It operates on a philosophy of delivering reliable and affordable clean energy, particularly in emerging markets. With 4.7 GW of capacity in operation and under construction across four continents, Scatec's mission remains to improve future energy landscapes.

Headquarters and Market Presence

Headquartered in Oslo, Norway, Scatec ASA is a publicly traded company on the Oslo Stock Exchange under the ticker symbol SCATC. This financial backing provides them the necessary leverage to explore and execute more renewable projects worldwide. The company's strategic vision is bolstered by a dedicated workforce and noteworthy partnerships, fostering innovation and sustainability in all their initiatives.

Frequently Asked Questions

What is the significance of Scatec's recent PPA in Egypt?

The PPA signifies a major move towards sustainable energy solutions in Egypt, establishing a foundation for future renewable initiatives within the region.

What technologies are involved in Scatec's hybrid project?

The project combines solar energy generation with battery storage capabilities, ensuring a reliable and continuous energy supply.

When is Scatec expected to commence construction for the project?

Scatec plans to start construction in the first half of 2025 following the successful closure of financing agreements.

How does Scatec contribute to renewable energy globally?

Scatec develops, builds, owns, and operates renewable energy plants across various continents, actively working towards enhancing access to clean energy.

What are Scatec's future plans beyond Egypt?

The company aims to continue expanding its renewable energy capacity and advance sustainable technologies in multiple emerging markets.

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