Egypt is set to Expand Electricity Export to Asia

Egypt, Africa’s largest electricity producer, has installed a new transformer in Badr linking to Saudi Arabia. This makes inroads into other Asian and European countries as a key electricity distributor. Egypt has been making major steps in expanding its electricity to major countries. The Egypt-Saudi Arabia electrical interconnection project will make the country a major electricity distributor on the continent. 

This development is part of the Egypt-Saudi Arabia electrical interconnection project which was first announced in 2021. 

Egypt-Saudi Arabia Electrical Interconnection

The $1.8 billion initiative involves three high-voltage substations connected by 1,350 km of overhead lines and 22 km of undersea cables across the Gulf of Aqaba.

The project, expected to be fully operational by 2026, will allow Egypt to supply 3,000 megawatts (MW) directly to Saudi Arabia and then to Asia.

The project, which is expected to be operational in two phases, will create new opportunities for Egypt, Saudi Arabia and Asia. The first phase is scheduled to begin in July 2025.

According to Bloomberg Ashraq, the Egypt-Saudi Arabia electrical interconnection project includes three major high-voltage transformer stations, with two located in Saudi Arabia and one in Egypt. 

Africa’s largest Electricity Producer Plans To Expand To Asia

The high-voltage transformer stations; one in eastern Madinah, Saudi Arabia, another in Tabuk, Saudi Arabia, and the third in Badr City, east of Cairo. 

Electricity distribution has become an important revenue source for Egypt, and it already supplies power to neighboring countries like Sudan, Libya, Lebanon, and Jordan. Last year, Egypt earned $1.3 billion from electricity exports.

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Despite being one of Africa’s largest electricity producers with 209,677 gigawatts, Egypt only expends a small amount of that energy. Besides, with a production capacity that large, it makes sense for Egypt to sell its surplus to other countries.

The recent energy crises in Asia have given Egypt the opportunity to expand to the continent.

Egypt is currently supplying electricity to Asia indirectly. However, it plans to enter the Asian market through a central hub that connects other Asian countries.

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