Egypt and Siemens to massively increase power generation capacity

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Siemens and the Egyptian government have reached firm agreements to build a 4.4 GW combined-cycle power plant and install wind power capacity of 2 GW. Siemens will build a factory in Egypt to manufacture rotor blades for wind turbines, creating up to 1,000 jobs and therefore nearly trebling Siemens’ footprint in the country. The agreements were signed at the Egypt Economic Development Conference in Sharm el-Sheikh in the presence of Egypt’s Minister of Electricity Shaker al Markabi, Germany’s Vice Chancellor Sigmar Gabriel, and Joe Kaeser, President and Chief Executive Officer of Siemens AG. Including two further Memorandums of Understanding (MoU) which were signed at the event, Egypt’s power generation capacity will be massively increased by up to one third mostly by 2020. Under the agreements, Siemens will propose to build additional combined cycle power plants with a capacity of up to 6.6 GW and ten substations for reliable power supply.

According to the agreement, Siemens will be the contractor responsible for engineering, procurement and construction (EPC) for the Beni Suef power plant in Upper Egypt, and will work together with local partners. The 4.4 GW power plant will be built in four modules, each consisting of two H-class gas turbines, two heat recovery steam generators, one steam turbine, and three generators.

FuturENERGY
Adding two gigawatt will be a significant step towards diversifying Egipto’s energy mix. Egypt has great potential for wind power generation, especially in the Gulf of Suez and the Nile Valley. The Egyptian government plans to expand wind capacity over the coming years as part of a plan to increase wind generation to 7.2 GW by 2020.