Arab Finance: The European Bank for Reconstruction and Development (EBRD) plans to back the development of large-scale renewable energy and battery storage in Egypt with up to $221 million (€191 million) to strengthen the country’s energy security, according to a press release.

Norway-based Scatec ASA will establish the renewable energy investment vehicle to support solar, wind, and battery storage projects in Egypt as well as the southern and eastern Mediterranean (SEMED) region.

The vehicle is expected to facilitate the addition of 2.7 GW of solar power capacity, 900 MW of wind power capacity, and 4.2 GWh of battery energy storage capacity to Egypt’s renewable energy infrastructure.

EBRD will hold a minority equity stake in Egypt Renewables Holdings B.V., while Scatec will remain the majority shareholder, according to the bank’s announcement.

Harry Boyd-Carpenter, Managing Director of the EBRD’s Sustainable Infrastructure Group, said: “This equity investment marks an important step in strengthening Egypt’s energy security. By partnering with Scatec, the EBRD is providing long-term capital as a shareholder, helping to expand access to reliable renewable energy. This will help to address one of the country's most pressing development challenges while reducing reliance on imported fossil fuels.”

Scatec ASA CEO Terje Pilskog said: “Egypt has become one of Scatec’s most important markets, and this platform reflects both the scale of what we are building there and the quality of the assets we have developed. Partnering with the EBRD brings institutional capital and a long-term commitment that will accelerate Scatec's growth ambitions across the region.”

In September, EBRD approved an equity investment of up to $32.1 million in RWD Investments BV, a water infrastructure platform wholly owned by Egypt-based utilities company Hassan Allam Utilities (HAU).