Saudi-Egypt power connection to begin operations soon

A Saudi-Egypt electricity interconnection project is set to become operational in the “coming weeks”, according to an Egyptian minister.

Trial operations are underway, minister of electricity and renewable energy Mahmoud Esmat said in a cabinet statement.

The project is expected to strengthen grid stability, improve service quality, increase reliance on renewable energy sources and reduce fuel consumption, he said.

The grid interconnection will allow Saudi Arabia and Egypt to exchange up to 3,000 megawatts through three high-voltage converter stations – two in eastern and northwestern Saudi Arabia and one in Badr City, east of Cairo, through 1,350km of overhead transmission lines and submarine cables across the Red Sea.

Esmat called such projects “energy bridges” that will enhance strategic cooperation and promote economic integration.

The interconnection will capitalise on differences in peak demand between the two countries, enabling efficient use of generation capacity and more cost-effective grid operation, he said.

In October 2022 the Saudi Electricity Company secured a $566 million export credit agency-supported Islamic financing facility for the interconnection.

The project is the first large-scale, high-voltage direct-current interconnection in the Middle East and North Africa. 

Further reading:

• Egypt makes five oil and gas discoveries
• Egypt to unveil new incentives for oil companies
• Egypt cuts trade deficit as non-oil exports rise 17%