Egypt said it has started discussions to export 10GW of surplus energy to Europe and countries in Africa. The country aims to export to the European market with Greece and Cyprus as its primary targets, and to the African market.

The sovereign wealth fund of the country has obtained the necessary government approval to negotiate the necessary financial agreements.

The exporter of gas currently produces 50 GW of electricity, of which 10 GW is excess. The country produces 8.6% of its energy from renewable sources and intends to increase this share to 20% by 2022 and 40% by 2035.

Egypt is already connected to Jordan and Libya and has finalised an agreement to establish an electricity interconnection with Cyprus and Greece. The Egyptian sovereign wealth fund is sourcing for local and foreign partners to co-finance the transmission lines.

Ayman Soliman, the Chief Executive Officer of the Egyptian Sovereign Fund said. “We are in discussions with European infrastructure investors, advisers and energy traders to assess the viability of this option as well as the market appetite. We are interested in the industrialized economies which need energy and are concerned about preserving their environment.”

On the African market as a potential export destination, he said “we are identifying relevant actors in Africa in order to involve them in this plan and are also in discussion with several sovereign funds.”

The European Bank for Reconstruction and Development (EBRD) recently provided $54 million to Acwa Power for the construction of the Kom Ombo solar photovoltaic power plant in Egypt.