Sunday, August 30, 2026

Egypt Pushes Regional Power Links as Saudi 3GW Grid Nears Launch

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Egypt is accelerating electricity interconnection projects spanning Saudi Arabia, Jordan and Europe, as its $1.8 billion power link with Saudi Arabia approaches full operation and plans for a 3GW clean-energy corridor to Greece advance towards investment decisions.

Egypt and Saudi Arabia are preparing to bring their interconnector to its full 3,000MW capacity in September, after technical and operational testing reached its final stages, according to a government official cited by Asharq Bloomberg. The bidirectional link is designed to improve grid stability and allow the countries to exploit differences in their peak-demand periods.

The project is the most advanced component of Cairo’s wider effort to turn its electricity network into a bridge between Africa, the Gulf and Europe. But projects elsewhere remain at substantially earlier stages.

The proposed GREGY interconnector between Egypt and Greece would carry up to 3GW of predominantly renewable electricity through a roughly 954km high-voltage submarine cable. Its developer, ELICA Interconnector, part of Greece’s Copelouzos Group, has launched tenders for environmental, seabed and onshore studies.

Route optimisation, technical analysis and cost-benefit work have already advanced, while the European Commission approved a €9.56mn grant in January to support the next round of studies. The project’s current timetable targets a final investment decision by May 2028 and commissioning in 2031, although both remain dependent on financing, permitting and completion of technical and environmental work.

Egypt is simultaneously seeking to expand its existing electricity connection with Jordan to 2,000MW. The two countries renewed their electricity-exchange agreement for 2026, while Egypt’s parliament has approved an Arab Fund grant of KD300,000 to help finance a feasibility study for the expansion. Egypt supplied Jordan with 306mn kWh of electricity worth $28.2mn last year.

Together, the projects illustrate a shift in Egypt’s electricity strategy from bilateral exports towards a broader cross-border trading network. Saudi Arabia could provide a gateway towards Gulf electricity markets, Jordan towards the Levant, while GREGY is designed to give Egyptian renewable generation direct access to Greece and the wider European system.

The ambition, however, remains ahead of the infrastructure. Only the Saudi project is approaching full-scale operation; the Jordan expansion remains under study and GREGY has yet to reach a final investment decision. The commercial test will be whether these links ultimately generate sustained electricity trade—and whether Egypt can build enough competitively priced renewable generation and grid capacity to exploit them.

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