Minister of Electricity and Renewable Energy Mahmoud Esmat affirmed that Egypt is moving toward expanding battery energy storage plants, which have been integrated into the national electricity grid over the past two years. He noted that work is also moving forward on establishing a pumped-storage hydropower project in the Al-Tor area of South Sinai, ensuring that the electricity system incorporates all necessary generation sources and grid-security mechanisms to guarantee the stability and continuity of power supply across the unified grid.
Esmat made the remarks during a meeting on Sunday, August 16, 2026, with a delegation from the Renergy Group consortium, comprising Renergy Group Partners, the lead developer; Green Tech Egypt, the local technical partner; and OAK Holdings, the financial and investment partner.
The delegation was headed by Renergy Group founder Robert Falk and Madkour Group Chairman Mustafa Madkour. Esmat said the ministry’s work program is based on several pillars in light of the state’s energy-transition strategy, with one of the key pillars being the expansion of renewable energy projects and greater reliance on them while reducing the use of fossil fuels.
He explained that efforts are focused on harnessing Egypt’s geographic characteristics and maximizing their benefits, particularly in pumped-storage applications for electricity generation, as well as effectively managing and investing in these energy resources to maximize their returns, enhance energy sustainability and provide clean and secure energy solutions.
The minister praised the efforts of local and foreign private-sector partners in advancing such projects within the framework of Egypt’s national energy strategy. During the meeting, Esmat reviewed the latest developments in the pumped-storage hydropower project and discussed the findings of a joint study conducted in cooperation with the ministry’s working team.
The meeting also reviewed available options and the steps required to begin implementing the project, which includes solar power plants and pumped-storage hydropower facilities in the Sinai Peninsula. The minister reviewed the findings of studies conducted on the project and their alignment with the electricity sector’s strategy to increase the share of renewable energy in the energy mix.
This requires supporting the national grid with clean, reliable and stable sources of power supply, such as pumped-storage hydropower plants and battery-based electricity storage projects, to secure the unified electricity grid and ensure sustainable and stable power supplies.
Esmat was also briefed on the project through a presentation covering available scenarios and options, the comprehensive technical and financial feasibility study, the technology to be used, and grid connection through the pumped-storage facility, which would provide stable and sustainable generating capacity.
The meeting also discussed the project’s investment volume, the share of local components and the electricity-generating capacity it will provide. The project will be implemented in two phases, with a total capacity of 3,100 megawatts. Cabinet approves EIB-funded power grid expansion, UAE wind energy agreements Cabinet approves EIB-funded power grid expansion, UAE wind energy agreements