Egypt and the United Arab Emirates signed a strategic cooperation agreement to finalize feasibility studies for a landmark electricity interconnection project between Egypt and Europe via Italy, in a move that could redefine regional energy flows and bolster cross-border clean energy trade.
The agreement, signed Wednesday in Cairo in the presence of Egyptian Prime Minister Mostafa Madbouly, brings together Egypt’s state-owned Electricity Transmission Company and UAE-based K&K Group. It outlines the preparation of technical, environmental, and financial studies for the proposed subsea cable project.
The interconnection is expected to link Egypt’s national electricity grid to Europe’s unified power network through Italy, paving the way for Egypt to export up to 3,000 megawatts of surplus renewable energy to European markets.
“This is a strategic step that enhances Egypt’s position as a regional energy hub,” said Prime Minister Madbouly. “It reflects our commitment to leveraging our natural resources and integrating more deeply with global energy systems.”
Egypt, which has made major strides in scaling up its solar and wind energy capacity in recent years, views the project as a cornerstone of its energy transition and economic diversification plans. The country aims to capitalize on its geographic proximity to Europe and its vast renewable energy resources in the Sahara and Red Sea regions.
Electricity Minister Mohamed Shaker described the Europe link as a “strategic project” that will contribute significantly to Egypt’s clean energy exports, while also reinforcing the country's role in international energy security.
“Our focus is on diversifying energy sources and maximizing the contribution of renewables to the electricity mix,” Shaker said. “This project also demonstrates the growing confidence in Egypt’s technical capabilities and investment climate.”
He also emphasized the key role of the private sector in renewable energy ventures, pointing to increasing investor interest in Egypt’s green infrastructure.
The Egypt-Europe electricity interconnection comes as the European Union intensifies efforts to decarbonize its energy supply and diversify sources in the wake of the global energy crisis and geopolitical tensions.
The planned link via Italy is one of several trans-Mediterranean infrastructure projects under consideration, as Europe looks to North Africa and the Middle East for clean, affordable electricity, particularly from solar and wind farms.
If completed, the Egypt-Europe link would be among the largest clean energy corridors between Africa and Europe, contributing to the EU’s renewable energy targets and supporting Egypt’s ambitions to become a major green energy exporter.
Under the newly signed agreement, final studies will be carried out to assess the technical and financial viability of the interconnection. This includes the environmental impact of undersea cabling, integration with existing grid infrastructure, and investment frameworks.
Construction timelines and financing partners are expected to be announced following the completion of the study phase.
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