Scatec Solidifies Egyptian Presence with Massive Solar and Battery Storage Agreement
Cairo, Sunday, 11 January 2026.
Scatec ASA signed a landmark 25-year PPA on January 11, 2026, for a 1.95 GW solar and 3.9 GWh battery system, significantly expanding dispatchable renewable capacity in North Africa.
Agreement Structure and Scope
The agreement, finalized on January 11, 2026, was signed with the Egyptian Electricity Transmission Company (EETC) and is structured as a US dollar-denominated pay-as-produced contract [1]. This 25-year commitment involves the deployment of one integrated solar and Battery Energy Storage System (BESS) hybrid project, alongside two standalone BESS facilities [1]. Scatec ASA (Oslo: SCATC) has secured a comprehensive role in the project’s lifecycle, contracted to provide Engineering, Procurement, and Construction (EPC) services, as well as long-term Asset Management (AM) and Operations & Maintenance (O&M) [1]. The scale of this undertaking is projected to deliver approximately 6,000 gigawatt-hours (GWh) of renewable energy annually, reinforcing the grid’s stability through dispatchable clean power [1].
Strategic Timeline and Financial Outlook
Looking ahead to the execution phase, Scatec anticipates reaching financial close in the second half of 2026 [1]. At that juncture, the company expects to finalize details regarding capital expenditure, the full scope of EPC activities, and the project’s financing structure [1]. This development represents a substantial addition to Scatec’s existing portfolio, which currently stands at 6.2 GW in operation and under construction across five continents [1]. The new Egyptian capacity of 1.95 GW represents a potential capacity increase of approximately 31.452% against their current global operational and construction figures, underscoring the magnitude of this single transaction relative to their total footprint.
Regional Implications and Leadership Commentary
This deal follows Scatec’s active engagement in North Africa, where the company has previously secured financing for solar initiatives in neighboring Tunisia, such as the Tozeur and Sidi Bouzid projects [2]. Terje Pilskog, CEO of Scatec, described the Egyptian PPA as a cementing force for the company’s position in Africa, stating that the integration of advanced solar and battery technologies will provide “sustainable, around-the-clock power and grid stabilising services” [1]. Pilskog further noted that the infrastructure is designed to support both Egypt’s energy transition and the broader region’s long-term economic development [1].