Egypt has cemented its position as Africa's leading hub for onshore wind power with the commercial launch of the 650 MW Gulf of Suez Wind Farm II on Monday, June 30. This monumental project, developed by a consortium including Eurus Energy, Toyota Tsusho, Engie, and Orascom Construction, significantly boosts the nation's renewable energy capacity. With Gulf of Suez Wind Farm II now operational, the combined capacity of Gulf of Suez I and II reaches an impressive 912.5 MW, marking a critical milestone in the continent's green energy transition. The inauguration underscores Egypt's strategic commitment to leveraging its abundant natural resources for sustainable development and attracting substantial foreign direct investment into its energy sector.

The nation's success in scaling up wind energy is not solely attributed to its exceptional natural wind potential, with average wind speeds at key sites like the Gulf of Suez and Ras Shukeir reaching up to 10.5 meters per second. Crucially, Egypt has cultivated a robust and investor-friendly business climate. The cornerstone of this environment is the 2014 Renewable Energy Law, which introduced attractive feed-in tariffs guaranteeing above-market purchase prices over 20 to 25 years. These long-term contracts, coupled with mandatory offtake provisions and bankable power purchase agreements (PPAs) signed with the Egyptian Electricity Transmission Company (EETC), have significantly de-risked investments and enhanced project viability. This policy framework catalyzed a remarkable 340% surge in Egypt’s installed renewable energy capacity, from 887 MW in 2015 to over 3,000 MW by 2020, according to data from the Carnegie Endowment for International Peace.

Further reinforcing this framework is a comprehensive suite of financial instruments, including green bonds, concessional loans, and debt swaps. These mechanisms are supported by tight coordination among the Central Bank of Egypt, relevant ministries, and multilateral development partners such as the World Bank and the International Finance Corporation (IFC). This integrated approach provides a stable and predictable financial ecosystem essential for large-scale infrastructure projects. Norway's Scatec is already advancing plans for a new 900 MW site at Ras Shukeir, signaling continued investor confidence.

Despite Africa's immense technical wind potential, estimated by the IFC at 33,642 gigawatts (GW)—enough to meet the continent's current electricity demand 250 times over—much of it remains untapped. North Africa alone holds over half of this potential, with Algeria possessing 6,191 GW and Egypt 2,319 GW. Yet, Egypt stands out, having installed nearly 2,855 MW, as reported by the Global Wind Energy Council, driven by a clear and ambitious national strategy. In stark contrast, countries like Algeria and Mauritania, despite their vast resources, have seen minimal development of industrial-scale wind projects.

The clear lesson for the broader African continent is that abundant wind resources alone are insufficient. Realizing the estimated 461 GW of potential requires a unified vision, transparent regulatory frameworks, and a robust financial architecture. Egypt's blueprint, encompassing regulatory clarity, effective risk-sharing mechanisms, streamlined project procedures, and bold industrial partnerships, offers a compelling model for other nations seeking to convert their vast renewable energy potential into tangible, operational assets.