The signing ceremony, held at the cabinet headquarters in the New Administrative Capital, was attended by Prime Minister Mostafa Madbouly and Minister of Electricity and Renewable Energy Mahmoud Essmat.
The agreement was signed by the Egyptian Electricity Transmission Company (EETC) and the UAE-based K&K Investment Company to conduct final technical, environmental, and financial studies for the project.
EETC Chairperson Mona Rizk and Dr Taj El-Din Mostafa Seif, representing K&K Investment, signed the agreement.
It covers the preparation and execution of the final studies required to link Egypt’s national electricity grid to the European grid via Italy, paving the way for the project’s implementation phase.
According to a cabinet statement, the project is part of Egypt’s strategy to expand electricity interconnections with regional partners and Europe, aiming to position the country as a key hub for cross-continental power transmission and trade.
PM Madbouly said the agreement reflects the government’s commitment to making full use of Egypt’s natural resources, especially renewable energy, and to strengthening its position as a regional centre for energy production and exchange, the statement added.
He noted that connecting with Europe’s grid is a central part of Egypt’s broader plan to link its electricity network with neighbouring and regional systems, allowing clean energy exports to European markets and reinforcing Egypt’s role as a bridge between Africa, Asia, and Europe.
“The agreement aligns with Egypt’s efforts to maximize its renewable energy potential and consolidate its role as a key player in regional and global energy markets,” Madbouly said.
Minister Essmat described the Egypt-Europe interconnection as one of the country’s most strategic projects.
It is designed to export surplus renewable energy generated in Egypt to Europe, with a target capacity of about 3,000 megawatts, he added.
He said the project supports global decarbonization efforts, energy transition goals, and energy security at both regional and international levels.
Essmat also noted that the initiative fits within Egypt’s national plan to increase the share of renewables in its electricity mix and reduce reliance on fossil fuels.
“The ministry attaches the highest importance to expanding renewable energy use, cutting carbon emissions, and diversifying energy sources,” he said.
The minister also emphasized the private sector’s vital role in Egypt’s renewable energy projects, noting that this agreement reflects growing international confidence in Egypt’s technical expertise, skilled workforce, and investment climate.
The project complements Egypt’s ongoing efforts to link its power grid with neighbouring countries, including projects with Saudi Arabia, Sudan, Libya, and Cyprus.
It is also a part of a wider regional network for electricity exchange and energy market stabilization.
On Tuesday, Madbouly inspected the trial operations of the Egypt-Saudi Arabia power interconnection station in Badr City, the first project of its kind in the Middle East in terms of scale, technology, and cross-border operation.
The visit coincided with the project’s final testing phase, marking a major milestone in linking the two countries through a 3,000-megawatt high-voltage direct current (HVDC) network spanning 1,350 kilometres of overhead and submarine cables.
Earlier, on 29 September, Egypt and Greece signed an agreement to complete technical and economic studies for another electricity interconnection project linking their national grids.
The deal, signed via video conference and attended by the electricity ministers of both countries, brings Egypt closer to exporting an additional 3,000 megawatts of power to Europe via the Greek network.
That agreement involves EETC, Greece’s Independent Power Transmission Operator (IPTO), and Elika, a subsidiary of the Kopelouzos Group, which will implement the project.
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