Siemens clinches Beni Suef wind and combined cycle power project deals in Egypt
Posted on 16th March 2015
Siemens and the Egyptian government have reached firm agreements to build a 4.4 GW combined-cycle power plant and install wind power capacity of 2 GW.
As per the deal, Siemens will build a factory in Egypt to manufacture rotor blades for wind turbines, creating up to 1,000 jobs and therefore nearly trebling Siemens’ footprint in the country.
Including two further Memorandums of Understanding (MoU) which were signed at the event, Egypt’s power generation capacity will be massively increased by up to one third mostly by 2020.
Under the agreements, Siemens will propose to build additional combined cycle power plants with a capacity of up to 6.6 GW and ten substations for reliable power supply.
The agreements were signed at the Egypt Economic Development Conference in Sharm El Sheikh in the presence of Egypt’s Minister of Electricity Shaker al Markabi, Germany’s Vice Chancellor Sigmar Gabriel, and Joe Kaeser, the president and CEO of Siemens AG.
“Egypt needs a powerful and reliable energy system to support its long-term, sustainable economic development, and experienced partners who understand the specific challenges facing the country”, said Kaeser.
"Siemens’ technology and expertise has been supporting Egypt’s growth for more than 150 years, and our track record shows that we deliver what we promise - also in challenging times. We are part of Egypt’s society and proud to shape its future together," he noted.
"We have also agreed to continue the well established practice of dual-education apprenticeships, a success-story between Germany and Egypt for decades," stated Kaeser.
As per the agreement, Siemens will be the contractor responsible for engineering, procurement and construction (EPC) for the Beni Suef power plant in Upper Egypt, and will work together with local partners.
The 4.4 GW power plant will be built in four modules, each consisting of two H-class gas turbines, two heat recovery steam generators, one steam turbine, and three generators. Siemens H Class technology is matching Egypt’s requirements, combining high output with record-breaking levels of efficiency.
"Wind power is clean and renewable, and will strengthen Egypt's energy security at this important point in its history. Adding two gigawatt will be a significant step towards diversifying the country’s energy mix”, said Markus Tacke, the CEO of Siemens Wind Power and Renewables Division.
"Egypt has great potential for wind power generation, especially in the Gulf of Suez and the Nile Valley", stated Tacke. "We are proud to be working with the government and people of Egypt to tap this potential," he added.
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