The African Development Bank Group has approved up to $184.1m in financing for the Obelisk solar project in Egypt, set to become the largest solar power plant in Africa.
Located in the Qena Governorate, the 1GW photovoltaic plant will include a 200MWh BESS. The Egyptian Electricity Transmission Company will be the sole off-taker under a 25-year Power Purchase Agreement. Total project costs are estimated at over $590m.
Funding includes $125.5m from the Bank’s ordinary resources, $20m from the Sustainable Energy Fund for Africa, $18.6m from the Canada-African Development Bank Climate Fund, and $20m from the Clean Technology Fund.
Additional support will be provided by other development finance institutions.
Granted a Golden License under Egypt’s Nexus of Water, Food, and Energy (NWFE) platform, the project is considered a strategic initiative for national energy transition.
Dr. Rania Al-Mashat, Egypt’s Minister of Planning, Economic Development and International Cooperation, said: “The Obelisk solar project is another important milestone for Egypt under the energy pillar of the NWFE program…with the support of partners such as the Africa Development Bank.”
The plant is expected to begin operation by Q3 2026, generating 2,772GWh of clean energy annually, reducing CO₂ emissions by around one million tons, and creating approximately 4,000 construction jobs and 50 permanent roles.
“Obelisk is another landmark development under NWFE,” said Kevin Kariuki, African Development Bank Vice President, “contributing to Egypt’s ambition of producing 42% of its power generation capacity from renewable energy sources by 2030.”
Ambassador Ulric Shannon added, “Canada is proud to support solar energy development in Egypt…with direct benefits for the Egyptian people.”
The Bank considers the project a model for replicability across Africa.
