Egypt is pitching for climate funding for at least four projects requiring over $18bn of investments ahead of the UN climate summit, Cop27, which it will host in November.
The four projects are among 19 African projects deemed as good examples of schemes that are ready to be implemented and could receive funding. They include:
- Replacing 17 inefficient fossil fuel power plants with a total combined capacity of 7,500MW with 11,300MW of wind and solar power plants ($10bn)
- Egypt electric light rail network ($6bn)
- Crop adaptation in the Nile Valley and Delta ($800m)
- Water desalination projects using solar energy ($600m)
The biggest item on Egypt’s pipeline, the $10bn replacement of inefficient thermal fossil fuel power plants, is expected to be delivered by the private sector and to drive the country’s carbon emissions reduction goal.
Egypt's renewable energy installed capacity, mainly from wind and solar power plants, stood at approximately 3,400MW as of 2021, or roughly 5.6 per cent of the total electricity installed capacity.
All four projects aim to support the country’s recently updated national determined contribution (NDC) for the Paris Agreement.
The new NDC includes pledges for emissions reductions of 33 per cent in the electricity generation sector by 2030, against a 2015 baseline.
It also entails a 7 per cent emissions reduction in the transport sector within the same timeframe.
Egypt further committed to a 65 per cent carbon emissions reduction within this timeframe on its oil and gas sectors, excluding Scope 3 or indirect emissions.
The country had earlier stated it would need up to $246bn of financing until 2050 to align with the Paris Agreement.
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