The EU-Egypt Partnership Discusses the Impact of Developments in the Middle East and North Africa on Cooperation Between the Two Sides... Modernization and Expansion of the Egyptian Electricity Grid with a Total Investment of €1.6 Billion

- Europe and Arabs
- Tuesday , 16 June 2026 6:10 AM GMT
Brussels: Europe and the Arabs
A statement was issued in Brussels following the 11th EU-Egypt Association Council meeting held on Monday, June 15, in Luxembourg.
The meeting was co-chaired by the High Representative of the European Union for Foreign Affairs and Security Policy, Kaja Kallas, and the Egyptian Minister of Foreign Affairs, Badr Abdel-Aty, who headed the Egyptian delegation. The Commissioner for the Mediterranean, Dubravka Šuić, also participated on behalf of the European Commission.
The European statement read: “Building on the outcomes of the first EU-Egypt Summit held in October 2025, the Association Council reviewed the implementation of the Comprehensive Strategic Partnership between the EU and Egypt, launched in March 2024, and discussed ways to strengthen bilateral cooperation.
The two sides reviewed the progress made in the six pillars of the Partnership: political relations, economic stability, trade and investment, migration and mobility, security, and demographics and human capital.” This exchange also provided an opportunity to discuss global issues of common interest and the regional situation, including developments in the Middle East and North Africa and their implications for EU-Egypt cooperation.
On the sidelines of the 11th EU-Egypt Association Council meeting in Luxembourg, the European Commission presented the first pilot project under the T-MED (Trans-Mediterranean Cooperation in Renewable Energy and Clean Technologies) initiative, with a total value of €690 million (a €600 million loan from the European Investment Bank and grants of up to €90 million from the Commission). This project aims to modernize and expand Egypt’s national electricity grid. The total expected public and private investment in this project is €1.6 billion, and it will contribute to achieving the objectives of the Comprehensive Strategic Partnership between the EU and Egypt.
This project will help Egypt integrate 22 GW of renewable energy by 2030, enough to power 10 million homes across the country. The initiative will also upgrade vital substations and transmission lines in the Red Sea and Gulf of Suez regions, reducing energy losses and enhancing grid reliability. Furthermore, by providing 10.4 gigawatts of renewable energy, the project will contribute to Egypt's transition away from fossil fuels, in line with its 2040 goals, while also creating opportunities for European companies in the areas of grid infrastructure and clean energy technologies. Construction is scheduled to begin in 2027, with the first renewable energy flows expected by 2028. The project was presented yesterday afternoon by Dubravka Šuić, Commissioner for the Mediterranean, and Egyptian Foreign Minister Badr Abdel-Aty, along with European Investment Bank President and Vice-President Nadia Calviño and Gelsomina Figliotti. Commissioner Dubravka Šujka stated: "The Mediterranean Charter continues to deliver. Under its newly launched flagship initiative, T-Med, we today presented a major EU-backed project to strengthen and expand Egypt's electricity infrastructure. This project will enhance Egypt's role in regional energy markets and create significant business opportunities for local and European companies. It is further proof of our shared commitment to sustainable growth, energy security, and long-term prosperity in the Mediterranean region."

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