Egypt's electricity minister Mohamed Shaker said recently that Saudi Arabia will work together to build a power grid interconnection project to share surplus power with neighboring countries. The total investment in the project is expected to reach 1.6 billion U.S. dollars and Egypt will contribute 600 million U.S. dollars.
Mohamed Shaker said the construction contract for the joint power grid project between the two countries will be signed in March or April this year and the estimated duration is two years. Upon completion, the supply of surplus power between the two countries will be realized.
Shaker said: "This will enable us to benefit from the peak consumption differences, the reliability of the grid will be further increased."
In 2009, power transmission along the Gulf coast became possible with the establishment of an interconnected power grid in Qatar, Kuwait, Saudi Arabia and Bahrain. The purpose of the interconnected power grid is to ensure that GCC member states can import electricity in emergency situations.
Shaker said that if the power grid interconnected with Saudi Arabia, then the problem of domestic power shortage encountered in 2014 can be avoided.
According to reports, Egypt and Saudi Arabia have 3,000 MW of electricity trade potential, Egypt and Jordan have 450 MW of electricity connections, while Libya has 200 MW of electricity trade potential. Egypt will seek to use its strategic location to connect the power grids in Asia and other parts of Africa so as to further consolidate the stability and reliability of the domestic power grid and become a regional power trading hub.