Egypt plans to reopen bidding for the Ataqa Mountain pumped storage project in Suez after Sinohydro failed to secure funding, Asharq Business reported.Part of Egypt’s energy diversification plans, the project was approved in 1998, but development began with a 2015 MoU between Egypt and Sinohydro.
Key consultancy contracts were awarded in 2017.In 2019, China’s Exim Bank agreed to fund $2.6bn for the Ataqa project, while Egypt negotiated land use.Located 15km west of Suez, the 168,000m² site sits on Ataqa Mountain. Sinohydro sought government co-financing, but the request was denied.Indian, Chinese, and European firms have expressed initial interest in developing the Ataqa Mountain pumped storage power plant, according to an official source.
The official noted that Egypt currently has a surplus of electricity in the national grid, estimated at around 15,000 MW. This surplus is expected to grow further as the country continues integrating large-scale renewable energy projects in the coming years.In addition to the Ataqa project, Egypt has completed feasibility studies for two new hydropower projects using pumped storage technology.
These projects, located in Qena and Luxor, will have a combined capacity of up to 2,000 MW and require a total investment of $2.5 billion. As part of its long-term energy strategy, Egypt aims to increase the share of renewable energy in its electricity generation mix to 42% by 2035.
