The board of directors of the African Development Bank Group has approved a funding package of $184.1 million to support the development of Obelisk solar project in Egypt, Africa’s largest solar power plant.
Located in the Qena Governorate in southern Egypt, the project will include a 1-gigawatt solar photovoltaic facility and a 200 megawatt-hour battery energy storage system.
The $590 million project will be developed under a 25-year Power Purchase Agreement with the Egyptian Electricity Transmission Company as the sole off-taker. It involves the design, construction, operation, and maintenance of the integrated solar and storage facility.
The Bank’s financing package includes $125.5 million in ordinary resources, $20 million from the Sustainable Energy Fund for Africa (SEFA), $18.6 million from the Canada-African Development Bank Climate Fund, and $20 million from the Climate Investment Funds’ Clean Technology Fund. Additional funds will come from other development finance institutions.
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Once operational in the third quarter of 2026, the plant is expected to deliver around 2,772 gigawatt-hours of clean electricity each year. The battery storage system will help supply renewable power during peak evening demand and stabilize solar output.
The project is also expected to create around 4,000 construction jobs and 50 permanent positions, with a focus on including women and youth in the workforce.
