Mahmoud Esmat, Minister of Electricity and Renewable Energy, witnessed the signing of a memorandum of understanding between the Egyptian Electricity Transmission Company (EETC) and Heca Data at the Ministry’s headquarters in the New Administrative Capital.

The MoU aims to assess and define the electricity supply requirements for a proposed data center project. 

 The strategy is intended to attract global companies through a unified investment model that identifies available locations, renewable energy resources such as solar and wind power, investment incentives, and the readiness of essential infrastructure across the electricity, telecommunications, and information technology sectors.

Under the MoU, both parties will cooperate on providing the technical information and data required for the project, studying its connection to Egypt’s national electricity grid, and assessing expected power loads and implementation phases.

The agreement will also explore possible technical alternatives for supplying electricity to the facility, conduct preliminary studies on the required generation capacity and its potential impact on the grid, and estimate any needed reinforcement or expansion works.

In addition, the study will examine the project’s potential reliance on renewable energy sources, battery storage systems, and other supporting energy solutions.

The agreement comes as part of Egypt’s broader efforts to support investment in the data center industry and develop a national strategy for the sector.

Esmat said that the Ministry of Electricity and Renewable Energy is working in line with presidential directives to support the localization of the data center industry and ensure the availability of the electricity needed to power it.

He added that the initiative aligns with Egypt’s strategy to localize advanced technologies and expand the role of renewable energy, with the country targeting renewable sources to account for 45% of its energy mix within the next two years.

The minister also highlighted the sector’s readiness to meet the electricity needs of all uses under Egypt’s sustainable development plan, noting that data centers are increasingly essential to supporting artificial intelligence applications. These applications require significant computing power to process the rapidly growing volume of data they generate and consume.