EIB finances up to $90m for Scatec-led Dandara 569 MWp solar and 100 MWh BESS in Egypt

Financing and partners

The European Investment Bank, through EIB Global, will provide a loan of up to $90 million guaranteed by the EU EFSD+ to finance the first phase of the Dandara Solar PV and battery energy storage project. Financing is provided alongside the European Bank for Reconstruction and Development and the African Development Bank. The project company, Dandara Solar Power S.A.E., will be owned by Scatec ASA as lead developer.

Project scope

Phase 1 includes a 569 MWp solar photovoltaic plant coupled with a 100 MWh battery energy storage system. It will supply renewable electricity to Misr Aluminium Company (EgyptAlum) under a long‑term power purchase agreement, with EgyptAlum’s payment obligations supported by a guarantee from Egypt’s Ministry of Finance. The project is expected to generate around 1,500 GWh in its first year of operation.

Timeline and delivery

Construction is expected to begin shortly, with commercial operations scheduled to start in April 2028. The promoters recently completed a similarly large adjacent solar PV plant ahead of schedule, giving them on‑site experience relevant to delivery.

Strategic context

The Dandara project is presented as a Global Gateway flagship supporting Egypt’s target to generate 42% of its electricity from renewable sources by 2030. It aligns with the EU–Egypt Strategic and Comprehensive Partnership and the Trans‑Mediterranean Renewable Energy and Clean Technology Cooperation Initiative (T‑MED), and is intended to reduce fossil fuel dependence while lowering the carbon footprint of aluminium production.