SCCT becomes the first container terminal in Egypt to run on 100% renewable electricity
Suez Canal Container Terminal (SCCT), part of APM Terminals, has signed a power purchase agreement with Egypt's New and Renewable Energy Authority (NREA) in close collaboration with our port authority, Suez Canal Economic Zone (SCZONE), that will enable the terminal to source 100% of its electricity from renewable energy. The agreement positions SCCT among the early adopters of fully renewable-powered port operations in the country.
The agreement was signed at the Cabinet headquarters in Cairo in the presence of His Excellence Dr. Mostafa Madbouly, Prime Minister, with high-level state representation, underscoring the strategic importance of the energy transition to Egypt’s ports and trade infrastructure.
“The State places great importance on expanding the adoption of clean energy across various development projects. These agreements represent a successful model of integration between government entities and the private sector in delivering the State’s green transition objectives, enhancing the efficiency of ports and industrial zones, and strengthening the competitiveness of the Egyptian economy,” states H.E. Dr. Mostafa Madbouly, Prime Minister of Egypt.
“These agreements reflect the progress achieved by the Authority in integrating environmental sustainability standards into the development and operation of the ports under its jurisdiction. The Authority continues to work towards providing an integrated investment environment that supports investors in adopting global best practices in the fields of energy and operational efficiency,” Mr. Walid Gamal El-Din, Chairman of the General Authority for the Suez Canal Economic Zone says.
Defining agreement for sustainable port operations
The power purchase agreement is one of its kind, and a result of more than two years of close coordination between SCCT, SCZONE, the Ministry of Electricity represented by NREA and EgyptERA. It creates a structure that other port operators in Egypt can build on as the country advances its renewable energy goals.
“This agreement is a defining moment for SCCT and for sustainable port operations in Egypt. By powering one of the region’s busiest gateways entirely with renewable electricity, we are cutting emissions at scale while showing what is possible when industry and government move together on the energy transition. I want to thank our partners at SCZONE, Ministry of Electricity represented by NREA and EgyptERA for the vision and partnership that made this possible,” says Keld Mosgaard Christensen, CEO, Suez Canal Container Terminal.
Once in effect, the agreement is expected to avoid approximately 30,000 tonnes of CO2 emissions each year by replacing fossil based grid electricity with solar and wind power. Given the scale of SCCT’s operations, this means a significant reduction (6%) of APM Terminal’s group emissions against baseline. The initial agreement will be kicked off for one year with an option to renew.
Signing this power purchase agreement aligns closely with APM Terminals’ efforts to decarbonise its port operations globally, inching closer to its target to source 100% renewable electricity by 2030 and its ambition to be net-zero greenhouse gas emissions across the entire value chain by 2040. With approximately 62 per cent of electricity already sourced from renewable electricity globally, this milestone makes another tangible step forward in accelerating the company’s transition to low-carbon terminal operations.
“The collaboration between the New and Renewable Energy Authority and Suez Canal Container Terminal represents a model for partnerships aimed at promoting the use of renewable energy within ports. This contributes to reducing the carbon footprint of operational activities and keeping pace with the evolving requirements of global trade and supply chains, which are placing increasing emphasis on sustainability standards. The Suez Canal Economic Zone remains committed to implementing its vision for developing its ports and industrial zones in line with the latest international standards, further strengthening its position as a global hub for industry and logistics services,” adds Mr. Walid Gamal El-Din.
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