Deal #10781

Egypt, Arab Rep.
Created at
2024-10-10
Last update
2024-11-26

Presence of land conflicts

Presence of land conflicts
Yes

Displacement of people

Displacement of people
Yes
Comment on displacement of people
Minimal local displacement reported due to location in a sparsely populated desert region.

Negative impacts for local communities

Negative impacts for local communities
Environmental degradation, Other
Comment on negative impacts for local communities
-Local Population: The area around Gabal El-Zeit, specifically Ras Ghareb, is inhabited. The local communities are primarily engaged in traditional livelihoods such as fishing and small-scale agriculture. The presence of the wind farm has implications for these communities, particularly concerning land use and environmental impacts. -Concerns about the sale: The decision by the Sovereign Fund of Egypt (TSFE) to sell the wind farm to Actis generated controversy. Although the sale is framed within a privatization strategy, some critics have questioned why a valuable asset is being sold for a price lower than its construction cost, leading to accusations of corruption and mismanagement in the administration of state assets. -Land use rights: The sale of the wind farm implies that Actis will obtain land use rights over the land and the plant for a period of 25 years. This has raised concerns about long-term control over the country’s energy resources and how this could affect Egypt's energy sovereignty. -Environmental impact: The wind farm is located on an important migratory route for birds, which poses significant risks to these species. Concerns have been expressed about the environmental impact of the project, especially regarding bird migration and the need to implement adequate measures to mitigate these risks.