The first phase of a megaproject in Egypt has been inaugurated Thursday by German Chancellor Angela Merkel and Egyptian President Abdel Fattah al-Sisi. According to Siemens' release, each of the three power plants, located at Beni Suef, New Capital and Burullus, is set to become the biggest gas-fired combined cycle power station in the world. Together, they will have a capacity of 14.4GW, boosting Egypt's power generation capacity by 45 percent. Siemens, along with two local partners, claims to have broken all records in modern power plant construction by connecting the first 5.8GW of new capacity to the grid "only 18 months after the signing of the contract". The plants will supply enough electricity for 45 million people and contribute towards the nation's goal of achieving $1.3 billion (£1.06 billion) in fuel savings every year. Last month Siemens completed its full load engine tests for the world's first 3D-printed gas turbine blades in the UK. The construction works for Siemens' megaproject in Egypt are enormous. More than 1,600,000 tons of material – including 960,000 tons of concrete and 48,000 tons of rebar steel – will be processed until completion. At Beni Suef, massive excavation works were necessary to prepare the site, leading to the removal of around 1,750,000 m3 of rocks. This is equivalent to the volume of the smaller Giza pyramid. When completed, each of the three power plants, located at Beni Suef, New Capital and Burullus, is set to become the biggest gas-fired combined-cycle power station in the world. Altogether, the three power plants will have a combined capacity of 14.4 GW. To increase the capacity of the transmission network nationwide, Siemens has successfully put the first three substations into operation that will transmit the electricity generated by the three power plants to Egypt's power grid. The three substations, Etay El-Baroud, Maghagha and Kafr El Zayat, were ready for operation within ten months from signing the contracts, to match the implementation timeframe of the power plants. In December 2016, Siemens and El Sewedy Electric T&D, signed a contract with the Egyptian Electricity Transmission Company (EETC) for the design, engineering, supply and installation of six substations, located in the cities of Maghagha, Etay El-Baroud, Banha, Wadi El-Natroun, Assiut and Kafr El Zayat. The remaining substations will be completed and connected to the grid by the end of December 2017. Siemens' megaproject in Egypt also comprises 9-year service and maintenance agreements for the three power plants to help ensure the long-term reliability, availability and optimal performance of the units. The service and maintenance operations will be supported by Siemens digital services products and offerings, tapping into the company's advanced data analytics. Financing was also an important source of support for the megaproject: The financing package for the Siemens part of the contracts was structured by Siemens Financial Services (SFS). It also included a tailored guarantee concept. The financing of major parts of Siemens' and its local partners' scope, for the three power plants, was provided by a consortium of international and regional banks. The credit facilities are largely covered by Export Credit Agencies.
