A new agreement signed between Chinese companies and Egyptian government officials is part of Egypt's Green Corridor Initiative to increase the use of renewable energy. The solar projects involved in the agreement are expected to save more than $1 billion per year in natural gas costs.

China Power Technology and Equipment Co LTD has signed a memorandum of understanding with the Egyptian government to develop a 10 GW solar project, according to the Egyptian government.

The MOU, which was also signed by Egypt's New and Renewable Energy Authority and the Egyptian Electricity Holding Company, paves the way for preliminary studies for the development of the project. The project is expected to generate about 29,784 GWH of electricity per year, helping to reduce about 14 million tons of carbon dioxide emissions and save more than $1 billion per year in natural gas costs.

The project is part of Egypt's broader Green Corridor Initiative, which aims to increase the use of renewable energy and reduce reliance on fossil fuels, and is part of the country's efforts for sustainable development.