Egypt's energy sector is currently undergoing a transformative phase driven by ambitious national strategies and collaborations with global stakeholders. The nation is strategically balancing energy security with sustainable development goals and climate change mitigation efforts. Through programs like the Nexus of Water, Food, and Energy (NWFE) and the National Climate Change Strategy (NCCS) 2050, Egypt is showcasing its potential to adopt low carbon development pathways. Additionally, the introduction of initiatives such as Africarbonex and regulatory standards for Environmental, Social, and Governance (ESG) reporting underlines Egypt's progressive stance towards environmental responsibility. With its advantageous geopolitical position and abundant renewable resources, Egypt is poised to emerge as a key player in the regional energy landscape. By focusing on green hydrogen production and aligning with the EU's Carbon Border Adjustment Mechanism (CBAM), Egypt is demonstrating a proactive approach to energy transition. However, the sector faces challenges related to financial limitations, regulatory frameworks, and infrastructure deficits that pose obstacles to the rapid deployment of renewable energy projects. Overcoming these hurdles will necessitate strategic policy revisions, targeted investments, and enhanced collaboration between the public and private sectors to ensure the successful implementation of renewable energy initiatives.