Egypt Signs MoU for Two Solar Energy Factories to Boost RE Capacity

The Prime Minister of Egypt, Mostafa Kamal Madbouly, recently attended the signing of a memorandum of understanding (MoU) for the establishment of two solar energy factories in Egypt.

The MoU was signed between the Egyptian Ministry of Industry, represented by the Industrial Modernisation Center, and the Emirati company Global South Utilities, along with the Chinese company JA Solar. The factories will have a combined capacity of 4 GW—2 GW dedicated to solar cells production and 2 GW for solar panel manufacturing.

This agreement is a major step forward in Egypt's efforts to support its Sustainable Energy Strategy 2035. The Prime Minister emphasised that the project will help meet the increasing demand for clean energy, improve energy efficiency, and contribute to the country's renewable energy transition. Additionally, the project is expected to bolster Egypt’s clean energy infrastructure and support the region's sustainable energy goals.

Kamel El-Wazir, Minister of Industry and Transport, highlighted that the Industrial Modernisation Center will provide the necessary support for the project. This includes offering investment incentives, facilitating cooperation with local suppliers, and ensuring the availability of data and information for construction.

The factories are also part of the government's broader plan to promote green industries, which aims to contribute 5 percent to Egypt's GDP by 2030, focusing on local production of renewable energy components.

The Emirati partner underscored their commitment to the project's success, coordinating with the partners and ensuring feasibility studies are completed. Meanwhile, the Chinese company confirmed that the project would involve two factories—one designed to produce for export, with an investment of USD 138 million, and another aimed at meeting domestic demand with an investment of USD 75 million, with an emphasis on increasing local manufacturing.