Egypt has signed agreements worth over $1.8 billion with Norway’s Scatec and China’s Sungrow to develop two major renewable energy projects, marking a significant expansion of the nation’s green energy infrastructure, according to a statement by the Cabinet.
Prime Minister Mostafa Madbouly attended the signing ceremony alongside senior government officials. The first project, titled “Energy Valley,” will be developed by Scatec in Minya Governorate.
The 1.7-gigawatt (GW) solar power plant will be integrated with 4 gigawatt-hours (GWh) of Battery Energy Storage Systems (BESS) distributed across Minya, Qena, and Alexandria.
According to a Scatec press release, the hybrid facility is designed to provide stable, clean energy to the Wadi El-Sirria Industrial Area, supported by new substations and dedicated 500-kilovolt (kV) transmission lines.
Furthermore, Scatec confirmed in an official statement that it has finalized power purchase agreements with the Egyptian Electricity Transmission Company (EETC) to develop a combined 1.95 GW solar and 3.9 GWh battery storage installation, currently the largest of its kind in Africa.
The second agreement involves Sungrow establishing a battery storage manufacturing factory within the Tianjin Economic-Technological Development Area (TEDA) Egypt zone in the El-Sokhna industrial area, part of the Suez Canal Economic Zone (SCZONE).
Spanning 50,000 square meters (sqm), the facility will be the first in the Middle East and Africa to produce BESS. It is expected to have an annual production capacity of 10 GWh at full operation, with production scheduled to commence in April 2027.
Both projects are being implemented in cooperation with the Ministry of Electricity and Renewable Energy and the General Authority for SCZONE. Egypt plans to increase the share of renewable energy in the electricity mix, targeting over 42% by 2030 and 60-65% by 2040.
Headquartered in Norway, Scatec is a leading renewable energy producer specializing in solar, wind, and green hydrogen projects across emerging markets. The company has established a deep-rooted presence in Egypt, notably as a major contributor to the Benban Solar Park, and more recently, through the development of the nation’s first green hydrogen facility in Ain Sokhna.
Localizing Advanced Energy Storage Sungrow is a global leader in inverter and energy storage solutions for the renewable energy industry, with a presence in over 150 countries. In Egypt, the company is transitioning from a technology supplier to a primary manufacturer through the establishment of a 10-gigawatt-hour (GWh) battery energy storage system (BESS) factory in TEDA Egypt.
