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Egypt seals $1.8 agreements for mega solar project

Businessmen Team news 11 January 2026 11:10 AM
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Egypt seals $1.8 agreements for mega solar project

Prime Minister Dr. Moustafa Madbouly witnessed today the signing of landmark agreements and contracts to launch two integrated renewable energy projects with investments exceeding $1.8 billion. The initiatives focus on large-scale clean power generation and the localization of advanced battery storage manufacturing.

The investment involves two primary components designed to work in synergy:

The Energy Valley Project developed by Norway’s Scatec. This mega solar plant in Minya Governorate will be the first in the region to provide stable, 24-hour clean electricity through an integrated battery storage system.

SUNGROW Battery Factory developed by China’s Sungrow Power Supply. This facility in the Suez Canal Economic Zone (SCZONE) will be the first of its kind in the Middle East and Africa to manufacture Battery Energy Storage Systems (BESS).

Project technical specifications: Solar Capacity: 1.7 GW (AC) of solar PV located in Minya.

Storage Capacity: 4 GWh of battery storage distributed across Minya, Qena, and Alexandria to ensure national grid stability.

Manufacturing Output: The SUNGROW factory, spanning 50,000 square meters in the TEDA-Egypt industrial zone, will reach an annual capacity of 10 GWh at full operation.

Timeline: Production at the SUNGROW facility is scheduled to begin in April 2027, creating approximately 150 direct jobs.

Madbouly emphasized that these projects align with the state’s vision to localize renewable energy industries and enhance local value chains. "Attracting such specialized investments reflects the confidence global firms have in Egypt’s investment climate," Madbouly noted.

Minister of Electricity and Renewable Energy, Engineer Mahmoud Esmat, added that the "Energy Valley" project would utilize batteries produced locally at the new Sungrow factory, showcasing a successful partnership between the state and international private sectors to deploy cutting-edge technology.

Key agreements signed:

Power Purchase Agreement (PPA): Signed between the Egyptian Electricity Transmission Company (EETC) and Scatec’s project vehicle, "Valley for Sustainable Energy."

Land Usufruct Agreement: Secured between the New and Renewable Energy Authority (NREA) and Scatec for the Minya site.

Manufacturing Land Contract: Signed between SUNGROW and TEDA-Egypt for the SCZONE factory site.

Supply Order: Scatec officially issued a supply order to SUNGROW for the battery storage systems required for the Energy Valley project.

Waleed Gamal El-Din, Chairman of the SCZONE, stated that the Sungrow factory reinforces the region's position as a premier industrial hub for green transition technologies. The integrated project will not only stabilize the national grid but also provide steady clean energy to the Wadi Al-Saririya industrial zone in Minya.