According to foreign media reports, the Egyptian government recently announced that it has signed a series of agreements worth over 1.8 billion USD with Norwegian renewable energy developer Scatec and Chinese energy storage company Sungrow. These agreements aim to build large-scale solar+storage projects and promote local manufacturing of battery energy storage systems. This series of agreements is a key initiative for Egypt to expand its clean energy installed capacity and improve its new energy industry chain.
Scatec will develop the “Energy Valley” project in Minya, which will include the construction of a large-scale integrated solar power and energy storage plant. Meanwhile, Sungrow will build a battery energy storage system manufacturing plant in the Suez Canal Economic Zone (SCZONE) to support energy storage equipment for the project and the regional market.
Both projects are being advanced with the coordination of Egyptian Ministry of Electricity and Renewable Energy and the Suez Canal Economic Zone Authority. Egyptian Prime Minister Mostafa Madbouly stated that these projects highly align with the country’s strategy of localizing new energy industries, and that localizing energy storage and renewable energy manufacturing will be key pillars for enhancing Egypt’s energy security and driving its green transformation.
As part of the project arrangements, the Egyptian Electricity Transmission Company (EETC) has signed a Power Purchase Agreement (PPA) with Scatec, while the New and Renewable Energy Authority (NREA) has signed a land use agreement for the Energy Valley project. Additionally, Sungrow has secured the land use rights for building the battery energy storage manufacturing plant in the TEDA Industrial Zone in SCZONE.
Furthermore, Scatec and Sungrow Energy have signed a battery supply contract, under which Sungrow Energy will provide the battery energy storage systems for the Energy Valley project in Minya.
According to the introduction, the Energy Valley project is positioned as one of the largest integrated clean energy projects in the world, and the first solar+storage project in the region capable of providing stable power supply around the clock. The project will build a 1.7 GW (AC) solar photovoltaic capacity, along with a total of 4 GWh of battery storage systems, distributed across Minya, Qena, and Alexandria. The project will also build new substations and dedicated transmission lines to provide clean electricity to the Wadi El-Sereiriya Industrial Zone in Minya.
On the manufacturing side, Sungrow Energy’s factory in Egypt will become the first battery energy storage system manufacturing base in the Middle East and Africa. Located in the TEDA-Egypt Industrial Zone in Ain Sokhna, the factory will cover an area of about 50,000 square meters and is expected to create around 150 direct jobs. Once operational, the factory will have an annual capacity of 10 GWh, with production expected to begin in April 2027.
Regarding financing, the Egyptian Prime Minister also witnessed the signing of preliminary financing agreements for the Energy Valley project between Scatec and the European Investment Bank (EIB), the European Bank for Reconstruction and Development (EBRD), and the African Development Bank (AfDB), marking the project’s support from multilateral development financial institutions.
__________________________________________________________________
Sungrow Energy has confirmed its sponsorship of the 14th Energy Storage International Conference and Expo (ESIE 2026), register now to attend Asia’s Largest Energy Storage Trade Show for free:
What: The 14th Energy Storage International Conference & Expo
When: Conferences: March 31 - April 2, 2026
Exhibitions: April 1-3, 2026
Where: CIECC Beijing, China
Address: No. 55 Yudong road, Shunyi District, Beijing China
