Egyptian Prime Minister Mostafa Madbouly witnessed the signing of a memorandum of understanding (MoU) to establish Egypt’s first wind turbine manufacturing plant and develop a 2-gigawatt (GW) wind power project in the Gulf of Suez, marking a significant step towards localising renewable energy technologies and expanding the country’s clean energy capacity.
The signing ceremony took place at the Cabinet headquarters in the New Administrative Capital in the presence of Minister of Electricity and Renewable Energy Mahmoud Esmat.
The agreement aligns with Egypt’s strategy to support local industry, increase the domestic component in renewable energy projects, and localise advanced solar and wind energy technologies.
It also aims to expand the manufacturing of electrical equipment and facilitate the implementation of renewable energy projects in Egyptian pounds, while leveraging Egypt’s trade agreements to export locally manufactured products to markets across Africa and the Middle East.
The MoU was signed between China’s SANY Renewable Energy, a global leader in wind turbine manufacturing technology, and Egypt’s Egyptian Electricity Transmission Company (EETC) and New and Renewable Energy Authority (NREA).
Under the agreement, Egypt will establish its first wind turbine manufacturing facility to supply equipment and components for domestic wind energy projects, while exporting surplus production to regional markets.
The MoU was signed by Li Qiang, Chairperson of SANY Renewable Energy, Mona Rizk, Chairperson of the EETC, and Ehab Ismail, Chief Executive Officer of the NREA.
The agreement also includes the development of a 2 GW wind power plant, to be implemented in local currency, supporting Egypt’s National Energy Strategy, which targets increasing the share of renewable energy in the country’s energy mix to 45% within the next two years.
On the sidelines of the signing ceremony, Madbouly stressed the importance of renewable energy projects in strengthening Egypt’s electricity sector and diversifying energy sources.
He noted that localising industries linked to renewable energy is a key pillar of enhancing energy security and advancing the country’s green transition agenda.
Madbouly also highlighted the government’s commitment to fostering cooperation among state institutions and expanding partnerships with local and international private-sector investors to implement renewable energy projects, including solar, wind and energy storage systems, using local currency.
He added that Egypt is expanding energy storage solutions to maximise the benefits of renewable energy generation and ensure the stability and reliability of the national electricity grid.
For his part, Esmat said that localising the manufacturing of electrical equipment, particularly renewable energy components, supports the state’s vision of implementing solar and wind energy projects in Egyptian pounds.
He noted that the ministry is currently working on measures to increase local manufacturing content within the sector.
Esmat explained that the agreement includes the establishment of a wind turbine manufacturing plant with an annual production capacity of 2 GW, to be completed within a maximum of two years from the signing of the final agreements.
The project also includes the construction of a 2,000 MW wind farm, which is expected to be connected to Egypt’s national electricity grid within 23 months of the project’s execution.
The minister added that Egypt possesses a large and growing market for solar and wind energy projects, alongside strong trade relations that facilitate access to markets across the Middle East and Africa, positioning the country as a regional hub for renewable energy manufacturing and exports.
