Egypt has advanced its renewable energy goals with an agreement to establish a solar panel manufacturing plant in partnership with Sweden's Sunshine Pro and the Arab Renewable Energy Company. The plant aligns with Egypt’s National Strategy for Integrated and Sustainable Energy, which aims to boost local production and increase renewable energy’s share to 42% by 2030.
Boosting Local Industry and Technology
Egypt has solidified its commitment to renewable energy with a landmark agreement to build a solar panel manufacturing plant. The contract was signed at the Arab Organization for Industrialization (AOI) headquarters in Cairo. This partnership between the Arab Renewable Energy Company (ARECO) — a subsidiary of the AOI — and Sweden's Sunshine Pro marks a new chapter in Egypt’s clean energy future.
The project aligns with Egypt’s National Strategy for Integrated and Sustainable Energy. This strategy aims to increase renewable energy’s share in the country’s energy mix to 42% by 2030 and over 60% by 2040. By investing in solar panel manufacturing, Egypt is positioning itself as a leader in sustainable energy innovation and production.
The solar panel manufacturing plant is a key component of Egypt’s strategy to localize advanced technology. The initiative seeks to strengthen local manufacturing capacities and reduce reliance on imported equipment. This approach does not only support the national economy, but it also aligns with global trends in renewable energy.
The facility — named the Arab-Swedish Energy Factory (ASEF) — will feature cutting-edge automation. It will have an annual production capacity of 1 gigawatt, thereby adhering to the highest global quality standards. The plant’s focus will be on delivering cost-competitive solar panels for local and export markets.
Solar Panel Manufacturing Plant: A Collaborative National Effort
The project is a collaborative effort involving the Ministry of Electricity and Renewable Energy and the AOI. Minister Mahmoud Esmat emphasized the importance of advancing renewable energy projects to support Egypt’s growing energy needs.
“We are committed to diversifying energy sources and enhancing the national grid,” Esmat said. “This project will reduce carbon emissions and lower reliance on traditional fuel.”
The minister highlighted the significance of solar energy in shaping Egypt’s future. He also reaffirmed the government’s dedication to fostering foreign and local investments in renewable energy projects. The solar panel manufacturing plant is part of Egypt’s broader strategy to integrate the private sector into sustainable development. This initiative reflects the government’s focus on clean energy as a driving force for economic growth.
Mokhtar Abdel Latif, Chairperson of the AOI, expressed pride in the partnership with Sunshine Pro. He described the agreement as a milestone in promoting the “Made in Egypt” brand.
“This project is a significant step in establishing Egypt as a leader in renewable energy production,” Abdel Latif stated. “Our efforts will serve local markets and position us competitively in Africa and the Arab world.”
Expanding Regional Influence
The AOI’s vision includes expanding manufacturing capabilities to meet growing demand in African and Arab markets. Abdel Latif highlighted the organization’s use of modern digital systems to ensure global quality standards. He also emphasized the AOI’s commitment to integrated and smart renewable energy solutions. “We aim to provide high-quality, cost-effective products that compete internationally,” Abdel Latif added.
Yehia Metini, Chairperson of Sunshine Pro, expressed enthusiasm for the partnership. He praised the AOI’s leadership in industrial development and the joint effort to localize solar panel technology.
"This collaboration is a tremendous opportunity to boost Egypt’s economy,” Metini said. “We are proud to contribute to meeting renewable energy needs across Egypt, the Arab world, and Africa.”
Key officials attended the signing ceremony, including Abdel Rahman Abdel Azim Osman, General Manager of the AOI; Ghada El-Gendy, Executive Director of ARECO; and Essam Sheikh El-Ard, Secretary-General of the Arab Union for Alternative Energy and Green Economy.
With the establishment of this state-of-the-art facility, Egypt is poised to lead the region in solar panel production. This project does not only enhance the nation’s energy infrastructure, but it also solidifies its position in the global renewable energy market.