Egypt launches $220mn solar industrial complex in SCzone

Egypt has taken a new step toward expanding its green energy manufacturing base with the launch of a major solar industrial project in the Suez Canal Economic Zone (SCZone) on December 15, Al Borsa reported.

The foundation stone was laid for the Atom Solar integrated industrial complex, which will produce solar cells, solar panels and energy storage systems, with total investments estimated at $220mn.

The project is being developed through a partnership that includes China’s JA Solar (002459: SZSE) as a technical investor, Egypt’s AH for Industrial Management, the UAE-based GSU, and Bahrain’s Infinity Capital. The complex will be built on a total area of 200,000 square metres within the Teda Egypt industrial developer zone in Ain Sokhna, under the authority of the SCZone

The Atom Solar complex will include a factory for producing solar cells with a capacity of 2 GW, another for solar panels with a similar capacity, and a third facility dedicated to energy storage systems with a capacity of 1 GW/h. The project is expected to generate around 850 direct jobs.

All solar cell output will be exported to global markets, while production from the energy storage systems plant will be directed toward the local market and selected regional destinations. The project also aims to gradually raise local content by using domestically produced aluminium and glass.

Deputy PM for Industrial Development and Minister of Industry and Transport Kamel El-Wazir said the initiative supports Egypt’s national strategy to become a global hub for green energy production and trade. Walid Gamal El-Din, head of the SCzone, said the complex will help localise renewable energy industries and strengthen integrated value chains.

Egypt's ambitious renewable energy plan, the Integrated Sustainable Energy Strategy (ISES) to 2035, targets generating 42% of its electricity from renewable sources, primarily solar and wind, by 2030.