Mahmoud Esmat, Minister of Electricity and Renewable Energy, met with a delegation from China’s SANY Global to explore cooperation opportunities in renewable energy and discuss the establishment of the country’s first wind turbine manufacturing plant.

The meeting focused on partnership models and mechanisms for the localization of SANY’s advanced wind turbine technology, according to a statement by the Ministry of Electricity and Renewable Energy.

The Ministry is implementing a clear plan for technology transfer and is open to diverse partnership models, particularly those prioritizing the use of locally manufactured components to build a robust domestic renewable energy market, said Esmat.

The drive for localization is supported by Egypt’s massive natural resource capacity. Hassan El-Khatib, Minister of Investment and Foreign Trade, noted during the World Economic Forum (WEF) that Egypt possesses the potential to generate 700 to 900 gigawatts (GW) from the Western Desert alone.

To unlock this potential, Egypt is expanding cooperation in power generation while simultaneously developing  energy storage systems to ensure grid stability.

During a recent visit to China, Esmat oversaw the signing of several landmark agreements aimed at establishing a local industrial base. The first agreement is a memorandum of understanding (MoU) with TBEA to cooperate on renewable energy systems, localize the electrical power grid connection systems, and establish the first factory to produce inverters in Egypt.

The second agreement is with Cornex to establish a $200 million battery storage factory. The facility, which will rely on local industrial inputs, is set for an annual production capacity of 5 gigawatt-hours (GWh).