For years, Africa’s renewable-energy expansion has depended heavily on equipment manufactured elsewhere. Solar panels, batteries, inverters and other technologies have largely been imported, even as demand for clean energy has grown across the continent.
That picture is beginning to change.
A new wave of investment is creating opportunities for Africa to participate more deeply in the manufacturing side of the energy transition, potentially allowing countries to capture more of the economic value generated by their rapidly expanding clean-energy markets.
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One of the most significant developments is emerging in Morocco, where the African Development Bank has approved a €100 million loan to Gotion Power Morocco for the development of an integrated lithium iron phosphate battery gigafactory in the Rabat-Salé-Kénitra Free Trade Zone. The project is expected to produce 10 gigawatt-hours of battery cells and packs in its first phase, with plans to eventually expand capacity to 100 GWh. The bank also plans to mobilise an additional €141 million from financial partners.
The project is particularly significant because battery manufacturing sits at the centre of several fast-growing industries, including electric vehicles, renewable-energy storage and industrial power systems. By developing production capacity locally, Morocco is positioning itself not simply as a consumer of clean technologies but as part of the global supply chain.
The country’s position is also strengthened by its established automotive manufacturing base and access to European markets. This creates the potential for renewable-energy manufacturing and electric-mobility industries to develop alongside one another.
Elsewhere, African countries are building large renewable-energy projects that could create demand for increasingly sophisticated domestic supply chains.
In Egypt, for example, the African Development Bank approved financing in July 2026 for the first phase of the 500 MW Dandara solar project, which includes a 100 MWh battery-storage system. The total project cost is expected to exceed $290 million.
Another major Egyptian project, the Obelisk solar development, involves a 1 GW photovoltaic plant and a 200 MWh battery-storage system. The project is expected to generate about 2,772 GWh of electricity annually once fully operational and create around 4,000 jobs during construction.
These investments demonstrate the scale of the market that African manufacturers could eventually serve.
The opportunity extends beyond assembling solar panels. A deeper industrial ecosystem could include battery components, mounting structures, cables, electrical equipment, inverters, transformers and other components required by renewable-energy projects.
That would have implications far beyond the energy sector.
Local manufacturing can create skilled employment, strengthen industrial capabilities and reduce exposure to international supply disruptions and currency fluctuations. It can also encourage technology transfer and provide African companies with opportunities to move into higher-value areas of production.
The African Continental Free Trade Area provides another important opportunity. As regional markets become more integrated, manufacturers can potentially produce in one African country and sell across multiple markets rather than being restricted to relatively small national markets. The African Development Bank notes that AfCFTA could boost intra-African industrial trade by 35.7% by 2045.
However, building competitive manufacturing industries will require more than investment announcements. Reliable electricity, efficient ports, transport infrastructure, technical skills, access to finance and predictable industrial policies will all be important.
Africa also needs to avoid replacing one form of dependence with another. The objective should not simply be to assemble imported components, but progressively develop local capabilities across the value chain.
The opportunity is considerable. Africa has some of the world’s fastest-growing energy markets, abundant renewable resources and a young workforce. If these advantages are combined with strategic industrial policies and investment, the continent could capture a larger share of the global clean-energy economy.
Africa’s renewable-energy story may therefore be entering a new phase — one in which the continent is not only installing the technologies of the energy transition, but increasingly helping to manufacture them.
