There was substantial growth in the MENA region’s solar market in. 2024, according to the latest report from MESIA.

The association’s “Solar Outlook Report 2025” provides an overview of the trends, innovations, technical advancements, challenges and opportunities of the region’s solar landscape. It projects that MENA’s solar capacity hit 24 GW (AC) in 2024, which would represent a 25% year-on-year increase.

The report said that more than 80% of this growth was concentrated in Saudi Arabia, the United Arab Emirates, and Egypt. It added that Morocco is still leading the North African market, as it has now surpassed 2 GW of total solar capacity, followed by Egypt, with Tunisia and Algeria rapidly catching up.

MESIA also noted the demand for energy storage in the MENA region is growing rapidly. It said that Saudi Arabia, Morocco, Israel, Egypt, Jordan, Oman and the UAE are key players in developing battery energy storage facilities, with more than 20 GWh of announced projects.

MESIA President Fazle Moyeen Quazi said that technologies such as next generation solar modules, energy storage systems and green hydrogen are driving efficiency and resilience in solar projects.

“As these technologies mature, they open new pathways for the region to achieve its renewable energy targets while addressing critical issues such as intermittency and grid stability,” he wrote.

The report also focuses on a notable increase in solar component manufacturing. MESIA said that solar module manufacturing in the MENA region likely exceeded 3 GW by the end of 2024, driven by production facilities in Iran, Saudi Arabia, Jordan, the UAE, Egypt and Algeria.

MESIA said the shift to local manufacturing will not only reduce the region’s reliance on imports, create jobs and encourage technological innovation, but also help it become a key player in the global solar supply chain, enhanced by its proximity to the European and sub-Saharan African markets.

“The region’s ongoing efforts to localize solar manufacturing and reduce dependence on external suppliers are crucial to the long-term success of MENA’s renewable energy strategy,” the report said. “As countries such as Morocco, Egypt and Tunisia continue to expand their solar capacities, MENA is not only meeting its energy demands but also contributing to the global clean energy transition.”

The report highlights a number of challenges for the region, including aligning policies, addressing supply chain disruptions, and investing in capacity-building initiatives like grid infrastructure. Quazi said these challenges will “require a synergic effort” from developers, industry leaders, and governments.

“As the energy transition accelerates, collaboration will be the key to unlocking the full potential of solar energy in the region,” he added.

Quazi also emphasized the role of private sector investment as a critical focus moving forward.

“The region has seen a surge in public-private partnerships, competitive solar tenders and innovative financing transactions which are accelerating the pace of renewable adoption,” he wrote. “With the global drive towards a net-zero emissions, international collaboration and capital flow into the MENA, solar sector is expected to increase creating more opportunities for local and international players.”