Egypt's President Reviews Energy Plan, Stresses Renewables and Localisation

Strategic Insights -

Egyptian President Abdel Fattah Al-Sisi has directed the government to intensify efforts to attract investment in the renewable energy sector and pursue the local manufacturing of its components. The president met with Prime Minister Mostafa Madbouly and Minister of Electricity and Renewable Energy Mahmoud Essmat to review the electricity ministry's action plan, covering the development of Egypt's energy mix, the use of renewable energy and storage batteries, and efforts to improve the national grid through electrical interconnection projects. The discussion focused on measures to improve services, including coordinating with the petroleum ministry to secure gas and fuel for power stations, as well as efforts to combat electricity theft and reduce losses in the network.

Key Takeaways:

  • The Egyptian government has been directed to intensify efforts to attract investment in the renewable energy sector, with a focus on localising the manufacturing of equipment for the electricity and renewable energy sectors.
  • The government plans to add approximately 2,000 megawatts (MW) of new capacity from renewable sources, representing investments of around $2.3bn.
  • The current installed renewable capacity totals 8,031 MW, sourced from wind, solar, and hydropower.
  • The meeting reviewed projections for renewable capacity in 2030 under the country's Integrated and Sustainable Energy Strategy, as well as the expected solar and wind capacity to be added to the grid by June 2028.
  • Major energy projects under development include the Dabaa Nuclear Power Plant, the 3,000 MW Egypt-Saudi Arabia electrical interconnection project, and the Egypt-Greece electrical interconnection.
  • President Al-Sisi stressed the need for the government to ensure a sustainable supply of electricity for the national grid, industrial sectors, and services, and to intensify work on projects aimed at raising the efficiency of the energy system.

Statistics:

  • 2,000MW of new capacity from renewable sources planned to be added, representing investments of around $2.3bn.
  • Current installed renewable capacity: 8,031 MW, sourced from wind, solar, and hydropower.
  • Expected solar and wind capacity to be added to the grid by June 2028.
  • Planned investments in the 3,000 MW Egypt-Saudi Arabia electrical interconnection project: about $1.8bn.
  • Total capacity of the national grid: to be determined by the government in 2030 under the Integrated and Sustainable Energy Strategy.

Sources:

  • A statement by the Egyptian presidency, without date.
  • Dailynewsegypt, [no date] (available online).