Egypt has made remarkable progress in its quest for energy reform, saving an impressive USD 900 million over the last 10 months through the adoption of energy efficiency measures and the reduction of gas consumption. One of the main achievements in this journey has been the notable increase in the country’s electricity grid capacity, which has more than doubled from 29,000 MW in 2014 to an astonishing 61,000 MW. This significant expansion is supported by critical infrastructure improvements, including a 390% rise in transformer stations operating at 500 kV and a 182% increase in 500 kV overhead power lines.
Efforts to diversify Egypt’s energy sources are gaining momentum with a variety of ambitious projects. Notable among these is the El Dabaa Nuclear Power Plant, which aims to contribute an additional 4.8 GW by 2029. Furthermore, plans are in place to generate substantial amounts of renewable energy: 12.4 GW from wind and 8.1 GW from solar energy, complemented by 2.4 GW from nuclear sources. Egypt has set an ambitious target to achieve 42% renewable energy in its energy mix by 2030, and an even more impressive 60% by 2040. Upcoming milestones include the launch of the Abydos 1 Solar Power Plant in December 2024, boasting a capacity of 500 MW, and the anticipated additional wind energy capacity slated for early 2025.
The modernization of Egypt’s electricity grid is ongoing, focusing on the integration of renewable energy, improving efficiency, and minimizing losses. This effort also involves strengthening regional energy partnerships, evidenced by the country’s active engagement in several electricity interconnection projects. These include partnerships with Jordan, Sudan, and Greece, and the Egypt-Saudi Arabia power linkage project, which is expected to enable the exchange of up to 3,000 MW of electricity by December 2025.
Ultimately, Egypt’s comprehensive approach to energy reform is a testament to its strategic commitment to sustainable energy growth and regional cooperation. By embracing a diverse range of energy sources and forging robust international partnerships, Egypt has laid a solid foundation for a sustainable and energy-secure future. The ongoing transformation of its energy sector promises not only to meet the country’s growing energy demands but also to position Egypt as a leader in sustainable energy within the region.
