Electricity and Renewable Energy Minister Mahmoud Esmat told the Senate this week that his ministry’s work programme, along with that of affiliated companies and agencies, is based on achieving optimal economic operation, efficient resource management, improving supply during the summer season and addressing technical and commercial losses.
“We are preparing for summer 2025 by adding two new gigawatts [of electricity production] to meet demand,” said Esmat as he promised there will be no power cuts this summer.
He noted that electrical loads are increasing at an unprecedented rate. “For example, in January and February loads increased by eight per cent, despite it being winter. Last summer, loads increased by 18 per cent, which represents a real challenge that we are working hard to meet.”
Noting that electrical loads reached a peak of 37.2 gigawatts in August 2024, up from 33.8 gigawatts in 2022 and 34.2 gigawatts in 2023, a Senate study predicted that the maximum load could reach 40 gigawatts this summer.
Esmat said that while Egypt’s electricity-generation stations have a capacity of 50 gigawatts daily “the problem lies in the lack of fuel — natural gas and mazut — necessary to operate these stations.”
The Electricity Ministry is coordinating with the Petroleum Ministry to provide the fuel necessary for the operation of power generation stations and is implementing plans to expand the use of clean energy, including a strategy to boost private sector investment in green hydrogen projects.
Prime Minister Mustafa Madbouli has said the state had to import $2.5 billion worth of fuel to operate electricity plants last summer. Promising that summer 2025 will be without power cuts, he said the government is already working to secure fuel shipments and a comprehensive plan is being developed by the electricity and petroleum ministries to avoid last summer’s load shedding.
“The plan, which aims to secure the required electricity supply for households, companies and factories, requires additional funding allocations to ensure the stations operate without interruption, and some reliance on the private sector to supplement energy output,” said Madbouli.
Esmat told the Senate that the state provided the Electricity Ministry with LE90 billion in funds this year, and an additional amount of LE7 billion, but more investments are needed to meet growing demand. One solution being pursued is the expansion of renewable energy and green hydrogen projects and the localising of related industries.
“Egypt’s energy strategy aims to increase the contribution of renewable energy to reach 42 per cent in 2030 and 65 per cent in 2040,” said Esmat.
In December, the first station in Aswan’s Benban complex, Abydos 1 solar power plant, came online, with a total capacity of up to 1,500 megawatts. Benban is the largest project of its kind in Africa.
Increasing renewable energy reduces carbon emissions and the amount of natural gas used, helping to achieve environmental sustainability, which is why “we are working on integration between wind and solar energy, nuclear plants, green hydrogen and electricity interconnection projects,” said Esmat.
He pointed out that the National Energy Strategy aims to position Egypt as a regional hub connecting Africa, Europe and the Middle East, leveraging its strategic location and infrastructure facilities, and cited existing electricity interconnection projects with Libya and Jordan, and an ongoing project with Saudi Arabia expected to launch next summer.
“This ambitious project is 68 per cent complete and is expected to be finished by July to help meet demand for electricity during the hot summer months and avoid power outages through exchanging loads during peak hours,” said Esmat.
Egypt’s Dabaa Nuclear Power Plant is also proceeding to plan. According to Esmat, it is 30 per cent complete.
Comparing the Dabaa nuclear plant to the High Dam in Aswan, Esmat noted it has been designed to generate 3.6 gigawatts by 2029, and 4.8 gigawatts when the plant’s four nuclear reactors are fully operational in 2030.
Esmat told senators that the Dabaa project will reduce reliance on natural gas and enhance energy security in Egypt.
“The project used the most advanced technology. Egyptian engineers and technicians have received intensive training in Russia to operate the most up-to-date kind of nuclear reactors,” said Esmat.
* A version of this article appears in print in the 13 March, 2025 edition of Al-Ahram Weekly
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