Egypt Saves USD 900 Million Through Energy Efficiency & Reforms

Egypt has saved USD 900 million over the past 10 months through energy efficiency measures and reduced gas consumption, reflecting significant progress in the country’s energy reform efforts. These initiatives have been accompanied by a marked expansion in the national electricity grid, whose capacity increased from 29,000 MW in 2014 to 61,000 MW today.

Key infrastructure developments include a 390% rise in transformer stations at 500 kV, increasing from 5 in 2014 to 23, and a 182% increase in 500 kV overhead power lines, which grew from 1,989 km to 5,610 km. In addition, four regional control centers for the national grid are under construction or undergoing upgrades.

Diversifying energy sources remains a priority, with the El Dabaa Nuclear Power Plant progressing on schedule to add 4.8 GW of capacity. By 2029, Egypt plans to generate 12.4 GW from wind energy, 8.1 GW from solar energy, and 2.4 GW from nuclear energy. Spanning 42,600 square kilometres, renewable energy projects aim to achieve 42% of the energy mix by 2030 and 60% by 2040.

Recent milestones include the December 2024 launch of the Abydos 1 Solar Power Plant in Kom Ombo, which has a capacity of 500 MW. Additional wind energy capacity is anticipated in early 2025. Efforts to modernise the electricity grid are also underway, focusing on integrating renewable energy, enhancing efficiency, and reducing losses.

Regional energy partnerships have also advanced, including electricity interconnections with Jordan, Sudan and Greece. The Egypt-Saudi Arabia power linkage project, now 71% complete, is expected to become operational by December 2025, enabling the exchange of up to 3,000 MW of electricity.