Recent COP host Egypt cuts renewable energy target by a third

Cut to green power target effectively pushes back its ambitions in sector by over a decade

Karim Badawi, Egypt’s Minister of Petroleum.
Karim Badawi, Egypt’s Minister of Petroleum.Photo: Egypt Ministry of Petroleum

Recent COP climate summit host Egypt has cut the amount of electricity it plans to generate from renewables in 2040 by almost a third, pivoting back to a focus on natural gas.

Petroleum Minister Karim Badawi announced the news during the opening of the Mediterranean Energy Conference 2024 on Sunday.

Egypt hosted the COP27 climate summit in 2022 in Sharm El Sheikh, pledging at that time to raise renewable energy production to 42% of its energy mix by 2035. It later pushed that target forward to 2030.

In June last year, the government announced a target of renewables meeting 58% of Egypt’s energy mix by 2040.

But Badawi, who was appointed as petroleum minister in July, said the 2040 target has now been cut to 40%, less ambitious even than its previous 2030 target.

The International Energy Agency reports that, as of 2022, Egypt generated 80% of its power from natural gas. Little over 10% came from renewables, most of which was hydropower.

“This is a message to all of us to work together to increase discoveries and attract more investments through the bids being offered for exploration, aiming to achieve new discoveries in the region, which holds more wealth, particularly natural gas,” Badawi is quoted as saying by Reuters.

Egypt is now intent on encouraging upstream investments due to a shortfall in domestic gas supplies needed to meet local power demand, with another aim to increase government revenues.

Badawi has said his ministry wants Egypt to boost exports of petroleum commodities to $8.6bn annually.

Egypt is nevertheless home to several huge onshore wind projects, with the UAE’s green energy developer Masdar pushing forward with plans for a 10GW development that would be Africa’s largest and one of the biggest planned in the world.
The government has also designated land to French utility Engie to develop a 3GW onshore wind farm.
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Published 21 October 2024, 11:37Updated 21 October 2024, 11:37
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