Egypt’s Cabinet has approved $200 million to tackle the ongoing electricity shortage crisis.
The approved commitment agreements involve the Egyptian Natural Gas Holding Company (EGAS), the Egyptian General Petroleum Corporation (EGPC), and several international and national companies.
The deals focus on exploring and exploiting natural gas and crude oil in various regions, including the North Port Fouad Offshore Area in the Mediterranean Sea, the South Nour Offshore Area in the Mediterranean Sea, and the North El-Khatatba Offshore Area in the Nile Delta.
Additionally, the agreements involve amendments to existing commitments for oil exploration, development, and exploitation in the Horus Development Area in the Western Desert and the South Dabaa Development Area.
These initiatives are crucial, as Egypt, a significant natural gas producer with an average annual production of around 60 billion cubic meters, still faces a shortfall compared to its annual demand of about 62 billion cubic meters.
In February 2008, the Supreme Council of Energy in Egypt adopted a strategy to boost renewable energy generation to 20% of the total mix by 2020. Hydropower, drawing from the Nile, is the main contributor, accounting for around 42.2% of Egypt’s sustainable energy capacity. Wind and solar energy follow, comprising approximately 28.2% and 27.7% of the total capacity, respectively.
