Egypt could source 53% of power from renewables by 2030 - IRENA

Egypt could increase the share of renewables in its electricity mix to 53% by 2030, according to a report by the International Renewable Energy Agency (IRENA).

When taking into account renewable power, heat and fuels, renewable energy could provide 22% of the country's total final energy supply in 2030, compared to 5% in 2014.

IRENA said that while this would require increased investments, Egypt's energy bill would be reduced by USD 900 million (EUR 783m) annually in 2030, representing a cost reduction of USD 7 per MWh. There will be also health benefits from reduced air pollution.

Egypt's current targets are for renewables to provide 20% of the electricity mix by 2022 and 42% by 2035.

To meet the higher proposed targets annual investments in renewables would need to increase to USD 6.5 billion from USD 2.5 billion under existing policies.

To take advantage of Egypt's abundant renewable energy resources, the report recommends periodical re-evaluation of the long-term energy strategy to reflect technology advances and falling costs in renewable energy.

Egypt currently has 3.7 GW of renewables capacity, including 2.8 GW of hydropower and around 0.9 GW of solar and wind power.

"This analysis offers the Egyptian energy sector a roadmap, building on current ambitions and plans, to enhance our position as an energy hub connecting Europe, Asia and Africa," said Mohamed Shaker, Egypt's Minister of Electricity and Renewable Energy.

The report, Egypt Renewable Energy Outlook, was launched at a conference in Cairo on Tuesday.

(USD 1 = EUR 0.870)

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