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1st German-Egyptian Symposium on Facing Egypt's Energy Transition Challenges

Lupe
Lupe

  On February 27-28, the Technische Universität Berlin hosted the 1st German-Egyptian Symposium on "Facing Egypt's Energy Transition Challenges" organized and chaired by the Energy Engineering Department of TU Berlin Campus El Gouna. The German “Energiewende” has received enormous attention worldwide as the leading model for long-term structural change in energy systems towards the sustainability goals for climate change mitigation. In particular, in Egypt, the developments in the energy sector are key to economic growth, energy security and poverty reduction goals. Acting as the German research hub in the region, the Technische Universität Berlin Campus El Gouna aimed to critically address the “Energiewende” within the Egyptian context and initiate a knowledge exchange between German, Egyptian and international experts. Esteemed speakers from Industry, Financing Institutions, Regulatory Agencies, Governmental Entities, Universities and Applied Research Institutes from Germany, Egypt, France and Cote d'Ivoire exchanged their experience on the most current challenges and potentials in sessions and panel discussions. Amongst other representatives of the Ministry of Electricity and Renewable Energy (MOERE), the Egyptian Electricity Transmission Company (EETC), the Egyptian Electricity Regulatory Agency (EgyptERA), the New and Renewable Energy Agency (NREA), the Regional Center for Renewable Energies and Energy Efficiency (RECREE), the Egyptian Gas Regolatory Agency (GasReg) were present. Topics covered in the symposium were:

  • the Diversification of the Energy Mix,
  • the Unbundling of the Egyptian Energy Market,
  • the Egypt's Potential for Power System Interconnection and Sector Coupling,
  • Egypt's Role in the International Gas Market, as well as
  • Energy Access and Sustainable Development in Egypt.
The Financial Security in a Liberalized Market was assessed in a panel discussion, between the concessions director of Orascom Construction Industries (OCI), Eng. Khaled El Degwy, a Principal Economist from the Microeconomic, Institutional and Development Impact Devision at African Development Bank Group (AfDB) from Côte d’ivoire, Yang Lui and a Seniuor Partner, Energy and Utilities Consulting from PriceWatercoopers (PwC) Middle East. The student participants had the unique option to engage with important and influencial figures in the energy sector in both Germany and Egypt to advice them on potential topics for their upcoming Master thesis’, internships and future work opportunities. The symposium was a great success, which served just as the ignition for future Energy events on campus. For information on the 2nd German-Egyptian Symposium on "Facing Egypt's Energy Transition Challenges at Campus El Gouna, signup here (https://forms.gle/jWPXr5QUvHRCtPvDA).    

Egypt's Energy Transition

Developments in the power sector are key to Egypt's economic growth, energy security and poverty decrease goals [1, 2]. There is no denying the fact, that Egypt’s energy sector has been facing major changes in the past years [3]. The installed power capacity was rapidly increased to match the rising demand while attracting foreign investments [4, 5] and the diversification of the energy mix was initiated [2, 6]. This led to an eased pressure on the sector. The gas sector was also lifted through the discovery of new gas reservoirs enabling first LNG exports after years of declining gas production and rising domestic consumption [4]. The energy subsidies are gradually being phased out and the fuel prices have led to energy-efficiency measures, coinciding with an improved power supply and fewer power outages [4]. Significant steps towards unbundling the electricity market were taken. Since the implementation of the executive regulations in 2016 for the New Electricity Law No. 87 [5], the legislative and regulatory framework is given for independent companies to take responsibility for the generation, the transmission and distribution segment [6].

In order to reach the pillars of the governmental new energy strategy of security, sustainability and governance, further development is necessary: to ensure the needed economic and technical framework e.g. to reach 42 % of power capacity by renewable energy sources by 2035 [5], to return to being a viable natural gas exporter [2, 4], to increase energy access and security in rural areas [1], to fully unbundle the electricity market [6], and to commence electrical interconnections with Arab and African countries (+EU).

 

Being a German research hub in the region, TU Berlin Campus El Gouna aims to initiate a knowledge exchange and critical discussion between German and Egyptian experts from governmental institutions, industry and research on the lessons learned from the German energy transition and shed a light on the most recent challenges and potentials in the energy sector in Egypt with the aim of future research collaborations.

 

[1]          E. R.Shouman, "International and national renewable energy for electricity with optimal cost effective for electricity in Egypt," Renewable and Sustainable Energy Reviews, vol. 77, pp. 916-923, 2017.

[2]          M. A. H. Mondal, C. R. P. Al-Riffai and H. Eldidi, "Long-term optimization of Egypt’s power sector: Policy implications," Energy, vol. 166, pp. 1063-1073, 2019.

[3]          Y. Y. Rady, M. V. Rocco, M. Serag-Eldin and E. Colombo, "Modelling for power generation sector in Developing Countries: Case of Egypt," Energy , vol. 165, pp. 198-209, 2018.

[4]          HSBC Bank Egypt S.A.E, "Sector snapshot: Opportunities in Egypt’s energy sector," 2018. [Online]. Available: www.business.hsbc.com.eg/en-gb/eg/article/sector-snapshot-opportunities-in-egypt-energy-sector.

[5]          IRENA, "Renewable Energy Outlook: Egypt," International Renewable Energy Agency, Abu Dhabi, 2018.

[6]          export.gov, "Egypt - Electrical Power Systems," 9 8 2019. [Online]. Available: www.export.gov/article.

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