180917_CES-MED_National_Report_Egypt_FINAL2rev

Egypt has done a great deal from 2014 to present in order to secure a steady supply of energy, which
was in consistent shortage in 2013. Despite the rapidly increasing fuel demands, the country is starting
to face fewer challenges due to the increasing share of RE, which will reduce energy supply and secure
resources for primary energy needed for generating electricity. Although energy consumption is on the
rise due to the development in mega projects between 2014 and 2016 – an indicator for economic
growth — it imposes a significant burden on the state due to energy subsidies, which underwent a
major review in 2014 and 2016 and will gradually be reduced in six years’ span as part of the Energy
policy reforms 46 . According to the IMF, energy subsidies amounted to € 210,930 Billion (USD 237
Billion), in 2011 in the MENA region, corresponding to 8.6 per cent of GDP and 22 per cent of total
government revenues. In Egypt and Algeria, it generally amounts to 11 per cent of GDP. Nonetheless,
energy subsidies in Egypt are around € 21,735,580 Million (US$ 24,422m – an equivalent of EGP 217
Billion) forming almost 10.6 per cent of the GDP, which highlights the magnitude of possible savings 46 .
This has been progressively manifested on August 8, 2016 when the Ministerial Decree No. 364 on the
new electricity tariff was issued by MoERE.
In the same path, renewable energy resources in Egypt are abundant, which offers a major potential
for exploiting more alternative resources rather than relying merely on fossil fuels. The diversification
of resources in Egypt’s energy mix could lead to substantial economic growth. Moreover, national
policy and action plans are being implemented to promote RE and EE in all sectors.
The energy efficiency related Laws and Regulations are presented in the following paragraphs.
The Energy Efficiency Building Guideline (EEBG), which is based on international best practices was
developed in cooperation with the New Urban Communities Authority (NUCA) of the MoHUUD 47 .
Building envelope requirements for conditioned buildings in Cairo (Egyptian EE Building Code) has also
been developed 48 . Some related supporting policies are highlighted below:
Supporting Policies
• Minimum Energy Performance Standards (EPS) with a mandatory labelling for some domestic
appliances (Room AC, fridges and washing machines) have been adopted 49 ,
• Mandatory building codes have been set up with the aim to reduce the national electricity
consumption by 20 per cent by 2020, as stated in the Laws and Regulations section,
• Two building codes were announced by ministerial decree (residential buildings - 2005 and
commercial buildings - 2009) by the MoHUUD, which is in charge of the Energy Efficient Building
Codes (EEBC). Various stakeholders were involved in the process, including the Housing and
Building National Research Centre (HBRC), the New Urban Communities Authority (NUCA), the
Supreme Energy Council (SEC) and the Ministry of Electricity and Renewable Energy (MoERE). They
represent part of the governmental institutions, legal and private sector entities 48 .
Egypt’s EEBC was approved and will be reviewed every 5 years. With such legal framework in place,
Egypt now plans to consolidate the cooperation between institutions and secure enforcement of the
EEBC, but the challenge is the enforcement mechanism which is not yet operational 48 . Hence this needs
support to ensure compliance and good governance. The SEAPs (SECAPs) implementation at the local
authority could focus on EEBC projects to be presented to donors to secure funding.
Indoor and outdoor Lighting - EE
The MED-ENEC, a project funded by the EU has been dealing with the Energy Efficiency in the
construction sector in the Mediterranean. The project has established and developed guidelines and
recommendations for the MENA region in January 2015. These guidelines include Indoor lighting and
outdoor lighting; the latter encompasses the utilization of LED luminaires, also highlighted as the street
lighting of the future. These guidelines and recommendations focus on 50 :
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THIS PROJECT IS FINANCED BY THE EUROPEAN UNION AND IS IMPLEMENTED BY THE HUMAN DYNAMICS CONSORTIUM