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Future Plans (Wind Strategy including Feed-in Tariffs)
  • In February 2008 the Supreme Council of Energy has set a target to have 20% of the electrical energy mix from renewable sources including hydro by the year 2020.
  • The current hydro installed capacity represents about 11% of the total generation. This percentage shall be reduced to 6% by the year 2020. Therefore, the contribution from renewable sources other than hydro shall be 14% by 2020.
  • The renewable energy strategy priority goes to wind to represent 12% of the targeted 14% of the renewable energy mix by the year 2020.
  • Electricity generation plants using renewable energies shall be established according to the following mechanisms and in line with the plants and the programs approved by the cabinet of ministers:
    1. State owned Wind Farms through NREA
    2. Competitive Bidding through the private sector
    3. Feed in Tariff through the private sector

State owned Wind Farms through NREA

NREA plans to implement wind projects with total capacities of 1120 MW. These projects will be implemented through governmental co-operation agreements as follows :

  1. Projects with capacities of 540 MW under implementation and its financing procedures were completed.
  2. 580 MW wind farms are being financed.
  3. 700 MW wind farm projects in the West Nile are under negotiation.

Competitive Bidding through private sector

Feed in Tariffs through the Private Sector


Framework for Feed-in Tariff
Comparison between the three mechanisms

In addition to the previously mentioned mechanisms, EgyptERA developed a proposal for the commercial power plants where the producer has the right to use the grid and sell electricity directly to consumers without any burdens on the EETC. The investor seeks to encourage consumers to conclude contracts with him to buy the renewable energy through this mechanism. This mechanism suites the consumers who must use higher percentage of renewable energy.
Currently, a 120 MW wind project is under development through this mechanism in co-operation with the “Italgen” Company.


As for Solar Energy
There are some  future projects in NREA’s 5- year plan (2012 - 2017) which includes:

  • A proposed Concentrator Solar Power (CSP), project with capacity of 100 MW in Kom Ombo city to be a model for governmental projects. It will take advantage of finance available in order to produce electricity to feed the national grid and meet the increasing demand for electricity
  • Photovoltaic plants with total capacity of 20 MW.
 
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