Production of towers for wind turbines in Egypt

Priority area Energy Using wind power, boosting efficiency

Energy demand in Egypt is increasing as the population continues to grow. Energy shortages, accompanied by power cuts, are a frequent occurrence. At the same time, Egypt's Red Sea coast offers ideal conditions for wind power.

In view of that, the government has adopted an ambitious plan and by 2020 intends to increase the share of renewable energy in power generation to 20 per cent.

Paving the way for the private sector

So far, the BMZ has been the number one financier of wind and hydro power projects in Egypt. Germany is also advising Egypt on necessary reforms in the energy sector and on implementing energy efficiency programmes.

Following its support for the Zafarana wind farm, which went into operation in 2008, the BMZ has financed a further wind power plant in the Gulf of al-Zayt. Its capacity is 200 megawatts, making it one of the biggest wind farms in the whole of Africa. The pioneering German development cooperation activities in the wind power sector in Egypt are seen as a means of paving the way for mobilising private sector involvement.

Dialogue platform

Under the BMZ's programme of Technical Cooperation, the Egyptian-German Joint Committee on Renewable Energy, Energy Efficiency and Environmental Protection (JCEE) has been set up. The JCEE serves as a dialogue platform, providing advice for reform projects in the energy sector. So far, topics covered by the dialogue have included the legal introduction of feed-in tariff systems for wind and solar power, the creation of a market mechanism for trading in eco-power certificates and the development of business models for the use of modern technologies.

Support is also being provided for the Cairo-based Regional Center for Renewable Energy and Energy Efficiency (RCREEE), in which 17 Arab countries are involved.