1. Egyptian Renewable Energy Activities and Strategy
20 x '20
March 2012

2. ORGANIZATION CHART OF MINISTRY OF ELECTRICITY & ENERGY
Egyptian Electricity Holding Company
Nuclear Materials Authority
Rural Electrification Authority
Nuclear Power Plants Authority
Hydro Power Projects Execution Authority
Atomic Energy Authority
New & Renewable
Energy Authority

3. Strategic Main Goals of Electricity Sector in Egypt
Maximizing the utilization of all resources.
Promotion of the renewable energy utilization.
Promotion of Electrical Interconnection.
Improving efficiency of energy production and use, by adopting energy efficiency policies.
Environment protection by adopting suitable measures in electricity generation. 3

4. Electricity Sector In Egypt 2011 Access to Electricity more than 99 %
Installed Capacity (MW)
28860
Consumers (Million)
26.7
Access to Electricity more than 99 %

5. Installed capacity from hydro is
Hydro Power
Installed capacity from hydro is
2842 MW
The technical assessment of Assuit hydro plant 32 M.W. has been finished, and the plant is planned to be operated at 2015. 5

6. Institutional framework:
Establishing NREA (1986)
The national focal point to develop and introduce renewable energy technologies to Egypt on a commercial scale together with implementation of related energy conservation programs 6

7. Resource Assessment Egypt Wind Map, 1987
Wind Atlas of Gulf of Suez,
Wind Atlas of Egypt, 2005
In cooperation with Risoe (Denmark) & EMA
In cooperation with USAID
In cooperation with Risoe (Denmark) & EMA 7 7

8. Wind Atlas of Egypt, 2005
Egypt enjoys excellent wind regimes, particularly in the Suez Gulf where the average wind speed reaches 10.5 m/sec.
The wind energy resource is available in large regions on the Nile banks in the Eastern and Western Deserts and parts of Sinai. 8 8

9. Lands Allocation
An area of about 1228 km2 has been allocated for NREA on the Gulf of Suez Region for implementing wind energy projects either by NREA or by the private sector according to the rules approved by the Supreme Council of Energy
Area 3
Area 1
Area 2
3 areas of about 6418 km2 has been allocated for NREA on the Nile banks in the Eastern and Western Deserts for implementing wind energy projects by the private sector according to the rules approved by the Supreme Council of Energy 9

10. Large Scale Wind Farms
Since 2001, series of large scale wind farms, totaling about 500 MW, that will reach 550 MW in August 2010 in cooperation with Germany (KFW), Denmark (DANIDA), Spain and Japan (JICA).
Key Indicators:
Generated Electricity: ~ Billion kWh,
Fuel Saving: ~ 1.5 Million T.O.E.,
Emissions Reduction: ~3.8 Million T.CO2. 10

11. Solar Energy

12. Solar Atlas
The Solar Atlas was issued, and indicated that Egypt is considered as one of the sun belt countries where it is endowed with high intensity of direct solar radiation ranging between 2000 – 3200 kWh/m2/year from North to South.
The sun shine duration ranges between 9-11 h/day from North to South, with very few cloudy days. 12

13. Summary of Technical Parameters
Solar Thermal Electricity Generation
140 MW Solar thermal power plant
The 1st CSP plant is 140 MW including solar field of 20 MWe based on parabolic trough technology is under implementation.
The project starts operate commercially in June 2011
Summary of Technical Parameters 20
Capacity of solar portion (MWe) 79
Nameplate capacity of gas turbine (MWe)
76.5
Nameplate capacity of steam turbine (MWe)
852
Net electric energy (GWhe/a) 33
Solar electric energy (GWhe/a) 4%
Solar share(%)
10000
Fuel saving due to the solar portion (T.O.E / a)
20000
CO2 reduction (T/a) 13

14. Currently, the total installed capacity is about 5 MW
Photovoltaic (PV) Applications
Most of PV applications were demonstrated and field tested:
Water pumping,
Desalination,
Refrigeration,
Village electrification,
Lighting, telecommunication, and other PV applications
Some applications are all already commercialized :
Telecommunications
Remote roads lighting and billboards lighting
Remote desert small load
A project for electrification of 2 remote settlements with PV systems in Matrouh Governorate by PV systems is under implementation, in cooperation with the Italian Ministry for Environment, Land & Sea. It is planned to be operated by end of 2010.
Currently, the total installed capacity is about 5 MW
(7 local companies).

15. Egypt is a Hub for Electrical Interconnection15

16. Egypt is a Hub for Electrical Interconnection
Turkey
Spain
Europe
Eastern Arab
countries
Syria
Iraq
Lebanon
Tunisia
Morocco
Algeria
Jordan
Libya
Western Arab countries
EGYPT
Gulf Arab
Countries
Kuwait
Saudi
Arabia
Bahrain
Sudan
Emirates
Qatar
Ethiopia
African Countries
Oman 16

17. New Electricity Law
A new electricity law has been developed by the Ministry of Electricity & Energy and it is subject to the constitutional approvals.
The law has been designed to reflect the ongoing market reform as well as to strengthen the regulatory agency.
It includes articles supporting renewable energies, through encouraging private investments in renewables.
Main features of the new law
Establishment of competitive electricity market which is based on bilateral contracts and adoption of the concept of eligible customers.
Third Party Access (TPA).
Supporting renewable energies, cogeneration and power generated from secondary resources.
Supporting energy efficiency and demand side management .

18. National Strategy up to 2020
In February 2008, the Supreme Council of Energy approved an ambitious plan to:
Satisfy 20% of the generated electricity by renewable energies by 2020, including:
12% from wind energy, i.e., reaching more than 7200 MW grid-connected wind farms.
5.8% from Hydro,
2.2 % from solar energy (CSP & PV) 18 18

19. Polices of Implementing RE Strategy Governmental projects
33%
67%
Governmental projects
Possible tracks
Private investments
A policy to foster the increasing of wind energy contribution consists of two phases:
Phase 1,
Competitive Bids approach through issuing tenders internationally requesting private sector to supply power from wind energy projects for a period of 5 years.
Phase 2,
Feed-in-tariff system will be applied taking into consideration the prices achieved in phase 1. 19 19

20. Support of Egyptian Government
More than 7600 square kilometers of desert lands have been allocated for implementing future projects.
All permits for land allocation are already obtained by NREA.
EIA including Bird migration study will be prepared by NREA in cooperation with international consultant and financed by KfW.
Exempting all renewable energy equipment and spare parts from the customs duties.
Signing land use agreement.
Signing long term PPA ( 20-25) years .
Central Bank of Egypt will guarantee all financial obligations of EETC under the PPA.
The project will benefit from carbon credit .
The project company shall get license for power generation from Egyptian Electricity Regulatory Agency.

21. NREA Wind Energy Projects
200 MW
(NREA/MASDAR)
(EPs)
250 MW
(BOO)
500 MW
120 MW
(Italgen)
220 MW
(Japan)
(Spain)
40 MW
140 MW
Projects under implementation MW
Projects in the Pipeline
540MW
Projects under preparation
580MW 21 21

22. Projects under implementation by the Private Sector
Wind Energy
Projects under implementation by the Private Sector
120 MW, in cooperation with Italian Company to supply electricity for its owned factories in Egypt.
250 MW wind farm on a BOO basis in the Gulf of Suez:
1000 MW wind farm on a BOO basis in the Gulf of Suez
The prequalification documents for the 2nd competitive bid for 1000 MW wind farm, in 4 phases (4x250 MW), will be announced during the next few months. 22 22

23. Objectives of IPP/BOO Wind Program
Accelerate development to achieve 2020 renewable energy target of 12% of total energy generated
Bankable wind projects with low risk profile
Competitive kWh price – through effective international competition
Encourage local manufacturing, create Jobs, transfer of knowhow and capacity building.
Accelerate process by timely pre-development
Use best industry practice & experience 23 23

24. Steps Completed for the First 250 BOO Project
RFPQ issued in May 2009.
34 offers received in August 2009.
Short list of 10 bidders concluded
in November 2009.
The RFPQ document gave the opportunity to the bidders either to measure individually or jointly. 24 24

25. Steps Completed for the First 250 BOO Project (Cont.)
In January 2010 , a Site Measurement Framework Agreement was signed between EETC and the short listed bidders.
Nine of the short listed bidders opted to measure jointly (became 8 after the withdrawal of AES), while EDF reserved the right to measure individually.
In July 2010 Garrad Hassan was contracted to do the Joint Site Wind Measurements, which started in December 2010.
In March 2011 the company Map was contracted to do the Joint Site Topographical Studies (aerial laser scanning). 25 25

26. Experience from 250 MW Process: What attracted large, professional bidders?
Promise of 2500 MW pipeline of IPP/BOO projects;
Good long-term wind reference data at Gulf of Suez.
High quality requirements for site measurements, turbines and financials - signals serious buyer, who wants serious top quality bidders.
Low upfront costs for bidders measuring jointly; - important - even for large bidders
Pre-developed sites with prior EIA, Environmental Impact Assessments + land rights solid long-term wind reference data = Low risk 26 26

27. Experience from 250 MW Process Joint measurement program 100% popular, but…
Consensus between competitors on every step requires time, hard work & diplomatic skills to manage…

28. Solar Energy On – going Activities
NREA plan up to 2017 includes carrying out 100 MW CSP project, a study of EMPower program recommended to select Kom Ompo site to host this project.
Developing RE Master Plan (Priority is for Wind, CSP&PV).
40 MW photovoltaic (2 projects) are under preparation.
Egypt's Electricity Sector is willing to share and to be part of the regional and international initiatives concerned with the renewable energy,
Egypt is a founding member of the International Renewable Energy Agency (IRENA) and hosting the Regional Center for Renewable Energy and Energy Efficiency (RCREEE) to serve 10 countries from the Middle East and North Africa regions, focusing on three core
interrelated activities:
• RE & EE policies and strategies.
• Policies ofR&D and technology transfer.
• Publici private partnership PPP.
Excellencies,
Ladies

29. Egypt hosts The Regional Center for Renewable Energy & Energy Efficiency for the Middle East & North Africa
In cooperation with Germany, Denmark and EU.
Serving 13 Arab countries from Middle East and North Africa region.
Main Activities:
RE & EE policies & strategies.
R&D and Technology Transfer.
Public Private Partnership.
Egypt's Electricity Sector is willing to share and to be part of the regional and international initiatives concerned with the renewable energy,
Egypt is a founding member of the International Renewable Energy Agency (IRENA) and hosting the Regional Center for Renewable Energy and Energy Efficiency (RCREEE) to serve 10 countries from the Middle East and North Africa regions, focusing on three core
interrelated activities:
• RE & EE policies and strategies.
• Policies ofR&D and technology transfer.
• Publici private partnership PPP.
Excellencies,
Ladies

30. On – going Activities
NREA plan up to 2017 includes carrying out 100 MW CSP project.
Developing RE Master Plan (Priority is for Wind, CSP&PV), including a FS for 100 MW grid connected CSP in cooperation with EC & KfW.
It is planned to assign the consultant at the end of 2010 to conduct this feasibility study which will be finalized by the end of 2011.
A study of EMPower program recommended to select Kom-Ombo site to host 100 MW grid connected CSP project.
Government of Egypt requested a supporting from the world Bank to finance this project through Clean Technology Fund (CTF) loan of US$ 100 million.
The world Bank welcomed to support the Government of Egypt in financing this project.

31. Mediterranean Solar Plan
The “Union for Mediterranean” was launched on July 2008 at the Paris Summit, in purpose of strengthening regional cooperation in different fields; amongst are renewable energies through the “Mediterranean Solar Plan”.
The main objective is to reach 20 GW of new renewable energy capacities by 2020 in the region, mainly by CSP, wind and PV .
The Ministry of Electricity proposed three projects for the short term up to 2010:
200MW Wind farm
50MW CSP plant
20MW PV plant.
In addition two regional cooperation programs in the fields of CSP and Solar Cooling are proposed for the period

32. DESERTEC Initiative
In July 2009 the ‘DESERTEC Industrial Initiative’ (Dii GmbH) was launched for creating the conditions for an accelerated implementation of the DESERTEC Concept in the EU-MENA region.
The DESERTEC Industry Initiative aims to establish a framework for investments to supply the Middle East, North Africa and Europe with solar and wind power.
The long-term goal is to satisfy a substantial part of the energy needs of the Middle East and North Africa, and meet as much as 15% of Europe’s electricity demand by 2050.

33. Finally, Private Sectors are invited to share the future Egyptian plan :
Establish new conventional and renewable power plants mainly for the wind farms.
Local manufacture for the components of conventional, renewable power plants and the networks components.
Technology transfer.
Capacity Building.

34. Thank You