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24.06.2016 Seite 1 Seite 1 24.06.2016 Seite 1 Renewable Energy & Efficiency Energy open the pathway to affordable sustainable energy Presentation by Dr. Paul H. Suding, GTZ IREC Cairo 01 December 2009
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24.06.2016 Seite 2 Seite 2 Content Introduction Egypt’s past energy policy phases Business as usual implications and challneges RE & EE key are elements of sustainable energy policy Renewable energy and affordability; no conflict of objectives 01/12 /2009 Suding IREC
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24.06.2016 Seite 3 Seite 3 Egypt’s past energy policy phases 1970s until the mid 1990s: Electrification highly successful Build-up of oil production for domestic & export markets 1990 until 2005: Substitution of solid fuel with oil product (LPG) Build up of natural gas production for internal market Declining oil production Since 2005: Petroleum sector battles to maintain net-export status Massive natural gas expansion to substitute petroleum products in internal market and export Incorporation of renewables and efficiency 01/12 /2009 Suding IREC
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24.06.2016 Seite 4 Seite 401/12 /2009 Suding IREC 0 20 40 60 80 100 120 140 160 Million TOE Egypt BAU Scenario Primary Energy Consumption and Energy Production OilNatural GasNuclearWind SolarHidroDemand
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24.06.2016 Seite 5 Seite 501/12 /2009 Suding IREC
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24.06.2016 Seite 6 Seite 601/12 /2009 Suding IREC 0 5000 10000 15000 20000 25000 20072010201320162019202220252028 kT oe Sc. Inertial: Fuels imports Non energyGasolineLPGDiesel Oil
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24.06.2016 Seite 7 Seite 7 Challenges of Egypt energy policy Social dimension: Maintain affordability of access to modern energy Economic dimension: Maintain high level of security of supply Reduce risks from volatility of international markets Support modernization (competitiveness) of industry & develop energy resources for industrial and labor development Reduce financial drain & increase benefit from oil & gas Natural Resources dimension: Maintain minimum reserves level of natural gas Environment and Climate dimension Maintain low level of environment and climate impact 01/12 /2009 Suding IREC
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24.06.2016 Seite 8 Seite 8 Renewable Energy is the key factor in next phase in power sector, reduce natural gas requirements and GHG emissions, increase power export potential, Scaled up wind power already on the way Scale up grid connected solar power (CSP), plus: Provide power and heat for water desalination PV and hybrids in isolated grids Biomass and biogas - from residues, waste, sewage with cogeneration Reduce electricity demand in demand sectors Multiplication of decentralized PV Massive introduction of solar water heating & cooling (& EE & transport policy & regional integration) 01/12 /2009 Suding IREC
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24.06.2016 Seite 9 Seite 901/12 /2009 Suding IREC 0 50,000 100,000 150,000 200,000 250,000 GWh BAU Scenario: Egypt Public electricity generation HydroSolarNuclearWindCCSteamGas
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24.06.2016 Seite 10 Seite 1001/12 /2009 Suding IREC
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24.06.2016 Seite 11 Seite 11 Renewable Energy development and affordability Not a conflict of objectives, but a conflict of instruments as long as all petroleum products and natural gas are priced far below value, no level playing field for RE (RE appear too costly) in power generation and other Way out: change the instruments: low energy prices are restricted to basic energy (and public transport) access, and the incentives for efficiency and the disincentives for misappropriation, smuggling, and wasteful consumption 01/12 /2009 Suding IREC
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24.06.2016 Seite 12 Seite 12 New policy on social sustainability: Ideas Focus support on the needed Provide every Egyptian with a legal title on a share of the national oil and gas reserves: create a equilibration and social solidarity fund fund from the income; this fund is also property of every Egyptian Annual dividend and surplus in fund be used for targeted subsidy, coupons for energy or cash Elt tariffs similar to now, strong social element, but avoid subsidy of the wealthy Adjust LPG prices and emit coupon for the needed Adjust natural gas prices, similar scheme as electricity 01/12 /2009 Suding IREC
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24.06.2016 Seite 13 Seite 13 THANK YOU For more on RE in Egypt and JCEE please see our website www.jcee-eg.net 01/12 /2009 Suding IREC
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24.06.2016 Seite 14 Seite 1401/12 /2009 Suding IREC Egyptian German High Level Joint Committee for Renewable Energy, Energy Efficiency and Environmental Protection Postal Address c/o German Technical Cooperation (GTZ) GmbH 4d, El Gezirah – Street, 11211 Zamalek, Cairo, Egypt Office Address: JCEE Secretariat within in NREA compound Dr. Ibrahim Aboulnaga Street (ext of Abbas Elakad Street), Nasr City, Cairo Tel. +20 2 2270 2699, Fax +20 2 2270 2793 secretariat@jcee-eg.net www.jcee-eg.net
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