- The data from the Joint Organizations Data Initiative (JODI) indicated that Egypt’s oil production significantly declined from its highest point in March 2021.
- Madbouly also noted that the government is currently seeking to speed up the implementation of renewable energy projects to help bridge the gap.
Data from the Joint Organizations Data Initiative (JODI) indicated that Egypt’s oil production significantly declined from its highest point in March 2021, when it produced 6,133 million m3, to 4,288 million m3 in May 2024 – a 30 per cent decrease.
According to data from the JODI, Egypt’s natural gas production fell to its lowest level since February 2018. This decline in production levels indicates that Egypt may have to withdraw from its position as a natural gas exporter and rely more on Liquefied Natural Gas (LNG) imports.
JODI is a global energy data provider coordinated by the International Energy Forum (IEF) in 2005. It aims to improve market transparency, ease the process of making well-informed decisions, improve the stability and confidence of the market, strengthen energy security, and speed up transforming into a sustainable energy future.
In June, the crisis in gas production caused major fertiliser producers to halt their operations after the suspension of natural gas supplies to factories to fuel power plants to solve the power outage crisis.
Furthermore, Prime Minister Mostafa Madbouly stated on Saturday that the country’s daily electricity consumption exceeded 37 gigawatts, a 12 percent increase from the previous year, causing a deficit of 4 gigawatts.
Madbouly also noted that the government is currently seeking to speed up the implementation of renewable energy projects to help bridge the gap and decrease energy imports. The government plans to obtain 58 per cent of its electricity needs from renewable sources instead of 20 per cent.
Similarly, Egypt has signed seven Memoranda of Understanding (MoUs) with international developers to establish green hydrogen and renewable technology projects worth $40 billion.
According to the World Economic Forum, these projects will be in the Suez Canal Economic Zone (SCZONE). Moreover, the government has decided to end the electricity outage starting Sunday after the EU approved a $57 billion financing package.
Egypt also announced on July 22 that it received five shipments of Liquefied Natural Gas (LNG) out of 21 contracted in June. These shipments should provide the fuel for power plants, solve Egypt’s natural gas crisis, and end the load-shedding program.