Productivity Enhancement and Lean Enterprise
Inclusive Market Development Project
Facilitating Access Program
Specialized Industrial Clusters
Professor For Every Factory
Intellectual Property Rights Production
Sectoral and Technical Services Experts
Enterprise Development Programmes
 
 
  Training Programme
 
 
 
 
 
 
 
 
 
 
 
 
Energy Efficiency, Renewable Energy and Environmental Protection

Energy in Egypt

The current national energy supply mix in Egypt is:
• 95% from fossil fuel (petroleum products and natural gas)
• 5% from renewable resources (mainly hydro and wind, which is increasing gradually)

The electricity generation activity utilizes around 30% of the fossil fuel and natural gas resources in addition to all the hydro and wind energy resources. The industrial activities in Egypt consume around 40% of the overall all energy available. The average annual increase of energy use has been around 6% over the last decade . This growth is expected to continue in line with improvements in the GDP. A large number of national and international studies have showed that it is quite possible to limit the increase in energy use without having negative effects on the different production activities, as shown in the figure below..

The Energy Efficiency and Environment Protection Programme

This programme aims at reducing the specific energy consumption per unit product without any negative impact on the product quality or quantity, as well as limiting polluting emissions and identification of
possible direct uses of solar energy. To do so, IMC provides both technical and financial support to the industrial establishments through

* Performance of preliminary energy audits to identify:

  • Energy saving potential through a number of proposed energy saving applications
  • Technical and financial feasibility related to the proposed energy saving applications, which
    include:
    --Amount of potential energy savings and associated financial savings
    --Potential use of renewable energy in general and solar energy in particular.
    --Boilers & ovens tune up.
    --Determination of required investment
    --Estimated payback period and return on investment
    --Estimated amounts of pollutant reductions associated with the estimated energy savings
    --Conducting a detailed energy audit
  • Providing support to identify and activate proper financing procedures to implement the recommended
    energy saving applications, either through IMC or other means such as Clean Development
    Mechanism (CDM) or other
  • Help identify potential joint venture activities between national and international industries for the
    production of equipments with low energy consumption.

 

 

 

This is why the Government of Egypt (GOE) has set a strategy to implement a number of polices up to year 2022 to diversify energy resources and rationalize the energy needs of different activities without hindering the development plans.

Among these polices are:

  • Take executive actions to increase energy efficiency in order to reduce total energy consumption by 8.3 % by the year 2020.
  • Achieve an electricity generation mix composed of 20% renewable energy, by year 2022.
In view of all the aforementioned, the Industrial Modernization Centre (IMC) did set a program by the end of year 2007 for industrial establishments to:
  • Improve energy efficiency at the industrial establishments
  • Increase the use of renewable energy as a source of energy needs
  • Encourage industries related to the manufacturing of equipments associated with the efficient use of energy, as well as renewable energy equipments.
This matches with the general goal of IMC, mainly providing the Egyptian industries with tools for industrial improvement and achievement of better competitive edge at both local and international levels for boosting exports.

IMC has also developed, in collaboration with an international consultancy firm, a study to determine abatement levers for greenhouse gases, and to identify their positive impact on economic development in Egypt. The study has showed the existing sources of Co2 emissions and the suggested methods for reduction in the different industrial activities, particularly in cement industry.

In coordination with some national agencies and international donors, IMC currently undertake parallel activities to improve the efficiency of energy use and to attract appropriate financing for these activities.
IMC also contributes to the activities of Egyptian Energy Saving Council for Industry, which currently prepares:

• Draft laws to improve the energy efficiency, encourage the use of renewable energy and replace and
limit the use of energy consuming equipments.
• Programs for exchanging experience at the industrial level in the field of energy rationalization, with
some scientific agencies working in the field of energy efficiency.
• Coordination with the Committee on Electricity Rationalization of the Cabinet and the Supreme
Council for Energy.

The Renewable Energy and Environment Protection Programme

This programme aims at encouraging industries specialized in manufacturing equipments related to
the production of renewable energy. In addition, this programme helps facilitate energy production
from renewable energy sources in order to reduce dependency on fossil fuel as a main source of energy
as well as limiting polluting emissions. To do so, IMC provides both technical and financial support to
the industrial establishments through:

• Provide information on renewable energy sources with regard to; it's availability, current use and future estimates.
• Provide access to information available at IMC and related to the feasibility of producing energy from renewable energy resources.
• Conduct feasibility studies related to the different renewable energy resources, which include:
--Technical capabilities (modern technology, qualified human resources, locations/setting)
--Estimated pollutant reductions associated with renewable energy applications as compared to providing energy from fossil fuel resources.
--Investment needs and associated Operation and Maintenance (O&M) for renewable energy applications.
--Financial savings associated with renewable energy applications.
• Stimulating, proposing and participating in discussions related to existing and proposed procedures and logistics aiming at the production of energy from renewable sources.
• Provide technical assistance to potential energy producers from renewable energy sources, to obtain the required work licenses in accordance with the market rules for electricity in Egypt