Egypt and the whole MENA region
have tremendous potential for the use of renewable energy
technologies especially wind and solar power generation.
Egypt's energy market is expected to grow by 7-8% annually
until 2010. Almost all the solar, wind and biomass
technologies and applications have been demonstrated and
field-tested in Egypt.
4.1. Wind energy
Wind energy is the most developed
type of renewable energy resources in Egypt, where the phase
of demonstration and pilot projects has already been
surpassed. The wind atlas for the Gulf of Suez finds that
the Red Sea provides especially favorable conditions for
wind parks, with an average wind speed of 10 m/s. The power
generation potential has been estimated at around 3,000 MW.
Another promising area is the desert of Oweinat, were wind
speed reaches 7 m/s.
Encouraged by this obvious potential, the first wind farm
with a capacity of 400 KW was established in Ras Ghareb on
the Red Sea coast in 1988. A second wind farm was
established in Hurghada in 1992. It was first connected to
the local distribution network of the city and later to the
national grid. In 2001, another farm was built at Zafarana
in a German, Danish and Egyptian joint venture. The second
and third extension phases with a total of 47 MW were
awarded to joint bidders Vestas Deutschland GmbH, ABB New
Ventures and Kolay Engineering. Vestas has thereafter
completed the fourth extension phase financed by a € 75
million loan from Germany's KfW Kreditinstitut für
Wiederaufbau. Plans project the generation of 850 MW from
the farm by 2010.
Further extensions of Egypt's wind farms are constantly
being negotiated. Although the delivery of wind turbines is
still controlled by a handful of multinational companies,
small and medium enterprises are needed for the construction
of towers, the establishment of control systems and the
operation and maintenance of wind energy plants.
4.2. Solar energy
The solar atlas, which NREA has
developed for Egypt, demonstrates that annual global
radiation varies between 1900-2600 kWh/rn²a, which is an
extra-ordinarily high level. Solar systems have been
deployed in Egypt for domestic water heating, industrial
process heat applications and agricultural drying. Six local
manufacturers are active in components and systems
production and installation. As to solar thermal electricity
generation, the NREA initiated a program for Bulk Renewable
Energy Electricity Production (BREEP) in 1994. The first
solar thermal electricity plant in Korimat, financed by the
World Bank's Environmental Facility Operational Program, is
expected to generate 150 megawatts by 2008. The government
promotes investments of this type by providing free land for
solar thermal plants.
Investment opportunities, however, lie not only in the field
of large scale power generation plants but also in locally
limited applications. Photovoltaic systems, for example, can
be used to supply isolated rural areas with electricity for
light and running water or provide air-conditioning in
remote resort towns. The higher costs of these innovative
technologies will be compensated by savings in network
construction. Another interesting application is the supply
of security fences or the lights in a sea port with solar
generated power, which protects these installations from
power outages.
4.3. Biomass energy
Several R&D activities have been
carried out mainly in the areas of biogas production, stoves
improvement and small scale grassfires. Small-scale biogas
plants with a digester volume ranging from 5 to 50 m3 have
been tested. NREA is presently utilizing its facilities for
further studies and testing activities. Consultancy by
companies experienced in biomass applications and the
provision of testing and measurement equipment are highly
welcomed.