Egypt lowers 2040 renewable energy target; stays focussed on natural gas

Egypt has reduced its 2040 renewable energy target from 58% to 40%, Petroleum Minister Karim Badawi said Sunday according to Reuters. The means that natural gas will remain a central part of the country’s energy mix for the foreseeable future. Previously, Egypt pledged to achieve 42% renewable energy by 2035, later raising the goal to 58% by 2040, a goal now abandoned.

At the opening of the Mediterranean Energy Conference 2024, Badawi emphasized the need for collaboration to increase natural gas discoveries and attract investment. Egypt's reliance on fossil fuels persists as it rebuilds trust with foreign oil companies, whose local operations were impacted by a hard currency shortage.

Since taking office, Badawi has engaged with international energy firms, including Italy’s Eni, which plans to drill new wells in Egypt’s Zohr gas field by 2025. Zohr's gas production, which peaked at 3.2 billion cubic feet per day in 2019, has since declined, forcing Egypt to increase gas imports to prevent further power outages.