Coal punted as 'possible solution' to Egypt's power challenges
COST ADVANTAGE A major positive factor in the likely growth of coal use in Egypt’s energy mix relates to the fact that it is a low cost source of electricity production
Photo by Bloomberg
With Egypt’s energy consumption increasing at about 7% a year, along with its low crude oil and gas production rates, coal-fired power generation is increasingly being touted as a possible solution to the country’s electricity challenges, says Egyptian commodities trader Protrade MD Afifi Afifi.
He says that a major positive factor in the likely growth of its use in Egypt’s energy mix relates to the fact that it is a low-cost source of electricity production.
Afifi points out that, currently, Egypt produces 32 000 MW of electricity, primarily from oil and gas sources. However, he notes that demand is expected to double over the next ten years, reaching 60 000 MW by 2026.
“The Egyptian government plans to add between 15 000 MW and 18 000 MW of electricity from coal-fired power plants over the next decade,” Afifi states.
He comments that a number of these coal-fired power stations are currently under construction, including a 2 400 MW and a 3 200 MW power station, both in Hamrawein; a 2 200 MW power plant, in Ras Gharib; a 2 400 MW power plant, in Altour, a 2 400 MW power station, in Kafr Elsheikh and a 2 400 MW power plant, in Egypt’s northern coastal territory. Afifi also highlights that each of these power plants will have their own port and handling facilities.
He adds that amendments to Egypt’s environmental laws are required to include more clear measures and regulations, particularly regarding carbon capture and storage, if the industry is to reach its full potential in the country.
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