Wind Energy in the Southern Mediterranean,The Case of Egypt

Eng. Bothayna RashedGeneral Manager,

New & Renewable Energy Authority (NREA), Cairowww.nrea.gov.eg

E-mail: bothaynar@gmail.com, Tel. & Fax:+202 22713176 & 22717173

Workshop of Mediterranean Solar Plan,28 & 29 Oct. 2008 - Berlin

Arab Republic of EgyptMinistry of Electricity & Energy

Contents

Part I. Southern Mediterranean Profile

Energy Challenges.

Potentials of Wind Energy.

Wind energy deployment.

Part II. The Case of Egypt

Wind Energy Development.

Wind Energy National Strategy up to 2020.

Part III. An Egyptian Point of View Towards MSP

Facts

Prerequisites

Issues for discussed

Southern Mediterranean ProfileSouthern Mediterranean ProfileSouthern Mediterranean ProfileSouthern Mediterranean Profile

Countries: Algeria, Egypt, Israel, Jordan, Lebanon, Libya, Mauritania, Morocco, Palestine Territories, Syria, & Tunisia.

Total Area: about 7.8 Mio. km2

Population: about 197 Mio.

Ave. Pop. Growth rate: 1.7%

Energy Resources: Oil, Natural Gas, Hydro, Wind & Solar & biomass,

Source: CIA Fact book website

Key Indicators of Key Indicators of Key Indicators of Key Indicators of SMCsSMCsSMCsSMCs

* No available data for Palestine and Mauritania Source: Key World Energy Statistics, IEA, 2006

International Energy Annual, 2004, DOECIA Factbook website.

1742

29493

8204

9548

3860

4.37

5508

1164

OECD

0.960.880.990.383.171.521.23.050.781.02TPES/pop (toe/capita)

1.71.032.31.642.411.232.491.181.871.31Pop Growth rate%

19.05

152

6808

46.28

1.71

20.7

6.8

Israel

1.99

70.91

1157

11.5

6.8

8.7

10

Tunis.

(11.1)

61.65

1317

24.48

29.5

18.4

18

Syria

10.6

118.1

595

17.73

0.66

11.5

32

Moro.

185.985.743.545.97232Population (Mio)

(173)(67.1)5.186.73(6.13)(132.3)Net Imports (Mtoe)

956.233.71923.44281196.4GDP ppp (bil2000US$)

13252520249915751215812Elec. Cons/Pop (kWh/capita)

246.4714.468.858.5788.326.3Elec. Consumption

(TWh)

354.9785.380.230.2964.7165.7Energy production (Mtoe)

179.2218.25.46.5256.932.9TPES (Mtoe)

TotalLibyaLeban.JordanEgyptAlgeriaCountry*

Energy Challenges Facing Southern Mediterranean Energy Challenges Facing Southern Mediterranean Energy Challenges Facing Southern Mediterranean Energy Challenges Facing Southern Mediterranean

Countries (Countries (Countries (Countries (SMCsSMCsSMCsSMCs))))

Uneven distribution of fossil fuel energy resources over the region.

Dramatic fluctuations in the international energy prices and markets, particularly for oil.

Lack of technology transfer and capacity building.

Modest investments in R&D related to energy aspects.

Limited FDIs and marginal role for national private sector.

National energy market distortion at different scales in some countries due to energy subsidies.

Increasing electric energy demand due to socio-economic development.

Securing electricity supply on sustainable basis represents a burden on macro and micro levels.

RE can play a remarkable role in this respect, whereas Hydropower, Solar, Wind and Biomass are the most available RE resources.

The potentials of large

scale wind power are

concentrated in some of

the coastal areas and

other internal parts of the

Southern side.

Potentials of Wind Energy in the Southern Mediterranean sidePotentials of Wind Energy in the Southern Mediterranean sidePotentials of Wind Energy in the Southern Mediterranean sidePotentials of Wind Energy in the Southern Mediterranean side

Annual Average Wind Speed at 80 m above ground level in m/s

Source: ECMWF, ISET

DLR- MED CSP study

source: AfriWEA

Wind Energy Potentials (cont.)Wind Energy Potentials (cont.)Wind Energy Potentials (cont.)Wind Energy Potentials (cont.)

Source: DOE, USA

Examples of Examples of Examples of Examples of

ssssome High

potential sites

Wind Energy in the Southern Mediterranean sideWind Energy in the Southern Mediterranean sideWind Energy in the Southern Mediterranean sideWind Energy in the Southern Mediterranean side

Currently, 548 MW of wind farms are installed in the Region, Compared with about 100 GW world wide. Egypt; 340

Morocco; 174

Tunisia; 20Jordan; 3

Israel; 11

Egypt Morocco Tunisia Jordan Israel

s

Plans of wind energy in the SMCs:

- Morocco: 1000MW by 2012

- Algeria: Interested, NA

- Tunisia: 120MW by 2009

- Libya: 120 MW 2010

- Jordan: 30-40 MW by 2009, 180-380 MW are planned

- Syria: 120MW by 2010

- Lebanon: NA

- Palestine: NA

- Israel: NA

Source: Global Wind Energy Council GWEC Feb. 2008

Source: RCREEE, MED-EMIP, NERC

Wind Energy DeploymentWind Energy DeploymentWind Energy DeploymentWind Energy Deployment

Wind energy utilization has not yet been boomed in the Southern Mediterranean side, due to:

Dependence on imported equipment.

Lack of national plans for technology transfer.

Absence of the strategic planning towards the relevant R&D.

Inadequate interest towards the technical education.

The role of the private sector in such business is marginal.

Ineffective sub-regional and regional cooperation in terms of manufacturing/assembling the components of RE equipment and facilitating the movement of the capitals and profits,

hence the wind market is still weak.

Electricity Accessibility:

98% of Egyptian Population

The Case of EgyptThe Case of EgyptThe Case of EgyptThe Case of Egypt

140 MW solar thermal power plant

340 MW wind farms

2783 MW Hydro power plants

Wind Energy Development in EgyptWind Energy Development in EgyptWind Energy Development in EgyptWind Energy Development in Egypt

Developing wind energy program is based on :

Setting up the concerned national institutional frame work.

Bilateral and international cooperation.

Securing funds for the projects (national resources, grants and soft loans).

Building the national capacity in the field.

Conducting extensive wind resource assessment.

Resource AssessmentResource AssessmentResource AssessmentResource Assessment

Wind Atlas of

Egypt, 2005Wind Atlas of Gulf

of Suez, 2003

The program has passed through 3 phases since 1988.

i) Pilot ph.: small scale projects:

* 400 KW wind project to serve an Oil Co. at Gulf of Suez).

* 400 KW wind farm at Hurghada on the Red Sea coast (some components were locally manufactured).

ii) Demo ph.: limited commercial projects:

* 5.2 MW wind farm project at Hurghada (some components were locally manufactured).

Wind Energy ProgramWind Energy ProgramWind Energy ProgramWind Energy Program

Danish WT

Stall regulated

Tubular tower100 KW

Danish WTStall regulatedLattice tower

300 KW

German WTPitch regulated

Tubular tower100 KW

Wind Energy Projects Wind Energy Projects Wind Energy Projects Wind Energy Projects

iii) Large scale grid connected projects:

Presently, 335 MW wind farm at Zafarana site (451 turbines) on the Gulf of Suez is operative into stages starting from 2001.

The farm is generating about 1100 GWh/a, saving about 260,000 T.O.E., and avoiding about 650,000 T.CO2.

2x120 MW wind farms at Zafarana are in different phases of implementation to be operative by mid of 2009 and 2010 respectively.

420 MW projects at Al Zayt Gulf area on Gulf of Suez, are in the phase of studies. 300 MW projects at Al Zayt Gulf are in the pipeline.

120 MW private investments project at Al Zayt Gulf is in the phase of environmental studies.

Evolution of wind energyEvolution of wind energyEvolution of wind energyEvolution of wind energy

5

68 68

98

145 145

230

310

340

0

50

100

150

200

250

300

350

MW

2000 2001 2002 2003 2004 2005 2006 2007 Oct.

2008

Year

Recently, the Supreme Council of Energy in Egypt has approved anambitious plan to:

Satisfy 20% of the generated electricity by RE by 2020,

Out of which is 12% contribution from wind energy (about 7200 MW)

grid-connected wind farms,

Accordingly, about 600 MW will be implemented annually .

The plan is open for private investments, through competitive bidding as a 1st ph., to be followed by feed-in-tariff, taking into consideration

the prices achieved in ph. 1.

Wind Energy National Strategy up to 2020

I. On the national level

Resource assessment studies (wind atlas etc.).

Governmental support.

Establishing the institutional framework (NREA).

Setting up national RE strategy over a long term.

Supporting regulatory framework (long PPA, regulations, tax reduction, exemption, etc.).

Well trained staff.

Leveling the ground for private sector participation and attracting FDIs.

Egypt' Case, Lessons Learnt

II. On the international level

A positive role for international institutions (GEF, UNEP, WB).

Strong bilateral cooperation (KfW, Danida,).

Facilitating technology transfer.

Strengthening the regional and international cooperation (RCREEE).

Technical and financial assistance for the developing countries.

Egypt' Case, Lessons Learnt

An Egyptian Point of View Towards MSP

Facts SMCs enjoy huge potentials of solar energy as well as remarkable potentials of wind energy,

Relevant technologies are matured and well known,

RE power projects are expensive,

The political coverage for MSP is existing,

But, the Road Map to go beyond further is ..?

Prerequisites

An implementing structure and mechanism to keep the momentum of MSP(e.g. Secretariat, Executive Committee, Task Forces, Focal Points, ..).

Financing modalities are indispensable.

A continuous dialogue between the EU-SMCs would be an added value in terms of identifying the priorities, needs, roles, means and action plans.

Conditions/criteria for projects selection in terms of technologies, sizes,

sites, objectives, beneficiaries, financing schemes, etc.).

Export of RE power to EU (EU tariffs for RE generated electricity form SMCs based on transnational feed in laws).

The required infrastructure ( Grid connection and TL capacities).

Coordination, interpretation and transparency between parties.

Cooperation with existing bodies (e.g. RCREEE) and coordination between initiatives (GMI-CSP, Empower, MSP/UFM,).

Facilitating development and technology transfer to SMCs.

Roles of EU, national Governments, project developers, private sector, industry, CDM/Green certificates.

Specific Issues for Comprehensive Discussions

Mediterranean Basin Interconnection

EgyptLibya

Tunisia

Algeria

Morocco

Spain

Mediterranean Sea

500kV400 kV220 kV

Lebanon

Iraq

Jordan

Syria

turkey

Greece

Italy

Sicily

France

Regional Interconnections

To KSA

To Sudan