Egypt Speeds Up Solar Energy Expansion Amid Rising Power Demand

Egypt is accelerating its transition toward solar energy as rising electricity demand and higher global fuel and shipping costs increase pressure on the country’s power sector.

President Abdel Fattah al-Sisi has directed the government to expand the use of renewable energy in homes, factories and commercial facilities through rooftop solar systems, aiming to ease pressure on the national grid and reduce reliance on conventional fuels.

Electricity Minister Mahmoud Esmat said Egypt is targeting renewable energy to account for 45% of its electricity mix by 2028, supported by projects exceeding 30 gigawatts of solar and wind capacity.

The Ministry of Electricity has introduced incentives to encourage solar adoption, including simplified procedures for small-scale installations and expanded net-metering systems that allow consumers to feed excess electricity back into the national grid.

“Citizens can now install solar power stations without complicated restrictions,” Electricity Ministry spokesperson Mansour Abdel Ghani said, noting that projects below 500 kilowatts no longer require licences and only need coordination with electricity distribution companies.

He noted that the cost of installing a solar system for a six-storey residential building could reach around 1.2 million Egyptian pounds, depending on consumption levels and system capacity.

Ahmed Mohina, head of strategic planning at the ministry, said authorities had launched an online platform allowing citizens to access approved solar companies and review installation and grid-connection procedures.

“Approved companies provide guarantees of up to 25 years on solar panels, alongside financing programmes offered by banks to ease the initial financial burden,” Ahmed Mohina said.

Demand for solar systems has risen sharply in recent months, driving up panel prices amid continued global import and shipping pressures. Officials said the market is increasingly expanding beyond large tourism projects and luxury homes to include residential buildings, factories, farms and commercial facilities.