Cairo: Minister of Electricity and Renewable Energy Mahmoud Esmat asserted that the state is implementing a comprehensive plan to develop the electricity sector and improve energy efficiency, ensuring service sustainability and addressing the steadily rising demand for power.
According to State Information Service Egypt, these remarks came during a press conference held on Saturday by Prime Minister Moustafa Madbouli, with the presence of Finance Minister Ahmed Kouchouk, Minister of State for Information Diaa Rashwan, Minister of Planning Ahmed Rostom, and Minister of Petroleum and Mineral Resources Karim Badawi. Esmat noted that the expansion of infrastructure, including the construction of 33 new substations at 220 kV and 66 kV, along with 10,000 kilometers of transmission lines, naturally leads to some technical losses. However, the ministry succeeded in significantly reducing loss rates.
He explained that losses previously reached as high as 30-40% in some areas but have now declined considerably. The highest rate currently recorded among electricity distribution companies stands at around 18%, including roughly 10% technical losses, with some companies achieving rates below 12%. The minister added that the rollout of smart meters has improved billing efficiency and reduced losses.
Esmat also highlighted stricter legal measures to combat electricity theft, including a draft law before Parliament to impose tougher penalties, as well as blacklisting non-compliant entities and restricting their access to certain services. These steps have helped reduce overall losses by more than 16% over the past two years.
Esmat asserted that electricity demand has recorded a real increase of 7%, while efforts are underway to improve energy efficiency and curb consumption, alongside initiatives by the petroleum sector to boost production. He noted that the government has allocated substantial funding to support the electricity sector and expand reliance on renewable energy.
He further revealed that investments dedicated to connecting renewable energy capacities to the national grid reached EGP 160 billion, in line with state directives to achieve a balanced and cost-effective energy mix.