The president met with the electricity and renewable energy minister in mid-winter to review plans for securing power supply ahead of the summer peak. Egypt faces challenges in providing electricity during summer due to natural gas shortages and rising demand, with plans to add 3,000 megawatts of solar power this year. The government also relies on importing liquefied natural gas to avoid blackouts.
In mid-winter, as daily temperatures in Cairo reached 30 °C, the president met with the electricity and renewable energy minister to review plans for securing the national power supply ahead of the annual summer peak in consumption. Ensuring sufficient electricity during summer has been a major challenge for the government over the past three years, as Egypt grappled with an energy shortage that led to rolling blackouts in 2023 and 2024, sparking widespread public anger.
Last summer, the government spent vast sums of foreign currency on emergency infrastructure and reserves of liquefied natural gas (LNG) to bridge the deficit and avoid cuts. This year, the presidential spokesperson highlighted an expansion of renewable energy's role in Egypt's energy mix to close the gap.
According to Hafez al-Salamawy, former head of the Egyptian Electric Utility and Consumer Protection Regulatory Agency, the core issue lies in securing enough natural gas—the primary fuel for power generation—and funding it. The Electricity Ministry announced plans to add around 3,000 megawatts (MW) of solar power to the national grid this year, though Salamawy expects about 2,200 MW, citing four solar plants: phase one of the Obelisk plant (500 MW) has begun generating electricity recently, with phase two due in June, joined by the 1,000-MW AMEA plant and 200 MW expansions at Benban Solar Park.
These projects would increase Egypt's solar output from 2.3 gigawatts at the end of December to 4.5 gigawatts. A former Petroleum Ministry official noted that expanding renewables is the best solution amid falling domestic gas production and rising electricity use. However, projects have been slow due to a dollar shortage since the second quarter of 2022, with solar plants taking 30-36 months to operationalize.
Improved foreign currency inflows have accelerated major solar initiatives. Yet, for the coming summer, the government is likely to resort to importing over 100 LNG cargoes again, with expectations of 155-160 in 2026 at record costs. Last year, Egypt imported 140 shipments, mostly from the United States, plus pipeline gas from Israel accounting for over 70 percent of total imports, with a bill of US$7.2 billion in the first ten months.
The government secured deals: a $4 billion agreement for 80 cargoes from the US in November and 24 from Qatar early this year, with a tender planned for 75 more. Demand may ease with a nationwide price hike in July, after prices remained unchanged for nearly two years to alleviate citizens' hardship, in line with International Monetary Fund recommendations.
Electricity consumption grew by more than six percent in fiscal year 2023/24, with daily peak load reaching nearly 40 gigawatts in summer 2025—an eight percent increase over the previous year. Salamawy anticipates a slight subsidence next summer due to significant tariff increases.