Egypt enters the summer season with an energy system under pressure. High seasonal electricity demand and heavy reliance on gas define the landscape. Meanwhile, a persistent imbalance between domestic production and grid needs complicates the situation.
On Tuesday, June 30, Egypt finalized the last adjustments to its summer preparedness plan. Coordination between the Electricity and Petroleum Ministries drove this effort.
The timing is critical. After all, electricity demand is expected to rise by about 8% compared to last year’s record peak of 40,000 MW.
Authorities anticipate grid loads exceeding 2025 levels. Consequently, consumption continues to grow as summer temperatures intensify.
The electricity system remains exposed to marked seasonal variations. Specifically, peaks linked to cooling needs concentrate a significant share of demand.
Natural gas serves as the primary power source, representing approximately 52% of the national energy mix.
Therefore, system balance depends directly on gas availability. Cairo combines local production, imports, and flexible infrastructure to ensure grid supply.
Floating LNG regasification units enable rapid injection of imported gas into the system.
Additionally, the Damietta terminal serves as a storage point, smoothing cargo arrivals and adjusting supply to demand fluctuations.
Gas imports have increased to relieve system pressures. Since mid-May, flows from Israel have risen by 26%, reaching 1.2 billion cubic feet per day.
These volumes are directed to power plants and industrial sectors, covering needs during peak periods.
Domestic production, however, remains constrained. According to the Joint Organizations Data Initiative (JODI), production stood at 3,214 million cubic meters in April, compared to 2,190 million cubic meters of imports during the same period. Egypt, remember, became a net gas importer again in 2024.
The decline in production from the offshore Zohr field, once the backbone of its gas system, largely explains this shift.
LNG serves as a balancing variable in this context. Regasification infrastructure and the Damietta terminal receive, store, and reinject cargoes according to grid needs.
An agreement with Qatar provides for the potential delivery of up to 24 cargoes for the upcoming summer season. This mechanism complements a portfolio of contracts with several international suppliers.
Authorities also plan to add 2,200 MW of renewable capacity and 1,300 MW of battery storage.
Furthermore, power plants now consume less than 170 grams of fuel per kilowatt-hour produced.
Despite these adjustments, however, system balance still depends on imported gas availability and infrastructure capacity.
Ultimately, grid stability hinges on the simultaneous management of production, imports, and seasonal consumption peaks.