May 08,2018

The National Electric Power Company (NEPCO) said on Friday that imported natural gas, through Aqaba Port, accounts for generating 93 per cent of the county’s energy needs and the rest is being produced by renewable energy, namely solar and wind.

NEPCO signed in 2014 an agreement with Shell International, under which the compnay will supply 4 million cubic metres of natural gas per day for a period of five years. Clearly this amount of natural gas is not sufficient given the fact that Jordan needs 9 million cubic metres of natural gas daily to satisfy local demand.

Renewable energy contributes to the total energy mix in the Kingdom by about 500MW, as part of a drive to reach 2,700MW of the total generation capacity of the Kingdom by 2021.

Demand for energy in Jordan is also expected to increase by 3 per cent annually. There is obviously a gap between the country’s natural gas needs and the amount being supplied by Shell International.

Hitherto, Jordan depended on Egyptian natural gas, which came to an end in 2011 when the pipeline carrying the gas was repeatedly sabotaged by terrorists.

Jordan had no choice but to look elsewhere to import urgently needed natural gas.

Jordan’s overriding national interests require it to seek energy from whatever source available at affordable cost. What is still missing in the equation though is why electricity prices to consumers keep on rising even at a time when electricity is being produced at affordable costs ever since natural gas was imported through Shell International, and more electricity is now being generated by renewable sources of energy.

http://www.jordantimes.com/opinion/editorial/rising-energy-prices