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Building domestic capabilities in renewable energy: a case study of Egypt

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  • Vidican, Georgeta

Abstract

The wide availability of renewable energy sources in the Middle East and North Africa (MENA) is at the core of several large-scale European initiatives to support clean energy generation in the region and import part of it to Europe. Given the current socio-economic and political challenges in the MENA region, this goal could be realized if the renewable energy sector becomes a channel for local industrial development, private sector competitiveness and a source of employment and capacity building. Within the specific context of Egypt, this study assesses: (1) what is the potential for localizing the value chain for solar and wind technologies; (2) what institutional and political obstacles impede the domestic benefits; and (3) what policy recommendations could be proposed for national policy-makers and international cooperation agencies to support this development process. The study finds that while important local technological capabilities exist, specific policy measures need to be considered in several areas: energy subsidy reform, supply chain development, knowl­edge and R&D capabilities. Moreover, Egyptian policy-makers should disseminate a new narrative to mobilize alliances between various stakeholder groups to make renewable energy viable for Egypt.

Suggested Citation

  • Vidican, Georgeta, 2012. "Building domestic capabilities in renewable energy: a case study of Egypt," IDOS Studies, German Institute of Development and Sustainability (IDOS), volume 66, number 66, July.
    • Handle: RePEc:zbw:diestu:66
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    File URL: https://www.econstor.eu/bitstream/10419/199191/1/die-study-66.pdf
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    Cited by:

    1. Kahia, Montassar & Ben Aïssa, Mohamed Safouane & Charfeddine, Lanouar, 2016. "Impact of renewable and non-renewable energy consumption on economic growth: New evidence from the MENA Net Oil Exporting Countries (NOECs)," Energy, Elsevier, vol. 116(P1), pages 102-115.
    2. Perrihan Al-Riffai & Julian Blohmke & Clemens Breisinger & Manfred Wiebelt, 2015. "Harnessing the Sun and Wind for Economic Development? An Economy-Wide Assessment for Egypt," Sustainability, MDPI, vol. 7(6), pages 1-27, June.
    3. Kahia, Montassar & Ben Aissa, Mohamed Safouane, 2014. "Renewable and non-renewable energy consumption and economic growth: Evidence from MENA Net Oil Importing Countries," MPRA Paper 80780, University Library of Munich, Germany.

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