AMMAN: The expansion of Jordan’s renewable energy segment has seen a marked acceleration in recent years, with nearly 1000 MW of solar and wind projects currently being implemented. These developments dovetail with a national strategy aimed at raising the share of renewables in the energy mix to 10% by 2020, equivalent to a generating capacity of some 1500 MW.
Development of renewable energy sources has become increasingly critical for Jordan in recent years, as fuel oil imports and electricity subsidies have led to financial losses for the state-owned National Electric Power Company (NEPCO). Jordan has historically imported around 97% of its energy needs at a cost of close to 18% of GDP, according to figures from the Ministry of Energy and Mineral Resources (MEMR).
Central to the kingdom’s efforts is the Green Corridor project, which is aimed at reducing dependence on hydrocarbons by increasing Jordan’s ability to absorb the loads generated by new renewable energy capacity stemming from wind and solar. The upgrades involve the construction of two new transmission lines – a 400-KV, 150-km line and a 132-KV, 51-km line – as well as upgrades to three existing 132-KV lines stretching 100 km each.
Additionally, a new 1200-MVA electricity substation will be constructed in northern Ma’an, while the stations at Qatraneh and Queen Alia International Airport will also be expanded, according to local media reports. Last year saw the $159.7m multi-component project awarded key funding.
Development is being co-financed by the French Development Agency, which has issued a $54.9m soft loan; the European Investment Bank, which is providing $72m worth of project finance; NEPCO, which has contributed $12.6m in funding; and the EU Neighbourhood Investment Facility, which has offered a grant of $20.2m. While tendering for the construction was delayed at the beginning of the year, the project is slated for completion in 2018.
