Jordan’s Energy Strategies: Past Lessons, Present Actions, and a Sustainable Future

Jordan’s Energy Strategies: Past Lessons, Present Actions, and a Sustainable Future

In a land blessed with history but challenged by scarcity of energy resources, Jordan has long walked a precarious path in its quest for energy security. With minimal domestic energy sources, the Kingdom has faced the persistent challenge of powering its development while navigating the turbulent waters of regional politics. This is the story of Jordan's remarkable energy transformation—a tale of resilience, innovation, and vision in the face of adversity.

The Burden of Dependency

For generations, Jordan stood at the mercy of external powers for its energy needs. Before the new millennium, the Kingdom relied heavily on imported fossil fuels, with over 90% of its energy requirements met through arrangements with neighboring nations.

The 1990s presented a period of relative stability, as Jordan benefited from preferential oil imports from Iraq. The geographical proximity and strong social bonds between the two nations created what seemed like a dependable arrangement. Yet, the foundations of this strategy were built on shifting sands.

The winds of change blew harshly in 2003. The American invasion of Iraq shattered Jordan's primary energy lifeline, forcing the Kingdom to venture into the unpredictable open market. Energy costs soared, sending shockwaves through every sector of Jordan's economy and touching the daily lives of its citizens.

This bitter experience served as both a warning and a catalyst. From the ashes of crisis emerged Jordan's first comprehensive National Energy Strategy (2007-2020)—a blueprint not merely for survival but for transformation.

When One Door Closes...

The path forward was neither straight nor smooth. Even as Jordan worked to diversify its energy sources, regional instability continued to undermine its efforts. The Arab Spring of 2011 brought with it repeated attacks on the Egyptian gas pipeline, further exposing the vulnerability of import-dependent strategies.

In response, Jordan embarked on ambitious infrastructure projects:

  • The construction of an impressive Liquefied Natural Gas (LNG) Terminal at Aqaba Port

  • The acquisition of a floating storage and regasification unit for natural gas

  • The development of large-scale petroleum storage facilities

These initiatives represented more than mere technical solutions, they embodied Jordan's determination to secure its energy future, regardless of cost.

Renewables Share of Electricity Generations, Jordan 2023

Meanwhile, as traditional energy pathways proved unreliable, Jordan discovered a new frontier. With the enactment of the Renewable Energy Law in 2012, the Kingdom began to harness its abundant natural gifts: sun and wind. By the close of 2023, renewable energy contributed an impressive 31% of electricity generation and 14% of the total energy mix. Additionally, Jordan's first oil shale project achieved commercial operation in 2020, with a capacity of 470 kW developed across two phases.

The Green Revolution Takes Root

The past decade has witnessed Jordan's transformation from energy dependent to renewable pioneer. The National Energy Strategy (2020-2030) reflects not just practical necessity but a profound commitment to sustainability, security, and economic prosperity.

This vision has materialized through remarkable government initiatives:

Solar Power Expansion:

  • Implementation of multiple rounds of direct proposal projects

  • Strategic commercial initiatives serving large-scale consumers, regular consumers, and households

  • A total installed solar capacity reaching approximately 2,600 MW

Wind Energy Development:

  • Multiple phases of direct proposal projects

  • Installed wind power capacity of approximately 650 MW

Natural Gas Infrastructure:

  • A state-of-the-art LNG terminal in Aqaba with a daily capacity of 490 million cubic feet

  • Expanded northern gas pipelines and distribution networks serving major industries

Energy Efficiency Programs:

  • A comprehensive Government Building Energy Efficiency Program targeting 30% consumption reduction by 2030

  • Support mechanisms for small and medium enterprises to reduce industrial energy waste by 20%

Charting the Course Ahead

Today, Jordan stands at the threshold of a new era. No longer content to merely address its energy challenges, the Kingdom aspires to lead the region in renewable energy and green technology. The National Energy Strategy (2020-2030) sets forth a bold vision:

Renewable Energy Dominance:

  • Achieving 50% renewable energy contribution by 2030

  • Launching advanced solar and wind projects

  • Investing in cutting-edge energy storage technologies

  • Developing infrastructure that encourages widespread adoption

Green Hydrogen Revolution:

  • Implementing pioneering green hydrogen production using solar and wind energy

  • Attracting substantial investments for hydrogen infrastructure

  • Building production facilities for both domestic use and export

Regional Energy Integration:

  • Expanding electricity interconnections with Iraq, Egypt, Saudi Arabia, and Syria

  • Exporting surplus renewable energy to neighboring markets

  • Constructing modern power conversion stations for international grid integration

Technological Innovation:

  • Investing in smart grid technologies

  • Utilizing artificial intelligence and big data analytics

  • Fostering research and development in advanced energy solutions

A Beacon in the Desert

Despite ongoing financial constraints and the high costs of energy storage, Jordan steadily advances toward energy independence. Through strategic planning and technological innovation, the Kingdom is actively reshaping its energy future. Jordan's transformation from vulnerable importer to regional renewable energy leader demonstrates how necessity can drive meaningful change, even amid challenging regional circumstances.

 

About the Author

Basma Al Shatti is a distinguished industrial engineer and energy expert with more than 22 years of experience in strategic planning, project management, and energy development. Her significant contributions to implementing renewable energy and efficiency projects in Jordan, particularly through her work at the Jordan Renewable Energy and Energy Efficiency Fund (JREEEF) under the Ministry of Energy and Mineral Resources, have helped shape the Kingdom's sustainable energy landscape.

Throughout her illustrious career, Basma has successfully managed numerous large-scale initiatives, from solar energy installations for municipalities to energy efficiency measures in healthcare facilities. She holds multiple professional certifications in energy management, procurement, and strategic planning, and actively participates in several industry associations. Her unwavering commitment to sustainable development continues to drive impactful projects across Jordan's renewable energy sector.

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