190 M. HOCHBERG
both technically and politically. Achieving and maintaining these interconnections can help lay the groundwork for deeper regional cooperation
and integration.
Climate Change
The impact of climate change domestically is an issue of which the Egyptian government is acutely aware. Egypt is particularly susceptible to the
adverse impacts of global warming and its consequences. Approximately
95% of Egypt’s 100 million inhabitants live in the Nile Delta and Valley,
which comprises less than 5% of the nation’s total area. Low lying deltas in
general and Egypt’s Nile Delta and Valley in particular are highly vulnerable to freshwater availability and sea-level rise associated with global
warming. Economic activity in the Nile Delta region makes up more
than 20% of Egypt’s GDP and employs more than 30% of Egyptians.
Agriculture activity in the area accounts for more than 50% of domestically produced crops, and 60% of the nation’s fisheries are also in the
vicinity. The Egyptian government has already initiated compulsory relocation of inhabitants along zones of the Nile Delta that are particularly
vulnerable. 16 As such Egypt has already begun to engage in climate adaptation to both respond to and attempt to mitigate the consequences of
climate change to stave off unforeseen domestic crises.
Development Prospects
Accordingly, the Egyptian central government has responded, advancing
market reform via regulatory and policy agendas to facilitate investment in
alternative electric generation sources. The government has been engaged
in electricity market reform for decades, yet has been advancing market
liberalization with greater haste since 2014. Through familiar frameworks
in which international investors are comfortable operating, these market
initiatives allow for augmented private sector participation in developing
power generation projects. As a result, increasing renewable generation
capacity is beginning to become operational in Egypt. In addition, the
nation has been gradually phasing out electricity subsidies to better enable
private sector participation and a financially sound and sustainable sector.
Yet the nation has a long road ahead in terms of implementing market
reforms, attracting investment, maintaining political stability, achieving
financing and integrating intermittent capacity into the electric grid, to
both technically and politically. Achieving and maintaining these interconnections can help lay the groundwork for deeper regional cooperation
and integration.
Climate Change
The impact of climate change domestically is an issue of which the Egyptian government is acutely aware. Egypt is particularly susceptible to the
adverse impacts of global warming and its consequences. Approximately
95% of Egypt’s 100 million inhabitants live in the Nile Delta and Valley,
which comprises less than 5% of the nation’s total area. Low lying deltas in
general and Egypt’s Nile Delta and Valley in particular are highly vulnerable to freshwater availability and sea-level rise associated with global
warming. Economic activity in the Nile Delta region makes up more
than 20% of Egypt’s GDP and employs more than 30% of Egyptians.
Agriculture activity in the area accounts for more than 50% of domestically produced crops, and 60% of the nation’s fisheries are also in the
vicinity. The Egyptian government has already initiated compulsory relocation of inhabitants along zones of the Nile Delta that are particularly
vulnerable. 16 As such Egypt has already begun to engage in climate adaptation to both respond to and attempt to mitigate the consequences of
climate change to stave off unforeseen domestic crises.
Development Prospects
Accordingly, the Egyptian central government has responded, advancing
market reform via regulatory and policy agendas to facilitate investment in
alternative electric generation sources. The government has been engaged
in electricity market reform for decades, yet has been advancing market
liberalization with greater haste since 2014. Through familiar frameworks
in which international investors are comfortable operating, these market
initiatives allow for augmented private sector participation in developing
power generation projects. As a result, increasing renewable generation
capacity is beginning to become operational in Egypt. In addition, the
nation has been gradually phasing out electricity subsidies to better enable
private sector participation and a financially sound and sustainable sector.
Yet the nation has a long road ahead in terms of implementing market
reforms, attracting investment, maintaining political stability, achieving
financing and integrating intermittent capacity into the electric grid, to