194 M. HOCHBERG
Egypt’s Military
The Egyptian military has played a role in the nation’s economy as an
economic manager and administrator for decades, as a means of both
reducing the defense budget by shifting costs to non-defense sectors, and
providing additional compensation and benefits to senior military officials.
Egypt’s role as an economic manager and administrator has increased
substantially since Sisi came to power in 2014; Sisi had previously spent
37 years in the Egyptian military. 22 The Egyptian military’s clout and
relevance within national economy is vast, yet does not seem to have
exercised outsized influence in promoting or resisting renewable energy.
Rather, the military tends to support infrastructure projects, including
renewable energy, that are consistent with national policy goals and global
price trends. For example, the military has awarded contracts to install
relatively small-scale solar capacity of 20 megawatts at its bases and has
been in talks with private investors to develop large-scale solar.
Brief Review of the Egypt’s
Power Sector Evolution
The history of Egypt’s power sector can be broken down into four
principal stages. The first stage of development of Egypt’s power sector
primarily involved private electric service companies. The first supply of
power on a commercial basis in Egypt began in the 1890s during Egypt’s
colonial era, under private control of Egypt’s electric service companies
via concession agreements. 23 The private sector’s control of the nation’s
power sector remained intact for seven decades. 24
The second stage of the nation’s power sector began in 1962, involving
comprehensive nationalization and a statist approach to sector management, which lasted through the mid-1990s. All generation, transmission,
and distribution assets were nationalized in 1962, largely as a result of
the Egyptian Revolution of 1952 and the nationalist and anti-imperialist
sentiment that arose thereafter. 25 In this period, all assets and activities
across the electricity sector value chain were owned and operated by the
state, and primarily administered by Egyptian Electricity Authority (EEA),
currently known as the Egyptian Electricity Holding Company (EEHC).
The third stage began in the mid-1990s. In response to pressure
from multilateral development lenders (primarily the World Bank) to
reform the sector and raise electric rates to achieve a cost-reflective tariff,
Egypt’s Military
The Egyptian military has played a role in the nation’s economy as an
economic manager and administrator for decades, as a means of both
reducing the defense budget by shifting costs to non-defense sectors, and
providing additional compensation and benefits to senior military officials.
Egypt’s role as an economic manager and administrator has increased
substantially since Sisi came to power in 2014; Sisi had previously spent
37 years in the Egyptian military. 22 The Egyptian military’s clout and
relevance within national economy is vast, yet does not seem to have
exercised outsized influence in promoting or resisting renewable energy.
Rather, the military tends to support infrastructure projects, including
renewable energy, that are consistent with national policy goals and global
price trends. For example, the military has awarded contracts to install
relatively small-scale solar capacity of 20 megawatts at its bases and has
been in talks with private investors to develop large-scale solar.
Brief Review of the Egypt’s
Power Sector Evolution
The history of Egypt’s power sector can be broken down into four
principal stages. The first stage of development of Egypt’s power sector
primarily involved private electric service companies. The first supply of
power on a commercial basis in Egypt began in the 1890s during Egypt’s
colonial era, under private control of Egypt’s electric service companies
via concession agreements. 23 The private sector’s control of the nation’s
power sector remained intact for seven decades. 24
The second stage of the nation’s power sector began in 1962, involving
comprehensive nationalization and a statist approach to sector management, which lasted through the mid-1990s. All generation, transmission,
and distribution assets were nationalized in 1962, largely as a result of
the Egyptian Revolution of 1952 and the nationalist and anti-imperialist
sentiment that arose thereafter. 25 In this period, all assets and activities
across the electricity sector value chain were owned and operated by the
state, and primarily administered by Egyptian Electricity Authority (EEA),
currently known as the Egyptian Electricity Holding Company (EEHC).
The third stage began in the mid-1990s. In response to pressure
from multilateral development lenders (primarily the World Bank) to
reform the sector and raise electric rates to achieve a cost-reflective tariff,
