Summary of the Jordan Energy Strategy for (2020-2030).

This Energy Strategy for the period from 2020 to 2030 is a comprehensive document aiming to achieve (i) sustainable energy security of supply and (ii) optimum utilization of natural resources by addressing challenges and changes in the political, economic, social, technological, and environmental domains. Emphasis is placed on understanding the impact and relationships between the energy sector and other energy-intensive sectors. To achieve these objectives, technical committees have been formed, involving partners from relevant authorities, and tasked with the development of the Strategy. To contribute to achieving the national goals outlined in the government’s work plan, "In the footsteps of the Renaissance," for the two years 2019–2020 which revolves around three themes - the state of law, the state of production, and the state of solidarity - the strategic goals for the energy sector have been identified as follows (i) diversifying energy sources and forms; (ii) increasing the contribution of local energy sources to the total energy mix; (iii) increasing energy efficiency utilization in all sectors; (iv) reducing energy costs for the national economy; and (v) developing the energy sector system in Jordan to make it a regional center for the exchange of energy in all its forms.
The main interventions in the document are outlined for the following sectors (i) the electric power sector, focusing on 3 main goals (1) diversifying energy sources, (2) enhancing the electrical system, and (3) ensuring the financial sustainability of the sector. To diversify, the plan is to continue using natural gas and renewable energy while increasing renewable energy's contribution from by 2030. To enhance the system, the Strategy includes expanding the network, strengthening interconnections, introducing energy storage solutions, reducing losses, and transitioning to smart grids by the end of 2022. It also aims to encourage electric vehicle use and integrate the energy and water sectors. Finally, to ensure financial sustainability, the plan involves moving to a competitive market and implementing a roadmap to reduce electricity costs for consumers; (ii) the oil sector shall be centered on diversifying crude oil sources and improving the performance of the oil byproducts sector. To diversify, the country plans to import crude oil from various sources, including the port of Aqaba, land routes, and an Iraqi pipeline. It will also work to develop the Hamza oil field and attract international investment for oil and oil shale exploration and processing. For the oil byproducts sector, the Strategy is to open the market, adopt international standards, and liberalize prices to transition from a regulated to an open market. The plan also includes building new pipelines, enhancing Jordan's role in regional oil logistics, and increasing storage capacities for oil byproducts; (iii) the aim for the natural gas sector is to diversify natural gas sources and expand its use in various sectors. The plan is to rely on existing sources to cover the Kingdom's needs until 2030, while also developing production in the Risha gas field and attracting international companies to invest in both conventional and unconventional gas exploration. The country will also maintain the option of importing liquefied natural gas (LNG) through the port of Aqaba to ensure supply security, while evaluating more cost-effective alternatives. To promote its use, the Strategy focuses on encouraging the industrial and transportation sectors to switch to natural gas to reduce emissions, and on establishing natural gas distribution networks in major cities. Finally, for improving energy efficiency, the Strategy aims to reduce energy consumption by 9% of the 2018 average by 2030. To achieve this, the plan involves updating national legislation and implementing programs across various sectors. Specific targets include improving energy efficiency in the water sector by 15% by 2025, and continuing to enhance the transportation sector by establishing express bus and railway networks. The Strategy also focuses on improving efficiency in the domestic, industrial, government, commercial, and service sectors.