Amman, Jan 12 (Petra) — The energy sector achieved JD90 million in cost reductions during 2024, driven by generation efficiency improvements, distribution network optimization, and the replacement of floating power units with fixed installations, the Ministry of Energy and Mineral Resources reported Sunday.
The savings emerged from multiple streams including self-generation fees, enhanced distribution company performance, reduced network losses, and the strategic shift from floating to fixed power generation units in addition to mining revenues from Al-Attarat and savings from retired unit acquisitions.
In the natural gas sector, the Risha field boosted production to 55 million cubic feet while smart meter deployment reached 63.9% nationwide. Network losses in power transmission and distribution dropped to 11.5%, with energy intensity reaching 214 kg oil equivalent per $1,000 of Gross Domestic Product at constant prices. Renewable energy now accounts for 27% of total power generation.
The ministry’s green hydrogen initiatives gained significant traction, signing 13 memoranda of understanding with project developers. Nine companies submitted technical feasibility studies, while land-use agreements were finalized with Jordan Green Ammonia and Fortescue Future Industries.
In a significant development for regional power integration, the first phase of electricity exports to Iraq’s Rutba region achieved 40MW capacity. The second phase interconnection is scheduled for completion in April 2025. Two industrial clusters were connected to natural gas networks, contributing to a 21% reduction in power generation carbon emissions.
The ministry expanded natural gas infrastructure to industrial zones in Qastal, Amman and Hashemiya, Zarqa. Five contractors submitted bids for extending natural gas connections to Rawda and Muwaqqar industrial cities. A strategic 10-year lease-to-own agreement was secured with BW LNG for the BW Everett floating LNG vessel in Aqaba Gulf.
Oil and gas exploration opportunities remain active in the Sarhan and West Safawi regions. The Saudi company Arkas won the tender for 3D seismic surveys covering 4,285 square kilometers in the Jafr area. UAE’s ADNOC is set to drill two wells in the Sarhan field development project.
The residential solar heating program demonstrated strong uptake, with 3,487 systems installed and an additional 1,265 units provided to low-income households. A new phase launched offering 30% subsidies for residential solar installations. Through an Italian government grant, 33 public hospitals will receive solar thermal systems during 2025-2027.
In the mining sector, fourteen priority initiatives advanced under the national mineral resources investment promotion program. The ministry completed the Silica Sand-1 upgrade project and enacted new regulations governing petroleum, oil shale, coal, and strategic minerals exploitation.
The reforms align with Jordan’s Economic Modernization Vision 2023-2025, emphasizing clean energy transition, environmental sustainability, and regional power integration while targeting cost reductions to enhance economic competitiveness.
//Petra// AA
12/01/2025 13:39:11
