Virtual Launch Renewables Readiness Assessment Jordan

Jordan is a front-runner in the MENA region in terms of the pace and the scale with which it has deployed renewable energy, especially in the power sector. Renewables accounted for around 13% of total electricity generated in 2019, up from a near-zero share in 2012. The growth has been made largely possible due to strong government commitment and action to diversify the primary energy mix. To that end, renewable energy commitments were made as part of its Nationally Determined Contribution (NDCs) to the Paris Agreement. The potential for renewable energy to contribute to Jordan’s energy mix is much greater.

Jordan aims to source 31% of its electricity from renewables by 2030 and reduce its increasing dependence on fossil fuels. In its NDCs, Jordan committed to a reduction of its greenhouse gas emissions by 14% until 2030 (1.5% through its own resources and the additional 12.5% conditional to receipt of international financial aid and support). In 2018 alone, electricity generated from solar PV and wind avoided nearly 1.5m tonnes of carbon emissions. The country’s commitment and targets highlighted in the Energy Strategy will be communicated in the upcoming revised NDC submission.

Despite the recent reforms to encourage the involvement of the private sector and accelerate the realization of national objectives, there are several barriers that continue to hold back an accelerated renewables deployment. The Renewables Readiness Assessment (RRA) Report for Jordan developed in coordination with the Ministry of Energy, Mines and Mineral Resources (MEMR), identifies short-and medium-term actions to guide the formation of new policies or the reform of existing ones, thus opening a stronger enabling environment for renewable energy. The RRA also consolidates existing efforts and mobilizes resources for priority actions.

Importantly, the assessment finds that through strengthening linkages to energy efficiency, reinforcing transmission and distribution infrastructure capacity, developing local industry, diversifying energy use in transport, building capacity of both local financing institutions and project developers will unlock further investment in the sector and reinforce Jordan’s renewable energy targets.  To diversify Jordan’s energy mix, reduce reliance on imports and bring down energy costs, renewables in non-power end-use sectors – heating/cooling and transport – will need to be scaled-up substantially from the current levels.

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