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  3. Ministry rolls out second phase of municipal solar power project, cuts $550,000 in annual costs

Ministry rolls out second phase of municipal solar power project, cuts $550,000 in annual costs

27/04/2026 | 15:35:24

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Ministry rolls out second phase of municipal solar power project, cuts $550,000 in annual costs

Irbid, April 27 (Petra) – The Ministry of Energy and Mineral Resources on Monday launched the second phase of a photovoltaic (PV) solar project targeting municipal buildings, which is expected to generate around 1,400 megawatt-hours in annual savings, reduce electricity costs by approximately $550,000, and cut carbon dioxide emissions by an estimated 3,838 tons.

Speaking at the launch, Minister of Energy and Mineral Resources Saleh Kharabsheh said the initiative, implemented by the Jordan Renewable Energy and Energy Efficiency Fund (JREEEF) in partnership with the Italian Ministry of Environment and Energy Security, aims to reduce municipal operating costs, enhance energy efficiency, and advance Jordan’s decarbonization efforts.

He said a joint program with the Ministry of Local Administration to retrofit conventional lighting with energy-efficient systems has already reduced municipal electricity consumption by up to 50 percent, adding that further expansion of demand-side management projects is planned in light of ongoing sectoral challenges and their fiscal impact.

Kharabsheh said Jordan is steadily advancing toward energy security, describing it as a key pillar of national security, as the Kingdom accelerates implementation of its long-term energy transition strategy. He noted that the strategy targets raising the share of renewable energy in electricity generation to around 50 percent by 2033.

He added that renewable energy currently accounts for approximately 27 percent of electricity generation, with projections to reach 31 percent by 2030 and 40 percent in later phases, as part of a broader trajectory toward the 50 percent target.

The minister also highlighted efforts to diversify the domestic energy mix, noting that oil shale contributes about 13 percent of locally generated electricity as a baseload source. He pointed to ongoing work by the National Petroleum Company to expand production from the al-Risha gas field, expressing expectations that output could meet domestic demand by 2029.

For his part, JREEEF Executive Director Rasmi Hamza said the initiative includes the installation of more than 200 PV systems with a combined capacity of around 3.4 megawatts. The project covers 104 municipalities and 188 public buildings, with a total investment of approximately JD3.4 million, 90 percent of which is financed by Italy and 10 percent by the Fund.

Hamza said the Fund is also implementing a program to install solar water heating systems in 33 hospitals, in addition to a separate initiative to deploy around 90,000 solar water heaters for low-income households.

He added that these projects fall under the Economic Modernization Vision, which focuses on expanding the use of clean, domestically sourced energy and reducing energy costs across key service sectors to enhance efficiency and sustainability.

The initiative aligns with broader efforts to improve energy efficiency in the municipal sector, expand renewable energy deployment, and strengthen Jordan-Italy cooperation in support of sustainable development.

//Petra// AJ

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