The World Bank is reviewing Jordan’s request for $200 million in additional funding to improve the efficiency of its electricity sector. This builds on a $250 million loan approved earlier in 2023 to reduce costs, increase revenues, and enhance the reliability of the electricity supply.
The programme aims to reduce operating losses for the National Electric Power Company (NEPCO) and improve its technology and governance. It also focuses on maintaining renewable energy’s share in the electricity mix and reducing power outages.
Jordan has expanded renewable energy in recent years. Solar and wind energy now contribute 27% of the electricity mix, compared to less than 1% in 2014. The government’s Economic Modernisation Vision (EMV) launched in 2022 supports sustainable energy projects as part of its strategy to promote economic growth and improve citizens’ quality of life.
In addition to large-scale projects, Jordan has implemented smaller renewable energy initiatives. Rural areas in Mafraq and Ma’an have benefited from small solar microgrids, each with a capacity of 1-5 megawatts (MW), to provide electricity to local communities.
The government has introduced solar water pumping systems for agriculture in the Jordan Valley. These pumps, with capacities ranging from 10 to 50 kilowatts (kW), are helping farmers reduce reliance on diesel.
Public schools in Irbid have installed rooftop solar panels. More than 50 schools now generate clean electricity for lighting and classroom equipment, with a total installed capacity of 2 MW.
The Greater Amman Municipality has added solar-powered streetlights to newly developed neighborhoods. These lights reduce electricity costs and have been installed in areas such as Abu Nseir and Marka. Floating solar panels are being tested at the King Talal Dam. The pilot project, with a capacity of 1 MW, generates clean energy while conserving water by reducing evaporation.