Egypt’s Ministry of Electricity and Renewable Energy plans to add about 550 megawatts of rooftop household solar capacity to the national grid in the next fiscal year, a move expected to save roughly 7.7 billion cubic feet of natural gas, according to a person familiar with the ministry’s electricity distribution plans.
The person, who asked not to be identified because the plans are not public, told Al Manassa that the ministry aims to install more than 5,000 new household solar systems, with about 65% designed at 5 kilowatts and the remaining 35% at 10 kilowatts.
There are no publicly available statistics on the number of household solar power plants connected to the electricity grid. The project’s first phase was approved by the Cabinet in September 2014 under the Feed-in Tariff (FiT) program, opening the door for the private sector to invest in generating electricity from solar and wind power, with a target capacity of 4.3 gigawatts.
Electricity Ministry spokesperson Mansour Abdel Ghani recently announced measures aimed at easing procedures for households seeking to install rooftop solar systems. He said companies importing equipment such as solar panels, mounting structures and chassis would benefit from customs exemptions, paying only a 2% duty.
Abdel Ghani said that the New and Renewable Energy Authority has certified around 100 companies to design, install, operate and maintain solar systems under technical standards intended to ensure safe and reliable operation. Consumers will be able to choose among competing providers based on pricing and service quality.
The government aims to reduce gas and mazut consumption at conventional power plants amid rising global energy import costs, coinciding with periodic increases in electricity tariffs and higher bills for code meters after the tariff was fixed at 2.74 Egyptian pounds ($0.05) per kilowatt, pushing some consumers toward alternative solutions, the source said.
He noted that the national electricity grid currently accommodates around 920 megawatts from solar panels installed as of the beginning of May 2026, strengthening the diversity of the country’s energy mix.
The government took several decisions after regional energy supplies fluctuated because of the US-Israeli war on Iran that started in February 2026, including raising fuel prices, followed by increases in electricity tariffs for households and commercial activities.
The head of a solar energy company estimated the cost of installing a 5-kilowatt solar power plant at around 125,000 pounds. The plant is suitable for a medium-consumption household and produces between 700 and 800 kilowatt-hours a month.
The company head, who also asked Al Manassa not to publish his name, said high household consumption and commercial activities usually require 10-kilowatt plants, which produce about 2,000 kilowatts a month, at a cost approaching 250,000 pounds per plant.
“Household solar energy systems can reduce electricity bills by 70% as traditional energy prices continue to rise,” he said, noting that the most common system for installing rooftop household solar plants is “net metering,” which allows surplus electricity from solar plants to be fed into the country’s national grid, giving the plant owner a direct economic return.
Renewable energy accounts for around 5% of total electricity consumed locally, according to the latest available Ministry of Electricity data for 2023, while the government aims to increase its share to 45% by 2028.