Amman: 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.
According to Jordan News Agency, Minister of Energy and Mineral Resources Saleh Kharabsheh stated that the initiative, implemented by the Jordan Renewable Energy and Energy Efficiency Fund (JREEEF) in collaboration with the Italian Ministry of Environment and Energy Security, aims to decrease municipal operating costs, enhance energy efficiency, and further Jordan's decarbonization goals.
Kharabsheh highlighted a joint program with the Ministry of Local Administration that has already reduced municipal electricity consumption by up to 50 percent through retrofitting conventional lighting with energy-efficient systems. He mentioned plans for further expansion of demand-side management projects, considering ongoing challenges in the sector and their fiscal impact.
Jordan is making steady progress toward energy security, which Kharabsheh described as essential to national security, as the Kingdom speeds up the implementation of its long-term energy transition strategy. The strategy aims to increase the share of renewable energy in electricity generation to about 50 percent by 2033.
Currently, renewable energy 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 the trajectory toward the 50 percent target. Efforts are also being made to diversify the domestic energy mix, with oil shale contributing about 13 percent of locally generated electricity as a baseload source. The National Petroleum Company is working to expand production from the al-Risha gas field, with expectations to meet domestic demand by 2029.
JREEEF Executive Director Rasmi Hamza noted that the initiative includes installing over 200 PV systems with a combined capacity of around 3.4 megawatts, covering 104 municipalities and 188 public buildings. The total investment is approximately JD3.4 million, with 90 percent financed by Italy and 10 percent by the Fund.
Hamza also mentioned a program to install solar water heating systems in 33 hospitals, alongside a separate initiative to deploy around 90,000 solar water heaters for low-income households. These projects are part of the Economic Modernization Vision, which focuses on increasing the use of clean, domestically sourced energy and reducing energy costs in key service sectors to improve efficiency and sustainability.
The initiative supports broader efforts to improve energy efficiency in the municipal sector, expand renewable energy deployment, and strengthen Jordan-Italy cooperation for sustainable development.