Jordan Bags $1bn US Aid…
07 Dec, 2018
Geopolitical Risk
Jordan Energy Goals Remain Hostage To Geography
30 Nov 2018
Amman is seeing results from its push toward renewables and gas. But the country’s energy future remains tied to developments abroad—particularly Israel’s Leviathan.
Like the region’s other Arab monarchies, energy is a key concern in Jordan, albeit for very different reasons. Boasting next to zero oil and gas resources, the Hashemite kingdom relies on costly imports for 95% of its energy consumption—a further burden on the country’s stagnant economy.
Energy imports cost Jordan $3.42bn (JD 2.45bn) in 2017 up 26% from 2016, and with spending on oil imports alone up 43% for the first eight months of 2018, MEES estimates total spending on energy imports will easily exceed $5bn by the end of the year—equal to a whopping 12% of GDP.
Given that Jordan subsidizes both electricity and transport fuels, the cash-strapped government is unable to recover these costs. Even minor increases...
Jordan Primary Energy Mix (mn toe/y)