Ahmed Kamel – Egypt Daily News
Egypt’s controversial early shop closure policy failed to achieve the significant electricity savings the government had hoped for, according to a senior source at the Ministry of Electricity and Renewable Energy, raising fresh questions about the effectiveness of the country’s recent energy rationing measures.
The source revealed that after a full month of implementation, the actual reduction in electricity consumption fell well below initial expectations, despite the government’s aggressive push to reduce pressure on the national power grid during peak evening hours.
Officials had anticipated that forcing shops, restaurants, and commercial centers to close earlier would sharply reduce energy demand and help the country cope with rising fuel costs and increasing energy import bills. Instead, a large portion of that consumption simply shifted into Egyptian homes.
“Citizens spent more time indoors at night, which led to increased residential electricity usage,” the source said, explaining that the expected decline in commercial consumption was partially offset by higher household demand.
The disappointing results come after weeks of economic frustration among business owners and traders, many of whom complained that the restrictions severely damaged evening commerce and reduced customer activity after 9 p.m. Markets, restaurants, and shopping districts across Egypt experienced noticeably weaker nighttime traffic during the enforcement period.
According to the source, government agencies conducted a broad review of the policy’s impact in coordination with relevant authorities before deciding to end the measure and restore normal operating hours for businesses.
The early closure policy had originally been introduced as an emergency step tied to soaring global fuel prices and mounting pressure on Egypt’s energy spending. Authorities hoped the move would help curb electricity consumption without resorting to wider power cuts or more aggressive rationing measures.
However, internal assessments reportedly showed that the economic costs imposed on commercial activity outweighed the limited gains achieved in energy savings.
The source emphasized that Egypt is not abandoning its broader electricity conservation strategy, but future efforts will focus less on restrictive shutdown measures and more on improving operational efficiency within the energy sector itself.
Among the priorities now being pursued are reducing technical and commercial losses on the power grid, modernizing infrastructure, and accelerating investment in renewable energy projects as the country seeks more sustainable long-term solutions to its growing energy challenges.
The government recently announced the end of the early closure decision for shops, malls, and restaurants, officially returning businesses to their previous operating schedules after the temporary conservation plan expired.
The reversal highlights the difficult balancing act facing Egyptian authorities as they attempt to control energy consumption without placing additional strain on businesses already coping with inflation, reduced consumer spending, and broader economic pressures.
