Energy Ministry plans to assess impact of time-of-use tariff on industrial sector - minister

AMMAN — The Ministry of Energy and Mineral Resources on Monday outlined plans to assess the impact of implementing a time-of-use electricity tariff system on Jordan's industrial sectors. 

During a meeting with industry representatives at the Jordan Chamber of Industry, Minister of Energy and Mineral Resources Saleh Kharabsheh assured participants that the ministry would take necessary measures to mitigate the potential effects of rising electricity costs, particularly on industries that operate around the clock.

The discussions covered a range of energy-related issues affecting the competitiveness of Jordanian factories in both local and international markets, including requests from factories for increased electricity capacity, according to the Jordan News Agency, Petra.

Kharabsheh also said that if the cost of transformers and their installation, as set by electricity companies, proves excessive, the ministry will explore viable alternatives to alleviate the financial burden on industries.

The minister also said that the ministry would review electricity insurance fees and billing processes to help reduce financial pressure on industrial companies and ensure fairness and balance among stakeholders.

Highlighting the ministry’s commitment to supporting the industrial sector's shift to solar energy, Kharabsheh stressed the importance of expediting the completion of a 100 MW solar energy project, a critical step in fostering opportunities for further renewable energy projects.

President of the Jordan and Amman Chambers of Industry, Fathi Jaghbeer commended the ministry's responsiveness to the sector's needs, underscoring the importance of ongoing cooperation between the industrial sector and energy policymakers to enhance competitiveness and promote shared interests. 

He also reiterated that high energy costs remain the primary challenge to improving the competitiveness of Jordanian industries and boosting exports, calling for the expansion of the gas network to cover all industrial zones. 

Jaghbeer also emphasised that the expansion is vital for creating more employment opportunities for the national workforce.