Minister urges private sector to invest in energy, mining projects

AMMAN — Minister of Energy and Mineral Resources Saleh Kharabsheh on Thursday called on the private sector to implement, develop and construct energy and mining projects to contribute to the Economic Modernisation Vision (EMV) and achieve targeted national economic growth.

During the meeting organised by the Jordanian Businessmen Association (JBA), Kharabsheh emphasised the "significant" investment opportunities available in the energy and mining sectors, which require financing and partnerships.

He urged Jordanian companies to participate through coalitions, highlighting that local contributions to investments have a greater impact on the national economy, according to the Jordan News Agency, Petra.

"We have major tenders available for Jordanian companies, and we are ready to provide all necessary facilities," Kharabsheh said, underlining the importance of transforming energy challenges into opportunities to become key economic drivers in the Kingdom.

He noted that Jordan aims to meet its natural gas needs by 2033 and anticipates "numerous" green hydrogen projects.

The new energy strategy seeks to increase the contribution of renewable energy to electricity generation to 50 per cent by 2030, enhancing its share in the overall energy mix, the minister noted. Kharabsheh underscored the government's commitment to reducing production costs in the electricity sector, increasing company revenues, minimising debt and ensuring financial equity among all stakeholders.

He highlighted the $800-million hydroelectric power storage project at the Mujib Dam, with a capacity of 450 megawatts, as part of Jordan's efforts to enhance energy infrastructure, meet growing demands and reduce reliance on imported energy.

Kharabsheh noted that the ministry's strategy, aligned with the EMV, aims to secure energy supply and diversify sources, boosting renewable energy and local contributions to electricity generation while relying on natural gas.

The minister acknowledged the achievements and continuous development within Jordan's energy sector, referring to challenges, such as the high cost of energy for economic sectors.

Kharabsheh stressed the role of the EMV in boosting the mining sector as part of high-value industries, contributing to economic development, increasing GDP contributions and generating job opportunities.

He noted that the ministry has signed several MoUs for feasibility studies on various minerals, focusing on new resources beyond phosphate and potash.

Kharabsheh also reviewed the ministry's efforts to achieve the EMV targets in the mining sector, aiming for GDP growth and job creation in the coming years.

He outlined plans to deliver gas to industrial clusters nationwide through a natural gas network in order to reduce production costs and enhance export competitiveness.

He stressed the industrial sector's role as a key driver of economic development and its importance in alleviating unemployment.

He noted that Jordan is divided into 12 areas for oil exploration and drilling, with ongoing work in seven areas, along with geophysical surveys for raw materials.

He stressed that strategic raw materials would not be exported to maximise added value and support transformation industries.

Chairman of the JBA Hamdi Tabbaa highlighted challenges facing the energy and mining sectors, including geopolitical issues, reliance on imports for primary energy sources, high electricity loss in distribution networks and the costly production of oil from oil shale, which is linked to global oil prices.