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Wind Energy in Egypt: Economic Feasibility for Cairo

Author

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  • Yasmina Hamouda

    () (Faculty of Management Technology, The German University in Cairo)

Abstract

Motivated by the rise of the electricity tariffs applied on industrial customer and the frequent electricity cut offs recently experienced in Egypt, this paper assesses the economic feasibility of installing a stand alone wind energy technology by an industrial customer who seeks to reduce his dependency on the national grid. For this purpose, the wind energy potential at the wind regime of Cairo was chosen to be assessed using half an hour wind speed data for a full one-year period (2009). The Weibull parameters of the wind speed distribution function were estimated by employing the maximum likelihood approach. The estimation revealed that Cairo has poor wind resources. Despite the poor resources, the financial analysis has shown that under certain parameters the wind project can prove to be financially viable. Thus harnessing wind energy through stand alone systems can help in meeting the industries electric power needs.

Suggested Citation

  • Yasmina Hamouda, 2011. "Wind Energy in Egypt: Economic Feasibility for Cairo," Working Papers 25, The German University in Cairo, Faculty of Management Technology.
  • Handle: RePEc:guc:wpaper:25
    as

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    File URL: http://mgt.guc.edu.eg/wpapers/025Hamouda2011.pdf
    File Function: First version, 2011
    Download Restriction: no

    More about this item

    Keywords

    Renewable energy; wind resources; Weibull distribution; electricity;

    JEL classification:

    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • O22 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Project Analysis
    • N77 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services - - - Africa; Oceania

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