The Ministry of Energy and Mineral Resources was established in 1984 and entrusted with administering and organizing the energy sector in a way that achieves the national objectives.
In light of the restructuring process, the responsibilities of the ministry were amended to include the comprehensive planning process of the energy and mineral resource sector, and setting the general plans and ensuring their implementation in a way that achieves the general objectives of the sector; the most important of which is providing energy, in its various forms, for the development process and organizing its affairs, in addition to the optimum utilization of natural resources complying with international best practices.
Vision: Achieving a secure sustainable supply of energy and optimal utilization of natural resources.
Mission: Setting and developing the appropriate policies and legislations to achieve a secure sustainable
supply of energy and that the optimum utilization of natural resources complies with international best practices.
Core Values: Teamwork Spirit, Knowledge Dissemination and Use, Integrity and Transparency, Excellence and Entrepreneurship, Loyalty and Affiliation.Natural Gas Directorate
Through the Natural Gas Directorate, the Ministry of Energy and Mineral Resources is seeking to achieve the strategic goal of increasing the contribution of natural gas in the total energy mix. This will be achieved through the development of local sources of natural gas; expanding the use of natural gas in power generation and industries; and securing additional sources of natural gas to the Kingdom. To achieve this strategic goal, the Natural Gas Directorate follows up and manages gas projects and programs across the Kingdom.Oil Shale in Jordan
Jordan has more than 70 billion tons of sub-surface proven reserves of oil shale, which is more than 7 billion ton oil-equivalent. The national strategy for the energy sector has included Oil Shale as an alternative energy source to contribute about 12% of the energy mix in the Kingdom in 2025.
The Government has adopted a Commercial Legal Framework and an Environmental Legal Framework within the contracts with the investing companies to govern and control oil shale exploitation projects with the help of the relevant international consultancy firms. A national exploration program has been scheduled and implemented to investigate new potential areas for investment throughout the Kingdom for new exploitation projects, for both the deep seated resource and the surface resource to produce both oil and electricity.
The Government is currently adopting a three-track approach to handle Oil Shale resource exploitation which includes In Situ for the deep Oil Shale to produce oil, Surface Retorting for the mined Oil Shale to produce oil, and Direct Burning of Oil Shale for Electricity Generation.Renewable Energy
Jordan has been exploring opportunities to develop renewable and energy-efficient sources of power in order to reduce the country’s reliance on imported fossil fuels and to reduce Jordan’s greenhouse gas emissions. Jordan targets the share of renewable energy in the country’s generated electricity to be 20% by 2020.
In terms of installed capacity, the “Jordan 2025” plan targets an increase in the share of renewable energy in Jordan’s installed electrical capacity from 1.5% in 2014 to 25% by 2025. As a result, the government has established various policy and regulatory frameworks to support renewable energy generation in the Kingdom.
In 2012, the Renewable Energy and Energy Efficiency Law was passed. Pursuant to this law, investors may identify and propose potential electricity production projects including wind, solar and waste-toenergy projects, to the Ministry of Energy and Mineral Resources for consideration. In addition to the various large-scale power projects underway in the Kingdom, the government supports small-scale renewable electricity generation projects and permits the sale of surplus electricity generated at a fixed tariff. As a result of this, Jordan now has more than 730 MW of installed wind and power projects (including small scale projects). These projects produces more than 7% of the total consumed electricity in Jordan. The total current contracted capacity is around 1736 MW. The total installed capacity by 2021 is expected to reach 20%.
Jordan Renewable Energy and Energy Efficiency Fund (JREEEF)
Jordan Renewable Energy and Energy Efficiency Fund (JREEEF) was created in 2012 by the EE and RE Law N°13/2012. The Fund is established according to the By-Law No. 49/2015 as an entity under the Ministry of Energy and Mineral Resources (MEMR). The basic purpose of JREEEF is providing the necessary funding for the deployment of renewable energy sources and the rationalization of energy consumption including small renewable energy facilities. It supports any program and financial mechanisms allowing the RE and EE users and investors to access financing from banks, local and international financial institutions.
The main JREEEF objectives are to support government in reducing the financial burden on consumers and national economy resulting from energy imports and subsidies to the energy sector. In addition, the fund aims to promote the development of a domestic industry as well as open up new markets. A set of financial and technical support products was developed including revolving credit, grants, loan guarantees, technical support and equity financing as summarized.
JREEEF focuses on funding decentralized renewable energy systems and has programs covering the following sectors:
1. Schools program: King Abdullah’s initiative for heating schools, implementing energy efficiency and renewable energy actions.
2. Household program: including Solar Water Heater (SWH) & Solar PV systems
3. Public buildings: conducting the energy audits in the governmental buildings.
4. Worship places: installation of solar PV systems for worship places including mosques and churches.
5. Small and Medium Enterprises (SME’s): this includes EE & RE actions for the Industrial, hotels and agriculture sector.
6. Awareness and capacity building programs.
In order to implement these programs, JREEEF in collaboration with several development partners, pursues a number of funding mechanisms including financing programs developed with the support of the Central Bank in cooperation with commercial banks and Jordanian companies. To guarantee loans and to provide the necessary financing for enterprise projects and factories at a zero interest rate, the fund also provides loan guarantee services on behalf of these institutions.