Osama Kamal: Switch to alternative energy essential

Engineer Osama Kamal, former Minister of Petroleum and Mineral Resources and Chairman of the Energy and Environment Committee in the Senate, confirmed that the approximately 2% decline in oil prices resulted from international movements and global efforts to ease tensions in the energy market, alongside increasing initiatives by Egypt and other countries to contain the energy crisis. He pointed out that continuing escalation in the crisis has become more difficult as Europe approaches winter and prepares its fuel reserves, which underscores the importance of energy security. He emphasized that the energy crisis is mounting pressure on governments and central banks, especially given rising inflation rates and living costs. He stressed the necessity of shifting to a diversified energy mix, citing China's model, which combines solar, wind, and nuclear energy to enhance supply security and reduce dependence on a single source. He noted that Egypt has successfully managed the crisis's repercussions by developing its energy supplies. He also highlighted that the upcoming phase requires increased preparedness for a more advanced energy mix, including modernizing power grids and improving the legislative environment to encourage investment in the sector. Additionally, increasing local oil and gas production through renewed exploration activities and better financial conditions is essential. Furthermore, he discussed the use of futures contracts as a tool to manage price fluctuations, underscoring their importance when applied with appropriate timing and cost considerations.

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