Egyptian energy


February 4, 2011

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While the world watches the events in Egypt’s capital unfold, some nervous investors are already asking questions.

And while Egypt isn’t exactly the renewable energy capital of North Africa, concerns have been raised about the possible knock on effects of the unrest and more broadly, about the future appetite for overseas renewable energy investment.

However, while it’s important not to diminish the severity of the situation in Cairo, it’s also important for investors to take a longer-term approach to their renewable energy portfolio.

While these high profile projects remain influential symbols of foreign investment, they also need to be set within the wider context of the energy market. Government’s may not always be in a position to give the initiatives their full attention and the necessary level of protection and indeed public support but that doesn’t diminish the fact that for many expanding markets, renewable energy remains a key part of their future growth.

Egypt has a whole host of issues to tackle but as its commitment to the solar market demonstrates, renewable energy plays a key part in its future.

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