The Arab Republic of Egypt deposited with the General Secretariat of the League of Arab States its instrument of ratification of the General Agreement for the Establishment of the Arab Common Electricity Market on 6 October.
The agreement was approved by the Council of the League of Arab States at the Ministerial Level pursuant to Resolution 9080 adopted at the 162nd Ordinary Session (S2 - 10/09/2024), and by the Economic and Social Council pursuant to Resolution 2414, adopted at the 113th Ordinary Session (15/02/2024).
The General Agreement for the Establishment of the Arab Common Electricity Market aims to benefit electricity consumers in member states by achieving optimal short- and long-term utilisation of electricity resources at the regional level.
This is to be accomplished by focusing, in the short and medium terms, on ensuring security—including cybersecurity—reliability and stability of supply, and sustainability of operations and trade.
The agreement also seeks to facilitate electricity trade and exchange between buyers and sellers, not only within their national markets but also across the markets of any member state, sub-regional markets, and the Common Arab Electricity Market, on the basis of fairness and competitiveness.
It further aims to encourage public and private investment in major regional projects for electricity generation and transmission, leveraging the advantages of large-scale production offered by an expanded and competitive regional market.
The agreement has been signed by 10 Arab countries: the United Arab Emirates, the Kingdom of Saudi Arabia, the Republic of the Sudan, the Syrian Arab Republic, the State of Palestine, the State of Qatar, the State of Kuwait, the State of Libya, the Arab Republic of Egypt, and the Republic of Yemen. It has been ratified by three Arab countries: the State of Qatar, the Kingdom of Saudi Arabia, and the Arab Republic of Egypt.
In accordance with Article 2-1 of the agreement, it will enter into force one month after the receipt of the instruments of ratification by seven of the signatory Arab states.