Prime Minister Moustafa Madbouly announced on Saturday, March 28, that Egypt is adopting a set of measures to rationalize energy consumption in response to soaring global prices triggered by the war in the Middle East. The measures include slowing the pace of execution of fuel‑intensive national projects for at least two months, cutting fuel allocations for government vehicles by 30%, and enforcing earlier closing hours for commercial outlets — 9:00 PM on weekdays and 10:00 PM on Thursdays and Fridays.
Madbouly explained that the government is preparing for a prolonged war scenario, with plans to curb fuel consumption without disrupting economic activity. The measures come amid escalating global energy market volatility following the US–Iran conflict, which has driven sharp increases in oil and fuel prices and intensified pressure on energy-importing economies like Egypt.
The Prime Minister said the government is monitoring global markets, noting that recent fuel price hikes were based on $105 per barrel, while global oil has risen to around $112 on Friday, March 27. He added that Egypt’s monthly gas imports have jumped from $560 million before the war to over $1.65 billion.
Meanwhile, diesel prices surged from $665 to $1,665 per ton. With the daily diesel consumption of 24,000 tons, costs have risen by about $24 million per day, or $750 million monthly, according to the prime minister. Madbouly noted that recent price adjustments cover only a third of global price increases, with the state shouldering the bulk of the burden to ease the burden on citizens.
Madbouly revealed the pace of increase in energy costs from $1.2 billion in January to $1.5 billion in February, before reaching $2.5 billion in March. He warned that continuous hikes could further strain the budget and that prolonged conflict could divert funds from key sectors, stressing that maintaining production and securing essential supplies remain top priorities.
As part of broader rationalization efforts, starting next Sunday, both the private and public sectors will be working from home on Sundays during April, with studies showing it could significantly cut energy use by reducing both building electricity consumption and transport-related fuel demand, he noted.
