Egypt Mandates IE3 Energy-Efficiency Standards for Electric Motors: A 5-Year Collaborative Journey to Implement Motor MEPS in Egypt from May 2022

In September 2020, Egypt’s Minister of Trade and Industry signed a Decree that introduces mandatory IE3 efficiency standards for electric motors across Egypt from May 2022. Change is essential for economic and environmental reasons, since a survey of over 100 motor-using factories and businesses showed that three quarters of installed motors were of poor or unmarked efficiency. The Decree sealed a collaborative process that began in 2016 to devise and implement a program of preparation and market surveillance capacity building. This chapter traces the path of the process, involving a seven-stage roadmap agreed with industry stakeholders, its challenges and solutions, and critical risks—some resolved, and others remaining. The seven-stage process could be applied to policy development in other emerging economies: first, establishing overall political and organisational leadership through institutional analysis and engagement and second, establishing national technical standards based on international norms. A key third stage was devising a timing scenario for implementing minimum energy-efficiency performance standards (MEPS) that was acceptable to stakeholders. Analysis of this scenario by US Lawrence Berkeley National Laboratory projected savings in Egypt of US$ 560 million Net Present Value from the 2016 base to 2031 and 3 TWh saved annually, with avoided investment in 1100 MW of new power generating capacity. Fourth was consulting with the private sector, understanding needs, perceptions (or mis-perceptions), raising awareness and building consensus. The biggest challenges were in the fifth step: to plan for effective market surveillance, including a new test lab and building capacity of market inspection authorities. The International Finance Corporation, a member of the World Bank Group, led additional supporting initiatives as part of a sixth step to help upgrade equipment supply chains to deliver and assimilate better motors. Review of program performance is the seventh step. This paper concludes with lessons learned, aiming to inspire and inform further replication.