Egypt imposes energy curbs as oil prices surge globally

Egypt has rolled out a series of nationwide energy-saving measures as rising global oil prices place increasing pressure on the country’s import bill, following regional instability triggered by the US-Israel military campaign against Iran.

Early closures and reduced energy use

Under the new regulations, businesses such as shops, restaurants, malls, cinemas and wedding venues must close by 9:00 p.m., with extended hours until 10:00 p.m. permitted only on Thursdays and Fridays. Authorities have also ordered a 50% reduction in street and advertising lighting, along with a 30% cut in fuel usage for government vehicles.

The government has additionally shortened working hours in the New Administrative Capital, requiring offices to close by 6:00 p.m., and announced a slowdown in large-scale national projects that consume significant amounts of diesel over the next two months. Remote work will also be introduced on Sundays starting April 1 as part of broader energy conservation efforts.

Rising costs drive emergency measures

Prime Minister Mostafa Madbouly said the measures are intended to offset the financial burden caused by higher energy import costs. “These measures aim to mitigate the effects of rising energy import costs due to high global oil prices,” he stated. Egypt’s monthly energy import bill has more than doubled, rising from $1.2 billion in January to $2.5 billion in March.

Recent fuel price increases of between 14% and 30% have only partially compensated for the surge in costs, covering roughly one-third of the additional burden, according to officials. Essential services such as pharmacies, grocery stores and key tourist areas, including Nile-side venues and destinations like Luxor and Sharm el-Sheikh, have been exempted from the restrictions.

Impact visible across Cairo streets

In Cairo, the impact of the measures was quickly noticeable, with many commercial areas dimmed or fully darkened as businesses complied with early closure rules. Major infrastructure such as the 6th of October Bridge saw reduced lighting, while only essential establishments remained open in some districts.

The policy comes as global energy markets experience volatility following Iran’s decision to restrict navigation in the Strait of Hormuz, a critical oil transit route. The disruption has driven up oil prices, shipping costs and insurance rates, raising concerns for energy-importing countries, including Türkiye.

With roughly 20 million barrels of oil passing through the strait daily, continued instability in the region is expected to have far-reaching economic consequences, prompting governments like Egypt to adopt preventive measures to stabilize domestic markets.