MEDRESET Working Papers No. 30, December 2018
The present report aims to investigate Euro-Mediterranean policies in the energy sector in Lebanon from a bottom-up perspective. The main findings are the following: Lebanon faces enormous challenges such as poor grid quality, shortage in production, important losses, dependency on imports, low development of renewable energy (RE), lack of investment and regular outages. A vigorous policy with massive investments is necessary to address the present situation. The new gas reserves in the Eastern Mediterranean and the potential of RE may indicate some light on the horizon. Considering the challenges, the people’s welfare and the local needs, EU policy regarding energy in Lebanon remains timid. It consists mainly of loan facilities, technical assistance and several multilateral projects in which Lebanon participates. Lebanese policy and the support of the EU are consistent, with a market-oriented philosophy, but the role of the state should be reinforced to provide a robust regulatory framework for the market. The EU programmes seem not massive enough to help Lebanon climb out of an energy situation that is hindering its economic development.