MENALINKS’ Regulatory Framework Assessment sets the stage for next phase of industrial flexibility in Jordan

Industrial flexibility as a key aspect for Jordan’s energy transition

Jordan’s energy transition is entering a phase where flexibility on the demand side is becoming increasingly important. The report highlights that industrial flexibility can support decarbonisation, energy security, and industrial competitiveness in the context of rising electricity demand and growing renewable energy integration. It positions industrial demand-side flexibility as a strategic tool to help Jordan improve grid resilience while enabling industrial consumers to respond more effectively to price signals, grid needs, and system constraints.

Mapping the regulatory landscape across four pillars of flexibility

The assessment provides a comprehensive review of Jordan’s current regulatory framework for industrial flexibility. It examines national strategies, laws, tariffs, and institutional arrangements, and benchmarks Jordan’s approach against international experience. The report is structured around four regulatory fields of action: incentivisation, procurement, accessibility, and technology and operational readiness. These four areas are used to identify gaps, assess current readiness, and highlight the practical implications for enabling industrial flexibility in Jordan.

The findings show that Jordan has already taken important steps that are relevant for flexibility, including the introduction of Time-of-Use tariffs for medium and large industries and continued progress in renewable energy deployment. The report also identifies several areas for improvement, which limit the ability to scale industrial flexibility as a structured and reliable grid service, including formal procurement mechanisms or standardised contracts for flexibility services.

From analysis to action

The report intentionally does not prescribe final regulatory measures at this stage. Instead, it creates the evidence base and analytical framework for the following phase of MENALINKS support, during which tailored recommendations and a regulatory action plan will be developed in consultation with Jordan’s power and industrial sector stakeholders.

The publication of this report marks an important milestone for MENALINKS in Jordan. By analysing the current regulatory framework, identifying practical improvement areas, and establishing a clear baseline for follow-up action, the report lays the groundwork for a more enabling environment for industrial flexibility in Jordan. We thank all partners and stakeholders who contributed to this work and look forward to the next phase of developing tailored recommendations to help unlock the value of industrial demand-side flexibility in Jordan’s energy transition.