ABSTRACT
This chapter discusses the most important developments in Jordanian energy since the 2003 Iraq War, their impact upon Jordan's energy policy, and assesses the impact of these developments upon the country's political economy. Meanwhile, in energy, Jordan has been and continues to be dependent on imports – in stark contrast to its energy-rich neighbors Iraq and Saudi Arabia. Guaranteeing energy security, therefore, is of crucial importance, not only for economic growth but also for overall political stability in the Kingdom. Ensuring access to energy while regulating and subsidizing domestic prices, the government acts as a buffer between domestic consumers and international markets. As a result, the Jordanian state must cope with fluctuations in international energy prices, the effects of which are felt by the government, and particularly born by Jordanian National Electric Power Company. Jordan remains extremely dependent on energy imports and thus is vulnerable to international energy developments.
