Egypt early closing times aim to cut oil-powered electricity use as Iran war lifts costs

Egypt has ordered earlier nationwide closing times for shops, restaurants, and cafés to conserve oil-powered electricity as the Iran war fallout drives up oil prices and disrupts shipping. While aimed at protecting energy supplies, the policy threatens Cairo’s late-night economy and could harm hundreds of thousands of small businesses reliant on peak evening trading.

Egypt has ordered earlier closing hours for most shops and food businesses. The move aimed to reduce oil use for electricity. The step risked changing Cairo’s long-running late-night habits. Officials said the action responded to economic shocks from the U.S. and Israeli war against Iran.

The war has raised oil prices and disrupted regional shipping. Egypt was not part of the fighting. Still, Egypt faced major pressure from the wider fallout. The country also relied heavily on oil products for power generation. As costs rose, the government moved to curb energy demand quickly.

Egypt energy-saving measures as war lifts oil costs

Shops, restaurants, malls and cafes were ordered to close at 9 p.m. 19:00 GMT for a month. The government also ordered dimmer streetlights and roadside advertising. District offices in the New Administrative Capital were told to close by 6 p.m. 16:00 GMT. Civil servants were asked to work from home one day a week in April.

Prime Minister Mustafa Madbouly said the aim was to cut oil consumption. Madbouly warned the other option would be more price rises. Fuel and cooking gas prices rose earlier this month. Officials linked the rise to higher global energy prices. The Strait of Hormuz was described as virtually closed.

The government excluded tourist areas from the restrictions. Tourism remained a key source of foreign currency for the cash-strapped country. Exempt places included Hurghada, Sharm el-Sheikh, and Marsa Alam. The list also covered Aswan and Luxor. These locations relied on visitors and night-time activity.

Egypt business impact from early closing times in Cairo

Cafe owner Youssef Salah said the rule harmed trading hours. "Its ruinous,\" Salah said. \"It deprives us from our peak time.\" Salah said the cafe in Sayeda Zeinab used to run 24 hours. Peak demand started in the evening and ran past midnight. Salah said late-night shifts were removed.

Salah said staffing was cut after the change. The 46-year-old father of three said the workforce was reduced by 40%. The cafe had 35 workers before the cuts, according to Salah. \"Its painful,\" Salah said as the doors shut at 9 p.m. 19:00 GMT on Saturday. The new rules applied nationwide.

Other business owners also raised concerns about jobs and income. Ayman Harbi worked at a store in Downtown Cairo. Harbi asked for hours to run until midnight. \"Our work in the summer usually starts after 8 p.m. 18:00 GMT,\" Harbi said. \"Forcing me to close at 9 p.m. 19:00 GMT makes the workday pointless.\"

Magdy al-Deeb urged officials to cancel the order to protect jobs. Al-Deeb asked what would happen to workers who lost shifts. \"We must protect peoples livelihoods\" was also raised in the debate. The early shutdowns could affect many small firms. Many eateries, juice shops and cafes often operated nonstop.

Egypt Cairo nightlife changes under early closures

Some residents tried to work around the new rule. Some cafes shut front doors while customers stayed inside. Patrons continued smoking shisha or playing chess, dominos, or cards. Others used social media to mock the order. \"The Butterfly effect,\" Mahmoud Elmamlouk wrote after cafes shut on Saturday evening. \"The closure of Strait of Hormuz has deprived us from smoking shisha.\"

The restrictions also altered daily routines in big cities. Many Egyptians were used to buying items at almost any time. Cairo and Alexandria were known for late trade and busy streets. A night tour across Cairo on Saturday and Sunday found quieter roads. Usual street activity was reduced during the new closing period.

Egypt oil import burden rises amid U.S.-Israel war with Iran

Global energy prices rose after Feb. 28. The U.S. and Israel launched major airstrikes on Iran, and Iran retaliated. Attacks hit oil and gas sites across the Persian Gulf. Pressure also increased on traffic through the Strait of Hormuz. About a fifth of global oil supply depended on that route.

Egypt felt the increases because of heavy annual fuel use. The population of over 108 million consumed USD20 billion of oil products each year. This included fuel for power plants. Egypt imported 28% of its gasoline and 45% of its diesel. Madbouly said the oil bill more than doubled since January to USD2.5 billion.

With higher energy prices and shipping disruption, Egypt tightened rules to save fuel. The government described the actions as exceptional and time-limited. Business owners and residents said the early closures cut income and changed night routines. Officials signalled the goal was to avoid wider price increases while oil costs stayed elevated.

With inputs from PTI