Egypt Faces $1Bn Price Tag To Overcome Summer Power Shortages: Madbouly
Date
6/25/2024 11:12:09 PM
(MENAFN- Daily News Egypt) Egyptian Prime Minister Mostafa Madbouly revealed that the government estimates it will need $1bn to fully overcome the summer power shortage.
This came as he chaired a crisis meeting on Tuesday to address the ongoing power outages plaguing the country. The meeting revealed that power cuts will continue for three hours daily until the third week of July, but has pledged to resolve the crisis by the end of the year.
In attendance were key figures from the energy sector, including the Minister of Electricity and renewable Energy, the Minister of petroleum and Mineral Resources, and leadership from the Egyptian Electricity Holding Company and the Egyptian Natural Gas Holding Company.
Madbouly acknowledged the severity of the situation and pledged the government's commitment to finding a rapid solution. He emphasised President Abdel Fattah Al-Sisi's directive to accelerate efforts to shorten outage durations and implement comprehensive measures.
“Immediate actions have been initiated to mitigate the issue, with a goal of complete resolution,” said Madbouly. He is scheduled to deliver a televised address later today to provide further details on the complexities of the problem and outline the government's plan to address it.
Egypt experienced a similar electricity crisis last July, its first since 2014, which officials attributed to a heatwave.
Earlier, Minister of Petroleum and Mineral Resources, Tarek El-Molla, highlighted the financial burden on the petroleum sector, which provides fuel supplies worth $55bn annually at actual costs of $20-22bn. This figure includes extraction and production costs borne by international companies, as well as an annual import bill of $10-12bn, which fluctuates with exchange rates and global Brent crude oil prices.
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