Energy – Daily News Egypt https://wwww.dailynewssegypt.com Egypt’s Only Daily Independent Newspaper In English Sat, 16 Nov 2019 18:08:36 +0000 en-US hourly 1 https://wordpress.org/?v=4.9.1 Ecomondo expo opens new horizons in economic cooperation between Egypt, Italy https://wwww.dailynewssegypt.com/2019/11/16/ecomondo-expo-opens-new-horizons-in-economic-cooperation-between-egypt-italy/ Sat, 16 Nov 2019 15:37:06 +0000 https://wwww.dailynewssegypt.com/?p=714076 Egypt to host Watrex Expo in March 2020

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Organised by Italian Exhibition Group (IEG), Ecomondo green and circular economy exhibition concluded its events that lasted from 5 to 8 November at Rimini Expo Centre in Italy.

Ecomondo focuses on North Africa and the Euro-Mediterranean region. It was attended by 1,300 companies from 30 countries.

Daily News Egypt was present during the expo’s four days, during which it covered events and seminars that spotlighted business needs and opportunities in the green economy. Daily News Egypt felt the enthusiasm of Italian companies and their interest in investment and holding partnerships with Egypt.

Italy’s Minister of Environment Sergio Costa inaugurated the exhibition in the presence of several government officials and representatives of the private sector in Italy. An Egyptian delegation, comprising government officials and 14 private sector companies, partook in the expo.

Costa pointed to the active participation of the exhibiting countries to show their innovations in the field of circular economy and renewable energy. The exhibition witnessed serious discussions and exchange of experiences among the participants, he added.

After the opening session, the Italian-Egypt Business Forum was held for the first time, organised by Ecomondo in partnership with the Italian embassy in Cairo and the Italian Chamber of Commerce in Egypt.

The Egyptian delegation was led by Tamer Mostafa, director of the Minister of Environment’s office, and included Osama Abdel Wahed, Minister of Housing’s adviser for projects and utilities affairs, and Salah Bayoumi, vice chairperson of the Holding Company for Water and Wastewater.

The Egyptian delegation also included Abdel Moneim Sanad, assistant president of the Arab Academy for Science, Technology and Maritime Transport.

The Italian-Egypt Business Forum highlighted the Egyptian government’s investments over the next five years in the field of environmental infrastructure, renewable energy, industrial and organic waste management, food, water, transport, and mobility.

At the beginning of the forum, Giampaolo Cantini, the Italian ambassador in Egypt, said via video conference call that Egypt is an important and pivotal country but it faces many challenges and needs to rely on alternative energies. He noted that Egypt’s distinguished location makes it an important hub and centre for energy export and exchange.

Cantini stressed that the Italian government and private companies can open great prospects for investment and cooperation with Egypt in the fields of renewable energy, waste recycling, and seawater desalination in the coming period.

He added that the Italian-Egyptian relations are strong, and there are many Italian companies working and investing in Egypt, pointing out that many Egyptian companies are looking forward to cooperate with Italian counterparts in the fields of alternative energy and desalination.

The Italian ambassador said the presence of government officials and private companies from Egypt in Ecomondo is a good gesture and an important step to hold further meetings to deepen cooperation between the two countries.

From the Egyptian delegation, Tamer Mostafa presented the government’s strategy for waste recycling and the investment opportunities in this field. He also highlighted laws and regulations governing investment in Egypt, in addition to possible mechanisms for the implementation of new projects to produce alternative fuels.

Mostafa also stressed the depth of Egyptian-Italian relations and the two countries’ keenness to increase their cooperation in the fields of waste recycling, seawater desalination, pollution reduction, and sewage treatment.

Egypt’s annual waste reaches 26m tonnes, of which 46% are in Greater Cairo and Alexandria, 30% in the Delta governorates, and 24% in the rest of the country. The efficiency of waste disposal in Egypt is 55%, as only 20% of total waste are recycled, and the rest is buried.

Mostafa said that the government has adopted a fixed tariff to buy waste-to-energy from private plants, estimated at 140 piasters per kilowatt, while the state is responsible for collection and transport of waste.

He pointed out that Egypt is currently intensifying efforts to increase waste recycling, and that the state is working to overcome the challenges hindering flow of funding in the sector.

Moreover, Gian Francesco, founder and executive officer of Entsorga Italia, said during the forum that his company is working to improve waste management by developing innovative technologies of high efficiency, environmental sustainability, and economic concepts.

Entsorga has developed several solutions in the areas of waste management and alternative fuel production with a special focus on providing the highest standards of health and safety, reducing the process’ impact on the environment, and continuous research.

Francesco expressed readiness to cooperate with the Egyptian government and invest in alternative fuel production, as well as enter partnerships with the private sector in the design and implementation of waste treatment plants.

On the other hand, Osama Abdel Wahed, from the Egyptian delegation, presented the government’s plan to launch several desalination plants with the aim to produce 2.5m cubic metres of desalinated water per day before the end of 2022.

He revealed that Egypt has only 63 desalination plants located in the governorates of North Sinai, Matrouh, Red Sea, and South Sinai, producing 700,000 cubic metres per day. In addition, there are currently 19 desalination plants under construction with a total capacity of 400,000 cubic metres per day.

Abdel Wahed stressed that 26 sewage treatment stations in Upper Egypt have been completed, and 26 other plants are currently under construction and are scheduled to start operation by the end of this year.

In addition, the state is upgrading and increasing the efficiency of existing five sewage treatment plants in Upper Egypt, and their development will be completed by the end of December 2019. It is scheduled to raise the efficiency of three other stations in the region soon.

Abdel Wahed called on Italian companies to invest in Egypt and establish new waste-to-energy plants to benefit from the newly issued system by the government.

For his part, Salah Bayoumi said that sewage treatment is of great importance to preserve the environment, reduce pollutants and their impact on public health, and make the best use of all available water resources.

Moreover, Sarah Dalasta, business development manager at Ecostar research-enterprise impact hub, said the company is keen on working in the Egyptian market and selling its equipment to companies wishing to launch waste recycling projects. She revealed that her company has sold 500 machines to 42 countries so far, and is seeking to enter the Egyptian market next year.

During the forum, some Italian companies working in waste recycling and transportation made presentations about their activities, including Fisia Italimpianti and Ecologia Soluzione Ambiente.

At the end of the forum, a cooperation agreement was signed between Ecomondo’s organising company IEG and Al Awael International Trade Fairs (ATF) to organise a joint exhibition and conference (Watrex Expo) in Egypt in March 2020.

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Egyptian officials meet more than 15 companies working in recycling https://wwww.dailynewssegypt.com/2019/11/16/egyptian-officials-meet-more-than-15-companies-working-in-recycling/ Sat, 16 Nov 2019 13:34:37 +0000 https://wwww.dailynewssegypt.com/?p=714061 Italian companies welcomed Egyptian partnerships and investment opportunities

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Egyptian officials have met with more than 15 companies working in recycling, where Egypt benefitted from Italian companies’ offers, said Egyptian head of the cabinet of the Ministry of Environment office Tamer Mostafa and the Egyptian delegation participating in the exhibition “Ecomondo”.

Meetings and discussions are expected to take place over the upcoming period, with the aim of deepening cooperation.

He explained that the majority of companies seek to sell their equipment and promote their products, but what Egypt prefers is to establish partnerships to maximise and deepen the industry as well as achieve added value to the economy. This was welcomed by Italian companies to take part in partnerships and investments in Egypt.

Mostafa said that the Ministry of Environment is cooperating with the Ministry of Military Production and the Arab Organisation for Industrialisation to discuss the production of waste recycling equipment.

“In all my meetings with companies, I offer them partnership and help to find the most suitable partner in the field,” he added.

He stressed that the government has gone a long way in adopting the tariff of producing energy from waste, especially that the Ministry of Environment has been receiving many requests from international companies to invest in this production, but lacked legislation, regulations, and the tariff value.

He said that the majority of companies were interested in implementing projects to produce alternative fuels where the cost varies depending on the capacity of the project, with investments ranging from $50m to $100m per project.

Mostafa said that the total waste present in Egypt amounts to 26m tonnes annually, and the national strategy on waste allocated 20% of  which to produce electricity, 60% for the manufacture of fertilizers and alternative fuels, and 20% was buried.

He pointed out that the total investment opportunities to implement projects producing electricity from waste amounted to $974m, and about $319m to implement projects to produce fertilisers and alternative fuels.

According to the strategy of the Ministry of Environment, infrastructure and intermediate stations are being prepared alongside landfills for the disposal of waste until 2027, in cooperation with the Ministry of Military Production and the Arab Organization for Industrialization.

Mostafa revealed the preparation of a good environmental law in line with the global trends in the transition of the circular economy, with the participation of a number of officials and advisors from the Ministry of Environment.

He explained that the law regulating waste management is the current topic of discussion in the House of Representatives and is expected to be approved soon. It determines the mechanisms, controls, and legislation governing waste management in Egypt.

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UAE company offers to establish $800m desalination plants in Egypt https://wwww.dailynewssegypt.com/2019/11/10/uae-company-offers-to-establish-800m-desalination-plants-in-egypt/ Sun, 10 Nov 2019 17:56:52 +0000 https://wwww.dailynewssegypt.com/?p=713516 A committee was formed to study the offer and prepare a report to the cabinet

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The Egyptian government has received an offer from an UAE company to implement several desalination plants with investments of up to $800m.

The UAE company has submitted a bid to implement desalination plants in Egypt with a total capacity of 500,000 cubic metres per day, over several phases, Osama Hamdy, Deputy Minister of Housing for follow-up, projects, and utilities, told Daily News Egypt.

He added that a committee has been formed to study the offer. After completing the study, a memorandum will be presented to the Minister of Housing, and then to the cabinet for final decision.

In Egypt, there are 63 desalination plants, based in the governorates of North Sinai, Matrouh, Red Sea, and South Sinai, producing 700,000 cubic metres per day. Meanwhile, other 19 desalination plants with a total capacity of 400,000 cubic metres per day, are being implemented.

Egypt plans to launch more 21 desalination plants before the end of 2022 to bring the total desalinated water in Egypt to 2.5m cubic metres per day. The country has a plan to expand in the establishment of desalination plants to solve the water deficit and reduce the cost of transporting Nile water to the border governorates.

President Abdel Fattah Al-Sisi called on the private sector to enter the field of desalination, pointing out that most of the production requirements are imported.

On the sidelines of the opening some national projects last Tuesday in Suez and South Sinai governorates, Al-Sisi added that the state continues to expand the establishment of desalination plants, especially in light of the decline in Egypt’s water per capita.

He explained that the industrial sector still needs the support of the state and banks, noting that the sector does not take its full chance.

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Electricity Ministry targets increasing local manufacturing of renewable energy components to 40% https://wwww.dailynewssegypt.com/2019/11/08/electricity-ministry-targets-increasing-local-manufacturing-of-renewable-energy-components-to-40/ Fri, 08 Nov 2019 13:31:30 +0000 https://wwww.dailynewssegypt.com/?p=713352 Egyptian companies have experience in establishment, operation, and maintenance of stations: Asran

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Egypt plans to increase local components of renewable energy industry to 40% for wind farms and 30% for solar plants, especially with the growing interest in renewable energy in Egypt and the Arab region, Deputy Minister of Electricity and Renewable Energy, Osama Asran, said.

He noted that the local components of traditional energy projects amounted to 100%, including the distribution network equipment up to 220 kV.

Asran pointed out that increasing local production of renewable energy components is feasible, especially as they proved profitable in exporting.

He added that the electricity and renewable energy sector was always interested in increasing local manufacturing in all power projects even when overcoming the crisis of power outages in 2014. During the crisis, participation of local partners with foreign sides in the execution of these projects helped train and qualify Egyptian companies to work on these sorts of projects, allowing them to work abroad and train Egyptian workers to implement such projects.

The efficiency of conventional power plants was also reviewed. The participation of national companies had the greatest impact in the implementation of these projects.

He added that Egyptian companies have distinguished experience in the fields of construction and maintenance of power plants and strengthening of electrical networks, through the participation of national companies -Orascom and El Sewedy Electric- in cooperation with international companies -General Electric, Siemens, and Ansaldo- in the implementation of urgent plan stations.

These Egyptian companies and factories have been able to establish partnerships with foreign companies producing the equipment of power transmission and distribution stations.

The projects carried out by the sector also provided opportunities for investors to set up factories to produce station equipment to cover the needs of transmission and distribution networks.

He pointed to the importance that the sector attaches to the strengthening of transmission and distribution networks, especially in light of the large capacities currently being produced and also expected from renewable energies, which requires a network of electricity with high reliability.

He explained that the strengthening of electricity transmission networks also corresponds to the expansion of electricity distribution networks through a plan to increase the number of medium and low  voltage distributors, transformers, lines, and cables until the end of 2019.

He added that smart grids represent a leap into the future of transmission and distribution of electric power at the present time, and rely heavily on the exploitation of renewable energy resources and the optimisation and exploitation of electricity and reduce the cost of production, as well as working to make the consumer one of the partners in the management of the electrical system, and offers many options to buy electricity.

Work is underway to establish 47 control centres -in five phases- in the electricity distribution networks covering the whole of the country, including the first phase of five centres.

A pilot project is underway to install about 250,000 smart metres for six distribution companies. More than 105,000 smart metres have been installed so far. The pilot project will be completed by the end of this year.

It is intended to change all the meters in the electrical network (about 30m meters) with other smart and prepaid metres in addition to the establishment of networks and data centres.

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Onera completes establishing rooftop PV station for German School https://wwww.dailynewssegypt.com/2019/11/08/onera-completes-establishing-rooftop-pv-station-for-german-school/ Fri, 08 Nov 2019 13:31:24 +0000 https://wwww.dailynewssegypt.com/?p=713340 Company to complete new solar project in Sinai before year-end

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Onera Systems has completed the construction and connection of a rooftop photovoltaic (PV) station for the German School in Dokki district, Giza, at a cost of EGP 3.2m. The new station produces 120 kWh, which means 200 MWh annually.

Wael Al-Nashar, chairperson of the company, said the project will reduce carbon dioxide emissions by estimated 115 tonnes per year, saving 1.6m cubic feet of natural gas annually.

He added that the station has a unique architectural design taking the shape of an open book on the roof of the school. The station consists of high-quality products and follows international standards, Al-Nashar said, stressing that the station can operate efficiently for more than 25 years.

On a different note, he said that his company is implementing a rooftop PV station for the Drinking Water and Sanitation Company of South Sinai, with a capacity of 1,250MW, which is expected to be completed before the end of the year. The project is financed by a grant from the United Nations Development Programme (UNDP).

Al-Nashar noted that Onera is also negotiating with other parties to implement more solar projects.

He stressed the need for launching financing programmes dedicated to individuals wishing to establish rooftop PV station for their houses.

He explained that Onera agreed with leasing companies to finance the construction of solar plants for the benefit of individuals with repayment facilities and low interest rates.

He demanded tightening controls on solar cell imports, and for the state to adopt a plan to increase awareness of the importance of solar energy applications and uses. He added that citizens must have confidence in the concept of using solar energy.

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ACWA Power to finalise financial closure of Kom Ombo plant in Q1 2020 https://wwww.dailynewssegypt.com/2019/11/08/acwa-power-to-finalise-financial-closure-of-kom-ombo-plant-in-q1-2020/ Fri, 08 Nov 2019 11:47:28 +0000 https://wwww.dailynewssegypt.com/?p=713346 Project costs amounted to $200m, international institutions involved in funding

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Saudi Arabia’s ACWA Power will complete the financial closure of a 200 MW solar power plant in Kom Ombo in the first quarter (Q1) of 2020 at a cost of $200m.

ACWA Power-Egypt’s Country Director Hassan Amin told Daily News Egypt that the company is currently seeking to finalise the financial closure of the project and finish the implementation and operation of the plant before the end of next year.

The project is co-financed by international bodies, but names have not been disclosed as of yet.

He added that ACWA Power started studying the project and has a good knowledge of the Egyptian market, especially after implementing three solar power stations within the Nubian Suns Renewable Energy Feed-in Tariff (FiT) programme in Benban, Aswan Governorate. In addition, there is another power station in Luxor that is still being processed and constructed.

The company aims to implement renewable energy projects in the local market with a capacity of 3 GW within four years, with ACWA Power being the largest developer of renewable energy projects in the Egyptian market.

The Saudi company signed the power purchase agreement (PPA) with the Egyptian Electricity Transmission Company (EETC) on 30 October in the presence of Prime Minister Mostafa Madbouly and the Minister of Electricity and Renewable Energy Mohamed Shaker.

He explained that the company will sell energy at 2.48 cents per kw/h, which is the lowest offer for EETC since the announcement of the Egyptian Renewable Ewnergy Plan that began in 2014.

The contract for the construction and development of solar photovoltaic plants is part of the Egyptian government’s efforts to bring renewable energy contribution to 20% of the total energy produced on the grid by 2022.

Amin added that the agreement is based on the use of bi-facial technology through which solar cells are manufactured to allow the absorption of light on both sides. This is to achieve greater efficiency and improve the performance of cells in the winter, while committing to buy the same amount of energy from the technology provided on the basic mono facial technology.

The plant provides electricity to meet the needs of 130,000 residential units while reducing carbon emissions by 280,000 tonnes per year.

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Energean to complete soon its acquisition of Edison’s assets in Egypt https://wwww.dailynewssegypt.com/2019/11/06/energean-to-complete-soon-its-acquisition-of-edisons-assets-in-egypt/ Wed, 06 Nov 2019 16:49:54 +0000 https://wwww.dailynewssegypt.com/?p=713185 Company finalised evaluating of North Karish discovery

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Energean Oil & Gas is seeking to finalise the latest procedures for the acquisition of oil and gas assets owned by Italian company Edison in Egypt soon.

Energean’s CEO Mathios Rigas stated that the company is now focusing on completing the closure of the acquisition of Italian Edison exploration and production company, in parallel with its progress in the recently discovered North Karish field.

He pointed out that Energian seeks to invest in the oil and gas sector in Egypt for its attractiveness and promising opportunities in the energy sector, in light of the economic reform measures encouraging foreign investment. This comes at a time when there are many recent gas discoveries made in the deep waters of the Mediterranean.

The company recently successfully assessed the discovery of North Karish, with estimates of recoverable resources of 0.9trn cubic feet (scf) (25bn cubic meters) as well as 34m barrels of light/condensate oil. This discovery greatly enhances the volume of its resources discovered through the Karish and Tanin fields.

Best estimate of gas initially in place is 1.3trn cubic feet (Tcf) versus a pre-drill estimate of 1.0-1.5 Tcf.

Volumes are incremental to the 2.4 Tcf (68 BCM) and 33m barrels of light oil / condensate discovered resources that Energean already has in its Karish and Tanin leases.

Rigas said that this is an excellent result from the Karish North appraisal side track, confirming in place volumes at the top half of pre-drill estimates and increasing our recoverable volumes in Israel by 0.9 Tcf (25 BCM) of gas plus 34m barrels of light oil or condensate.

“Today’s news delivers upon another commitment that we had made to our shareholders. These successful results allow us to continue our gas marketing efforts in the region with a goal to fully utilise the capacity of our 8 BCMA FPSO. Our focus now remains on closing the Edison E&P acquisition, in parallel with progressing Karish development,” he added.

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ACUD to receive bids for rooftop photovoltaic power stations in NAC on Tuesday https://wwww.dailynewssegypt.com/2019/11/05/acud-to-receive-bids-for-rooftop-photovoltaic-power-stations-in-nac-on-tuesday/ Tue, 05 Nov 2019 09:26:27 +0000 https://wwww.dailynewssegypt.com/?p=713343 Orascom, Lightsource BP, Infinity Solar, El Sewedy Electric are among top bidders, says source

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The Administrative Capital for Urban Development Company (ACUD) on Tuesday will start receiving financial offers for implementing rooftop photovoltaic power stations that will supply electricity to government buildings in the new capital.

A source close of the deal told Daily News Egypt that Gamma International, Orascom Construction, Lightsource BP, Infinity Solar, El Sewedy Electric, and others will present their financial offers to implement the first phase of the solar panel installation project on government buildings’ roofs, with a total capacity of 15MW.

The ACUD announced the project is part of its plan to rely on clean energy in the new capital, in line with the United Nations Development Programme (UNDP). The company limited its selection of bidding companies to international entities specialised in manufacturing, assembling, or developing grid-connected solar cell projects.

The source pointed out that the ACUD cooperated with a consultant office to prepare a short list of eligible companies for implementation after studying the offer of each company.

The New Administrative Capital (NAC) covers an area of 170,000 feddan and is expected to accommodate a population of 18-40 million people by 2050. It is located on the borders of Badr City in the area between Cairo-Suez and Cairo-Ain Sokhna roads. It is about 60 km away from Ain Sokhna and Suez cities.

The area of the new capital’s first phase is 40,000 feddan, which includes several residential, commercial, and administrative projects, in addition to governmental, diplomatic, and business districts.

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France’s EDF plans to invest $25m in Egypt’s KarmSolar by end-2019 https://wwww.dailynewssegypt.com/2019/11/03/frances-edf-plans-to-invest-25m-in-egypts-karmsolar-by-end-2019/ Sun, 03 Nov 2019 19:43:22 +0000 https://wwww.dailynewssegypt.com/?p=712869 The source revealed that negotiations with KarmSolar have reached very advanced stages and are expected to be officially declared within days, however, the source did not disclose any further details.

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French energy giant Électricité de France (EDF) intends to invest $25m in KarmSolar before the end of this year, to raise the latter’s capital.

This comes within the EDF’s plan for expanding investment in the Egyptian market, a source close of the deal told Daily News Egypt.

The source revealed that negotiations with KarmSolar have reached very advanced stages and are expected to be officially declared within days, however, the source did not disclose any further details.

Intensive meetings were held between the two companies’ officials throughout the last week to complete the deal if agreed upon, KarmSolar would likely to put a percentage of the company for an IPO.

The sources pointed out that KarmSolar is one of the successful companies and proved its worth in the Egyptian market, and has concluded many memorandums of understanding and agreements and has agreements to establish solar power plants up to 165MW, including an agreement with Cairo Three A to sell 100MW of solar energy through a plant it intends to launch.

Last year, KarmSolar signed a partner-ship agreement with Attijari Finances in September to act as KarmSolar’s global advisor and coordinator for the company’s equity fundraising process. The partnership aims to raise EGP 500m as a first stage for the construction and operation of projects executed by the company.

The sources confirmed that this deal paves the way for the French company to increase its investments in Egypt and reinforces the company’s presence in the market.

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Egypt imposes its conditions on Israel, settles arbitration cases https://wwww.dailynewssegypt.com/2019/11/03/egypt-imposes-its-conditions-on-israel-settles-arbitration-cases/ Sun, 03 Nov 2019 19:35:04 +0000 https://wwww.dailynewssegypt.com/?p=712860 Agreement allows gas transfer from Tel Aviv in 1Q 2020, says source

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The Egyptian government succeeded in settling the dispute between the East Mediterranean Gas Company and the Egyptian Natural Gas Holding (EGAS), after the latter paid $288m in compensation, according to the ruling of the International Chamber of Commerce (ICC) in Geneva.

Hence, Egypt succeeded in ending the arbitration case, a senior government source told Daily News Egypt.

He added that the government succeeded in imposing its conditions announced in 2014 to settle international arbitration cases and achieve the best economic return to Egypt, which is the condition to allow the export of Israeli gas through its territory.

According to the source, the agreement reached was due to the strength of Egypt’s position and the need of the Israeli side, as the gas produced from the Mediterranean Sea has no way out for exportation except through Egypt, through its national gas network and liquefaction plants.

The transfer of gas from two Delek fields in the Mediterranean to Egyptian territory will start by the first quarter of next year.

The International Chamber of Commerce (ICC) issued a ruling mandating EGAS and the Egyptian General Petroleum Corporation (EGPC) in December 2015 to pay compensation to the Eastern Mediterranean Gas Company worth $288m and $1.7bn to the Israel Electric Corporation, following Cairo’s decision to suspend gas exports to Tel Aviv in April 2012.

Earlier, the Ministry of Petroleum and Mineral Resources announced an agreement on an amicable settlement over the dispute with the Israeli side on the issue of gas export, which includes three main items.

The first clause states that after reaching the closing date “the date of activation of the settlement agreement by the parties,” the Israel Electricity Authority will waive all rights arising in connection with the arbitration award rendered in its favour.

The second item included setting the settlement value and the mechanism of payment by $500m to be repaid over eight and a half years. On the date of activating the settlement agreement, $60m will be paid as a down payment, and $40m will be paid six months from the date of activation of the settlement agreement. The remaining 16 semi-annual instalments amount to $25m.

Payment will be guaranteed by issuing a letter of credit from the National Bank of Egypt in accordance with the provisions of Egyptian law.

The last clause stipulates that in case of non-payment of two instalments and the inability of the Israel Electricity Authority to obtain the amount of the settlement remaining under the settlement agreement, by requesting expedited payment of the remaining amount through the bank letter of credit issued to it, it is entitled to terminate the settlement agreement provided that it refunds all amounts obtained under the settlement agreement.

The source pointed out that Egyptian liquefaction plants are a major hub in the Mediterranean region to export 1.88bn cubic feet of gas per day (scf/day) to European markets, in addition to a national network to transport natural gas within the country with a capacity of 9bn scf/day.

Egypt has achieved self-sufficiency of gas locally and total production increased to about 7bn scf/day, compared to the market needs estimated at 6.3bn scf/day.

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Ecomondo 2019 tackles green business in MENA https://wwww.dailynewssegypt.com/2019/11/01/ecomondo-2019-tackles-green-business-in-mena/ Fri, 01 Nov 2019 13:30:19 +0000 https://wwww.dailynewssegypt.com/?p=712669 Organised by Italian Exhibition Group (IEG), at Rimini Expo Centre, from 5 to 8 November, Ecomondo is the reference point for international markets.

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The countdown has begun for Ecomondo 2019, the Euro Mediterranean’s number one green and circular economy show. Over 500 buyers on their way to Italy for Ecomondo from the Middle East and North Africa, Eastern and Northern Europe, the Balkans, Asia, North America, Australia and Latin America as well as attendances from Turkey, India, Pakistan, South East Asia, and China.

Organised by Italian Exhibition Group (IEG), at Rimini Expo Centre, from 5 to 8 November, Ecomondo is the reference point for international markets.

Ecomondo will also witness the Italy-Egypt Business Forum for the first time, under the theme “Water, Energy, Waste, Mobility”, which is organised by Ecomondo’s technical scientific committee in partnership with the Italian embassy in Cairo, and the Italian Chamber of Commerce in Egypt. 

The forum will highlight the Egyptian government’s investments for the next five years in the field of environmental infrastructure, renewable energies, industrial and organic waste management, and transport and mobility sector.

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Alcazar Energy trains 96 secondary school, university students on installation, operation of solar plants https://wwww.dailynewssegypt.com/2019/11/01/alcazar-energy-trains-96-secondary-school-university-students-on-installation-operation-of-solar-plants/ Fri, 01 Nov 2019 13:00:57 +0000 https://wwww.dailynewssegypt.com/?p=712666 The company aims to reduce the consumption of fossil fuels and the cost of power generation and carbon dioxide emissions in the countries in which it operates, improve the efficiency of electrical energy, and create a balanced socio-economic value. The company's investments amount to $800m.

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Alcazar Energy has trained 96 secondary school, university students from Benban, Daraw, and Kom Ombo, in Aswan governorate to install and operate solar power plants.

Mohamed Zidan, regional director and business development manager of the company, said the training programme includes improving the energy efficiency of public schools and the educational environment in them, as well as raising the community awareness about the importance of clean energy among youth, starting with secondary school and university students in Aswan.

He added that Alcazar Energy has prepared a long-term plan for the community development of the villages of Benban, Rigba and Mansouriya, based on several aspects, the most important of which is education, as they believe in the role of education in the development of nations.

The company aims to reduce the consumption of fossil fuels and the cost of power generation and carbon dioxide emissions in the countries in which it operates, improve the efficiency of electrical energy, and create a balanced socio-economic value. The company’s investments amount to $800m.

Mohamed Megahed, Deputy Minister of Education, said that technical education is the real engine for the progress and development of any society. Technical education in Aswan is currently witnessing major development after opening five renewable energy schools teaching modern curricula developed in cooperation with the private sector.

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Signify Egypt renews lighting control system of Qalawun complex https://wwww.dailynewssegypt.com/2019/11/01/signify-egypt-renews-lighting-control-system-of-qalawun-complex/ Fri, 01 Nov 2019 13:00:17 +0000 https://wwww.dailynewssegypt.com/?p=712656 The complex is one of the famous architectural monuments located in the heart of Al-Muizz Street. It consists of a mosque, a school, a dome, a mausoleum, and a bimaristan (hospital) which was built by Sultan Al-Mansur Qalawun in 1285.

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Signify Egypt has renewed the lighting control system of Sultan Al-Mansur Qalawun complex in Al-Muizz Street, Cairo.

The complex is one of the famous architectural monuments located in the heart of Al-Muizz Street. It consists of a mosque, a school, a dome, a mausoleum, and a bimaristan (hospital) which was built by Sultan Al-Mansur Qalawun in 1285.

The replacement and renovation of the complex’s lighting control system comes within the framework of the third Art D’Egypte exhibition within the complex, which is held this year under the auspices of UNESCO and the Egyptian Ministry of Antiquities in order to promote the Egyptian heritage.

Mohamed Abou El Azayem, general manager of Signify Egypt and North East Africa, said the company used its latest lighting technology to showcase the richness and beauty of the architectural details of the complex, as well as lighting the façade and the complex’s exterior, including the lighthouse and the dome. The company has also re-installed lighting systems in the interior of the complex using energy-saving LEDs.

It is part of a series of initiatives undertook by Signify to preserve the Egyptian cultural heritage, where it participated in changing the lighting control systems of the Egyptian Museum last year, in addition to other cultural and heritage places, such as Baron Empain Palace, Cairo Opera House, and Mohamed Ali Palace in Manial district.

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NREA to decide on Vestas’ offer to establish Gulf of Suez wind farm before end-2019 https://wwww.dailynewssegypt.com/2019/11/01/nrea-to-decide-on-vestas-offer-to-establish-gulf-of-suez-wind-farm-before-end-2019/ Fri, 01 Nov 2019 12:30:03 +0000 https://wwww.dailynewssegypt.com/?p=712663 The source said the project’s capacity can be increased in case of securing larger funding.

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The New and Renewable Energy Authority (NREA) is to complete its evaluation of the financial offer by Vestas to launch a 250MW wind farm in the Gulf of Suez before the end of this year.

A source close to the bid evaluation told Daily News Egypt that the NREA has approved in principle the offer made by Vestas, after Siemens Gamesa and Senvion withdrew their offers to launch the plant. The three companies were technically qualified in the tender put forward for the implementation of the project.

The source said the project’s capacity can be increased in case of securing larger funding.

The German Development Bank (KfW) would finance the project with a €260m loan, in cooperation with the European Investment Bank, the French Development Agency, and the European Union. The loan will be granted to Vestas once it is awarded the project’s contract.

The Ministry of Electricity aims to produce 20% of the country’s energy from new and renewable resources by 2022, and over 42% by 2035, which would raise contribution of renewable resources in the energy mix to 6,000MW.

On a different note, the NREA started implementing the Minister of Trade and Industry’s decision to test imported photovoltaic solar systems and heaters at the NREA labs.

The source added that the importing companies of solar energy equipment are now obliged to conduct product tests at both the General Authority for Standards and Quality and the NREA to verify their quality.

The source pointed out that the main objective is to ensure the quality and efficiency of the products that are imported and installed in Egypt. The decision issued by Minister of Trade and Industry, Amr Nassar, last year, giving some time for producers and importers to adjust their conditions.

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Egypt receives $2bn worth bids to establish waste-to-energy projects https://wwww.dailynewssegypt.com/2019/11/01/egypt-receives-2bn-worth-bids-to-establish-waste-to-energy-projects/ Fri, 01 Nov 2019 12:00:03 +0000 https://wwww.dailynewssegypt.com/?p=712660 Arab, foreign companies find appetite to invest in the sector after cabinet’s approval of feed-in tariff

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Both Ministries of Electricity and Environment have received a load of proposals to establish waste-to-energy projects after the cabinet approved the feed-in tariff for such projects. Total investment bids received from Arab and foreign companies amounted to $2bn.

A government source told Daily News Egypt that bidding companies included Entag, Egyptian Company for Solid Waste Recycling (ECARU), Empower Energy, Global Knowledge Company (GKC), China Power International Development, Recovered Energy Group, Intro Group, Shanghai Electric, and others.

The cabinet set the feed-in tariff for waste-to-energy projects at 140 piasters per kW/h. The tariff will be payable in EGP and will remain in place for 25 years. Under the tariff decision, the governorate in which the project is set up will pay 103 piasters per kW/h, while the remaining 37 piasters will be paid by sanitation organisations falling under the Environment Ministry’s jurisdiction.

According to the cabinet’s decision, the land of the project will be allocated by the hosting governorate on a usufruct scheme. Furthermore, each governorate – where the plant is located – will be responsible for providing the needed waste for the plant free of charge.

Khalid Al-Farra, a consultant for the waste-to-energy tariff, said the 140 piasters tariff set by the cabinet is feasible. According to the technical and financial studies upon which the tariff was determined, it is attractive and very encouraging for investment, and took into account the interests of both the state and investors, he added.

Ehab Tahoun, chairperson of the South Korea’s GKC Group, said the government-approved tariff is encouraging and attractive for investment, and opens the way for companies to invest heavily in this sector. The group aims to enter a waste-to-energy project with $225m investment in the first week of December, he revealed.

Tahoun explained that the target project’s incineration capacity will reach 600 tonnes of waste per day, adding that the project will be financed by a Saudi investor. GKC also aims to establish 10 power plants in Egypt in the coming period.

Hatem El Gamal, chairperson of Empower, said his company aims to launch four waste-to-energy plants in Egypt with investments up to EGP 400m.

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Rosatom reviews Dabaa nuclear plant’s designs as execution starts 2H 2020 https://wwww.dailynewssegypt.com/2019/10/31/rosatom-reviews-dabaa-nuclear-plants-designs-as-execution-starts-2h-2020/ Thu, 31 Oct 2019 17:11:18 +0000 https://wwww.dailynewssegypt.com/?p=712585 Al-Sisi follows up on the project, while four government agencies participate in building the plant

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The Russian state-owned Rosatom company, responsible for implementing the Egyptian nuclear plant in Dabaa, is currently reviewing the initial designs of the project in cooperation with the Nuclear Power Plants Authority (NPPA).

A government source told Daily News Egypt that the Russian company conducted more than 20 studies on the site of Dabaa plant to ensure its validity for the nuclear project. After the Russian company and the NPPA approves the designs, they will be submitted to the Egyptian Nuclear and Radiological Regulatory Authority (ENRRA) for ratification.

The source explained that the design review aims to affirm the safety of the project to avoid any nuclear leakage. The plant’s reactors are equipped with automatic shutdown in case of any technical problem in the plant.

Construction of the Dabaa plant is scheduled to start in the second half (2H) of 2020 after obtaining the construction permission from the NRRA, the source said.

Vice President of Rosatom’s Engineering Sector, Grigory Sosnin, said in an earlier statement that the first concrete to be poured in the plant will be in 2020.

The source added that Rosatom will train 2,000 Egyptian workers on operation, maintenance, and management of nuclear reactors, allowing trainees the chance to visit Russian nuclear plants similar to the proposed one in Egypt.

The source pointed out that President Abdel Fattah Al-Sisi follows up on the procedures of establishing the Dabaa plant, while there are 40 government agencies engaged in the project.

Al-Sisi and his Russian counterpart Vladimir Putin witnessed the signing of the protocol to start the construction of four nuclear reactors in the Dabaa region with a total capacity of 4,800MW.

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BP invests $2.7bn to develop North Alexandria’s Giza and Fayoum gas fields https://wwww.dailynewssegypt.com/2019/10/31/bp-invests-2-7bn-to-develop-north-alexandrias-giza-and-fayoum-gas-fields/ Wed, 30 Oct 2019 23:39:55 +0000 https://wwww.dailynewssegypt.com/?p=712583 Production of second phase amounts to 680m scf/day

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BP has invested $2.7bn to implement the second phase of the North Alexandria’s Giza and Fayoum gas fields to produce about 680m cubic feet of gas per day (scf/day) during the last fiscal year.

A source at the Egyptian Natural Gas Holding Company (EGAS) told Daily News Egypt that BP has started the implementation of the third phase of the Raven gas project to bring its total production output to 1.5bn scf/day early 2020.

He explained that the third and final phase of the project involves connecting 850m scf/day from the Raven field in the deep water in the Mediterranean Sea, with an average production rate of 350m scf/day.

A gas processing plant, which will receive the output of Raven field, is under construction, with a capacity of 900m scf/day, he said.

The source pointed out that the natural gas produced from the Raven field has special specifications different from the previous two stages of Libra, Torres, Giza, and Fayoum fields, and the new treatment plant is being built next to Rashid treatment plant.

Gas production from the Giza and Fayoum fields began in February with a capacity of 400m scf/day. Production rose to 680m feet in June, with the two fields comprising of eight deep water wells in the Mediterranean.

The source added that BP is developing the project of the North Alexandria deep water well in the Mediterranean in accordance with the plan agreed with EGAS.

He estimated the proven reserves of the fields north of Alexandria at about 5tn cubic feet of gas. Currently, British BP owns 82.75% of the concession, and Wintershall Dea owns 17.25%.

He explained that these wells will contribute to compensate the rate of the natural decline of domestic production and will contribute increasing production to more than 7bn scf/day.

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Egypt secured $162bn worth of petroleum products over past five years  https://wwww.dailynewssegypt.com/2019/10/29/egypt-secured-162bn-worth-of-petroleum-products-over-past-five-years/ Tue, 29 Oct 2019 20:28:10 +0000 https://wwww.dailynewssegypt.com/?p=712457 Fuel and gas domestic consumption recorded 386 m tonnes since 2014

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The Ministry of Petroleum and Mineral Resources has succeeded in providing 386 m tonnes of petroleum products and natural gas to the local market over the past five years, at a total cost of $162bn.

A source at the ministry told Daily News Egypt that the rate of domestic consumption of petroleum products such as petrol, diesel, and jet fuel, increases by about 4% annually. While the consumption of LPG cylinders falls by about 2% annually due to the expansion of the plan to deliver natural gas to households.

The ministry seeks to reduce the deficit between the domestic production and consumption of petrol by 3.8% during the next fiscal year, bringing the total domestic production to about 7.6 m tonnes annually, compared to 8 m tonnes of consumption.

 The source said that the production of diesel locally will rise to about 14.7 m tonnes annually during the next fiscal year, compared to 16.8 m tonnes of consumption, which reduces the deficit by about 12.5%.

He added that the rate of production of LPG will increase to 2.6 m tonnes per year compared to about 3.9 m tonnes of domestic consumption, to reduce the deficit by 33.3%.

The source pointed out that the production of jet fuel locally reached 4.1 m tonnes annually, with consumption at about 670,000 tonnes, which achieves an exportable surplus of 3.43 m tonnes during the next fiscal year.

He explained that the increase in domestic production of petroleum products is a result of the exploitation of the capacities in Egyptian refineries, and the import of crude oil instead of products, saving millions of dollars for the country.

Minister of Petroleum and Mineral Resources Tarek El-Molla said in previous statements that work is underway to secure crude oil supplies for Egyptian refineries through importation to increase domestic production of fuel.

He pointed out that the ministry is seeking to complete the extension of the Iraqi oil pipeline expected to be established between Basra in Iraq and Aqaba in Jordan to reach Egypt.

El-Molla added that the ministry aims to achieve self-sufficiency of fuel and petroleum products after the completion of all new expansions of Egyptian refineries during the year 2022/2023.

Egypt has about eight crude oil refineries with a production capacity of 38 m tonnes, of which about 25 m tonnes are used annually.

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Egypt to export electricity to Sudan in 1Q 2020 https://wwww.dailynewssegypt.com/2019/10/29/egypt-to-export-electricity-to-sudan-in-1q-2020/ Tue, 29 Oct 2019 16:43:40 +0000 https://wwww.dailynewssegypt.com/?p=712385 Alternative feeding will be completed via Owainat-Balat line in December

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Egypt will start exporting electricity to Sudan during the first quarter (1Q) of next year through a power line linking the two countries, with a capacity of 300MW.

Informed sources told Daily News Egypt that the Egyptian government has completed all the technical procedures for the project of electrical interconnection with Sudan, leaving only the completion of alternative feeding via a transmission line of 220 kilovolt (kV) to connect the two stations from Owainat to Balat, in the New Valley governorate.

The sources added that the Egyptian Electricity Transmission Company (EETC) officials are following up the developments of the electricity interconnection project with the Sudanese side. There are some tasks and requirements that are being finalized to receive electricity exported from Egypt through the interconnection line including a follow-up from the German company Siemens.

The sources pointed out that Egypt has completed the implementation of 100-km lines up to Arqin, the border crossing between Egypt and Sudan. Both sides will soon start the agreement reviewing the exchange metre, production capacity, and the amount of energy that Egypt will supply to Sudan to start operation.

The sources pointed out that the financial matters and ways of paying the value of access to electricity, whether in cash or through other economic agreements are through political leaderships between the two countries.

Trade volume between the two countries reached about $364m in the first eight months of last year, of which $222m are Egyptian exports and $142m are Sudanese exports to Egypt.

Egypt has invested heavily in the production of electricity during the past four years, and has a surplus of up to 20,000 MW and is working to link with all neighbouring countries to export this surplus.

Sudan produces about 3,000MW of electricity, about half of which are from dams on the Nile, and about half of the population is not covered by the electricity. On the other hand, Egypt has demand for food commodities including meat, grains, and oils. Sudan is one of the important markets to supply part of these needs, particularly meat.

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EETC contracts with Elmako Pty Ltd, El Sewedy to add 101 transformers for EGP 656m https://wwww.dailynewssegypt.com/2019/10/24/eetc-contracts-with-elmako-pty-ltd-el-sewedy-to-add-101-transformers-for-egp-656m/ Thu, 24 Oct 2019 19:31:24 +0000 https://wwww.dailynewssegypt.com/?p=712000 Mashaly added that the total cost of the contract amounts to EGP 325m, financed from the credits of the projects of high voltage and ultra-high voltage transformer stations in target electricity scopes in the budget of the fiscal year (2019-2020).

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The Egyptian Electricity Transmission Company (EETC) has signed a contract with Elmako Pty Ltd and El Sewedy Electric to add 101 power transformers worth EGP 656m.

Sabah Mashaly, EETC’s chairperson, said they have contracted Elmako Pty Ltd to add 50 transformers. The contract includes the supply and supervision of installation and testing for about 50 (66/22-11 kV) transformer with a capacity of 40 MVA for transformer stations of the regions of Cairo, Alexandria, West Delta, Canal, Delta, Upper Egypt, and Central Egypt.

Mashaly added that the total cost of the contract amounts to EGP 325m, financed from the credits of the projects of high voltage and ultra-high voltage transformer stations in target electricity scopes in the budget of the fiscal year (2019-2020). The duration of the supply is up to five months from the date of signing the contract.

She added that a contract was signed with El Sewedy Electric to supply and supervise the installation and testing of 51 transformers with a voltage of 66/22-11 KV, with a capacity of 40 MVA.

She explained that the total cost of the contract amounted to about EGP 331m to be financed from the appropriations of the various electricity zones in the budget of the fiscal year (2019-2020), while the duration of the supply is up to about five months from the date of signing the contract.

She explained that the contract includes the supply and installation of six transformers with capacity of 175 MVA of 220/66/11 kV for the substations of Kafr El-Sheikh 500 kV and Zezenia 220 kV as an additional order on the contract signed earlier.

The total cost of the contract is EGP 20m to be financed by the EETC, with an implementation period of up to eight months from the date of notification of acceptance.

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Oil prices plunged to $59.12 per barrel on the back of increased US stockpiles https://wwww.dailynewssegypt.com/2019/10/23/oil-prices-plunged-to-59-12-per-barrel-on-the-back-of-increased-us-stockpiles/ Wed, 23 Oct 2019 21:08:58 +0000 https://wwww.dailynewssegypt.com/?p=711960 Decline in global demand for oil threatens to OPEC's plans to cut production, says Youssef

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Oil prices fell in Wednesday’s trading to about $59.12 per barrel, compared to average $62 in September, due to the increase in US crude oil stockpiles more than expected. However, the prospects of deepening production cuts from the Organization of Petroleum Exporting Countries (OPEC) and its allies prevented further decline.

Medhat Youssef, an oil expert, told Daily News Egypt that although OPEC continues to implement the agreement to reduce oil production to reduce the quantities offered on world markets, the political events in the region and the increase of US stocks have contributed to the volatility of prices.

He explained that the oil market is currently affected by the trade war between the US and China, and the increase in oil reserves in the US, in addition to fears of weak growth in demand for oil next year.

Youssef predicted that the price of a barrel of oil will continue to decline in global markets in light of the increase in the quantities of gas supply and low prices, making it a less expensive alternative fuel and cleaner for the environment for many countries, which leads to a decline in demand for oil.

Data from the American Petroleum Institute showed that US crude oil inventories rose by 4.5 million barrels to 437m barrels last week, compared with analysts’ expectations of a 2.2m barrels increase.

OPEC and its allies are seeking to deepen crude production cuts at their next meeting in December, due to fears of weak demand growth in 2020.

Experts at Goldman Sachs predicted that crude oil prices will stabilize at current levels next year in conjunction with concerns about geopolitical tensions, and slowing global economic growth due to the trade war between the United States and China, where Brent is expected to stabilize at $60 a barrel in 2020.

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Egypt sets waste-to-energy purchasing tariff at EGP 1.4 per kw/h https://wwww.dailynewssegypt.com/2019/10/23/egypt-sets-waste-to-energy-purchasing-tariff-at-egp-1-4-per-kw-h/ Wed, 23 Oct 2019 19:19:42 +0000 https://wwww.dailynewssegypt.com/?p=711957 Earlier, Daily News Egypt reported that several government agencies will share in the purchasing tariff of electricity from waste-to-energy plants for two years, bearing 37 piasters to be added to the original tariff of EGP 1.03 to reach EGP 1.40 per kw/h.

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Egypt’s cabinet approved the purchasing tariff of electricity from waste-to-energy plants on Wednesday at EGP 1.4 per kW/h.

Earlier, Daily News Egypt reported that several government agencies will share in the purchasing tariff of electricity from waste-to-energy plants for two years, bearing 37 piasters to be added to the original tariff of EGP 1.03 to reach EGP 1.40 per kw/h.

According to the cabinet’s decision, the purchase price shall be in Egyptian pounds and in accordance with a price formula applied over a period of 25 years. The purchase agreement for the electric power generated from waste shall be between the governorate where the production plant is located and the plant itself. The land of the project will be allocated by the hosting governorate on a usufruct scheme.

Furthermore, each governorate – where the plants is located – will be responsible for paying the tariff and providing the needed waste for the plant free of charge.

Egypt’s annual wastes amount to 100m tonnes, including 42m tonnes from construction and demolition, 30m tonnes from agricultural processes, 21m tonnes of solid domestic waste (rubbish), 3m tonnes from digging and draining, and 2.9m tonnes from industry, and 0.14m tonnes of medical waste.

Article four of the decree states that the governorates collects the electricity supply tariff supplied at 103 piaster per kw/h, while 37 piasters per kw/h will be paid for by the municipal solid waste or biogas facility. In the case of electricity production from the sludge from the wastewater treatment plant, the remaining fee will be paid by the agency that owns the sewage treatment plant.

Previously, the cabinet announced a preliminary purchasing tariff of waste-to-energy at 92 piasters per kw/h, which investors and experts considered very low compared with the technology and huge investments of such projects. Therefore, the ministry agreed to fix the tariff to attract more investments.

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Factories and companies turn to solar energy to reduce electricity bills https://wwww.dailynewssegypt.com/2019/10/23/factories-and-companies-turn-to-solar-energy-to-reduce-electricity-bills/ Wed, 23 Oct 2019 14:22:19 +0000 https://wwww.dailynewssegypt.com/?p=711933 Infinity Solar aims to launch 200 MW power plants, sell power to factories

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Investors and factories associations are seeking to establish solar power plants to reduce their electricity consumption bill to lower monthly expenses.

The Electricity Law allows the private sector to establish renewable energy plants and sell electricity directly to consumers, for a price 10%-17% lower than the price the government is offering.

Ayman RedaSecretary-General of the 10th of Ramadan Investors Association, said that the association would arrange a meeting with four companies specialised in the construction of solar power plants next month.

He added that these companies offered to meet with members of the association to possibly offer help in establishing solar power plants inside or near to factories. They also offered to provide the necessary financing in cooperation with some banks.

Furthermore, Reda explained that factories looking to convert production towards new and renewable energy to provide for their own electricity needs. Also, with the surplus energy they create, they will add energy to the electricity grid, bringing in additional profits for themselves.

He pointed out that despite the high initial investment costs investors face when establishing power plants, the future is headed quickly to a green economy, especially in light of the government’s tendency to liberalise energy prices

One of the city’s investors, Adel El-Shanawani the Managing Director of El Delta for Sweets said that he built a solar power plant in 2016 on an area of 2,400 square metres above his factory in 2016, with investments of about $230,000.

El-Shanawani added that the establishment of the plant took place right before the currency flotation, which played a major role in lowering the cost, a complete opposite of his original plan of waiting until the end of the economic reforms which would have doubled the project’s investment cost.

He explained that the maximum power of the plant is 350 kW per hour, as it depends on the availability of photovoltaic energy generated by the sun. The company will also install a meter that calculates the surplus electric power so to sell to the Ministry of Electricity.

 

El-Shanawani pointed out that the solar power plant established by the company contributed to reducing the electricity bill.

Similarly, Bahaa El AdlyChairperson of the Investors Association of Badr City said that the government’s move towards investing in the new and renewable energy sector is a good step, especially as it comes in cooperation with the private sector.

By generating electricity, the private sector will contribute to lifting a large part of the burden placed on the government.

El Adly explained that some factories in Badr City began to establish solar power plants to diversify their investment portfolio and reduce their electricity expenses.

He ruled out the idea of establishing central stations to generate electricity for the factories of the city, saying that there is no shortage of electricity at the moment. El 

El Adly further explained that the ministry has already raised the capacity of the city’s power plant from 100 to 155 MW, and there is another plant with a capacity of 160 MW.

He pointed out that the problem that the city was facing, and is still facing, were power outages in the network. However, that problem was partially solved over the previous phase of network refortification.

On the other hand, Fouad Aminpresident of the Investors Association for 15 of May City, said the city’s factories would be tempted to buy electricity produced through solar power plants, if their price was lower than, or equal to, the price provided by the government.

However, he said the association did not rule out the idea of establishing a central solar plant station in the city, as long as there are proper incentives and funding provided by the state. “We are especially keen since investors were looking to construct a station to convert rubber and plastic into diesel, but the lower offer from the government prevented investors from proceeding.

Ibrahim Metawie KarmSolar’s general manager said that his company obtained the first license to sell electricity directly to consumers, and then it sold the produced energy to Juhayna. His company also contracted with Dakahlia Poultry to sell electricity with a capacity of 5.7 MW. It charges a lower price than electricity distribution companies.

He added that the company is currently building a solar power plant in Wadi Natrun with a capacity of 17 MW, and will sell the capacity produced from the project to the Dakahlia Poultry, for a lower price than what the government offers.

 

He explained that the company is negotiating with several companies in Minya and Beni Suef to sell electricity to them. Metawie explained there is a high demand for factories and companies because they cannot bear the cost of establishing a plant by themselves.

Hisham El-Gamal, Public Relations and HR director at Infinity Solar, said that the company plans to launch solar power plants and sell 200 MW in the first phase following the IPP, which includes selling energy directly to consumers for less money.

He added that the company has agreed with a group of high-consumption companies and factories to sell electricity directly to them through solar power stations for an attractive price for 15 to 25 years, but did not disclose the value of the tariff provided.

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Enara Capital launches 800 MW renewable power plants in five years https://wwww.dailynewssegypt.com/2019/10/23/enara-capital-launches-800-mw-renewable-power-plants-in-five-years/ Wed, 23 Oct 2019 14:10:36 +0000 https://wwww.dailynewssegypt.com/?p=711922 The company has completed the implementation of three projects in Aswan with a capacity of 150 MW

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Investment management company Enara Capital aims to launch 800 MW of renewable power plants within five years inside and outside Egypt.

Founder and Chairman of Enara Group Sherif EL Gabaly, said that 70% of the renewable energy projects will launch outside Egypt, as Enara Energy, one of the group companies, has contracted projects to establish solar plants with a total capacity of 130 MW, including 50 MW in Kazakhstan, 40 MW in Kenya, and 40 MW in Saudi Arabia.

He pointed out that Enara is among the candidates who might participate in renewable energy projects in Nigeria, competing for several tenders and looking to invest in other countries within Africa in coming years.

In addition, El Gabaly said that Enara is negotiating to launch 200 MW solar power stations with the independent power producer (IPP) system and net metering, as 130 MW plants will be established using the first IPP system and about 70 MW plants will be established using the net metering system next November.

He pointed out that the company has completed the implementation of three solar power plants in Benban, Aswan, with a capacity of 150 MW as part of the feed-in tariff programme, and it began to sell electricity produced from its projects to the Egyptian Electricity Transmission company (EETC).

El Gabaly also said that the tariff projects are meant to attract Arab and international companies interested in solar energy to invest in Egypt. The Egyptian government over the past three years, has passed various legislation that dictates incentives and facilities for those in the private sector looking to create power plants that produce electricity from renewable sources.

On that note, he stressed the need to launch a national initiative to finance renewable energy projects to expand and keep pace with Egypt’s 2030 plan, which will be discussed with a number of officials from the Central Bank (CBE) to deploy renewable energy applications and implement many projects in the coming period.

He also stated that the EETC has succeeded in attracting Arab and foreign companies to invest in the field of electricity production. The coming period will witness an increase in investment in the field of transmission and distribution and will open more ways for companies to implement projects and sell electricity to consumers in areas isolated from the electricity grid.

The increase in demand for solar plants will also increase demand for solar power plant components, creating factories and more jobs for the Egyptian population, El Gabaly explained. He also suggested setting a mandatory rate of consumption for factories using renewable energy.

“The solar complex in Benban succeeded in creating a recovery in Aswan, and resulted in the launch of several Egyptian companies that responded to the needs of projects, and opened the way for Egyptian developers to launch similar projects, and compete for projects outside Egypt,” he added.

He explained that the rapid demand for solar energy is in line with the government’s strategy to produce 37% of the electrical grid’s energy via new and renewable energy sources by 2035.

El Gabaly concluded that the support coming from the political leadership and the government for new and renewable energy projects has contributed to attracting Arab and international companies to invest in Egypt.

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Egypt’s total gas consumption records 5.97bn scf/day in FY 2018/19  https://wwww.dailynewssegypt.com/2019/10/22/egypts-total-gas-consumption-records-5-97bn-scf-day-in-fy-2018-19/ Tue, 22 Oct 2019 18:59:01 +0000 https://wwww.dailynewssegypt.com/?p=711759 EGAS revealed that Electricity Ministry received 62.3% of locally consumed gas 

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Egypt’s average consumption of natural gas domestically gas during the last fiscal year(FY) recorded about 5.97bn cubic feet per day (scf/day), compared to 5.75bn scf/day in FY 2017/18, according to a report issued by the Egyptian Natural Gas Holding Company (EGAS).

The report revealed that electricity plants consumed 62.3% of Egypt’s natural gas needs, equivalent to about 3.72bn scf/day, aside from the amount of diesel it received daily, the report said.

While the country’s industrial sector accounted for the largest share of consumption after electricity, consuming about 1.345bn scf/day, accounting for 22.5% of the total consumption during FY2018/19.

The report pointed out that the petroleum sector accounted for 10.1% of the total domestic consumption, while households and cars consumed 304.8m scf/day of natural gas, accounting for about 5.1%.

Egypt’s consumption rate is constantly growing, on the back of the industrial development, urban development, and conversion of vehicles to run on natural gas.

Egypt’s Ministry of Petroleum reduced the total production of natural gas to about 6bn scf/day during the current fiscal year instead of 7bn scf/day currently produced, due to the decline in both domestic consumption and exports.

A source at the Ministry of Petroleum told Daily News Egypt earlier that a surplus of natural gas production has been achieved in the different concession areas, estimated at 1bn scf/day, as power plants consumption declined.

He pointed out that the consumption of power plants decreased to about 3.7bn scf/day compared to 4.5bn scf/day during last summer, due to lower temperatures, which increased the efficiency of production plants and reduced electricity consumption.

He pointed out that the new projects have been linked to production such as Zohr, Nooros, North Alexandria, and Baltim Southwest, and had contributed to the rise of Egypt’s gas production at unprecedented rates.

 The source added that Egypt’s natural gas production is expected to increase to 7.5bn scf/day during FY 2019/20.

 

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Egypt plans to establish $1.2bn CSP solar power plants https://wwww.dailynewssegypt.com/2019/10/16/egypt-plans-to-establish-1-2bn-csp-solar-power-plants/ Wed, 16 Oct 2019 18:43:14 +0000 https://wwww.dailynewssegypt.com/?p=711163 Osama Kamal plans to submit legislation to replace the old stations with CSP ones

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Smart Engineering Solutions, in cooperation with the Ministry of Military Production, plans to launch concentrated solar power (CSP) plants and manufacture components of this system in Egypt with investments of $ 1.2bn.

Osama Kamal, company’s chairperson told Daily News Egypt that they started the selection process of CSP companies to cooperate with, “from a shortlist of up to16 companies, by the end of November, in collaboration with the international energy expert, Hany Al-Nokrashy.”

He added that upon the selection of the company, there will be a partnership, to deepen the CSP technology and start manufacturing within the factories of military production within 12 months.

Kamal revealed he is preparing draft legislation to replace old and outdated electricity stations with CSP power stations.

According to Kamal, the work plan the construction of five CSP power plants with a total capacity of 250 megawatts, 50 megawatts each, with $1.25bn investment, as each station costs around $250m.

“The state will not bear the burdens for the implementation of these projects, up to 70% of the financing will be from international bodies, 10-15% will be from local banks,” he explained.

In regards to the feasibility of CSP, Al-Nokrashy said that it has a higher yield and lower cost. He added that CSP plants use mirrors to concentrate the sun’s energy to drive traditional steam turbines or engines that create electricity.

“Energy can be stored and used to produce electricity when it is needed, day or night so that electricity can be produced over 24 hours,” he concluded.

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NARI, B Electric compete to implement new solar plant in Zafarana https://wwww.dailynewssegypt.com/2019/10/16/nari-b-electric-compete-to-implement-new-solar-plant-in-zafarana/ Wed, 16 Oct 2019 10:46:23 +0000 https://wwww.dailynewssegypt.com/?p=711087 Studying financial bids, and contract awarding to the winning company before end-2019

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NARI Group Corporation and B Electric are competing in a tender for the construction of a solar power plant in Zafarana with a capacity of 50MW. The New and Renewable Energy Authority (NREA) is expected to decide on the tender before the end of December.

A source in the NREA told Daily News Egypt that three companies, NARI, B Electric, and Vikram Solar have submitted their technical bids to the authority, but Vikram’s bid was rejected. The other two companies, then, presented their financial bids, and the NREA will study them next month to choose the winning company in December.

The source added that the NREA is examining the offers submitted, in cooperation with Intech Energy, a consultant of solar power projects. They are also discussing the energy purchase tariff from the Zafarana project, which will not be the same purchasing tariff that the Egyptian Electricity Transmission Company (EETC) has approved for other stations.

The Ministry of Electricity aims to produce 20% of the country’s total energy from new and renewable resources by 2022, and open the way for the private sector and Arab and international companies to invest in projects.

The source pointed out that the numerous requests submitted to the NREA for investment in renewable energy prove the sector’s ability to attract foreign direct investment to the country.

The existing projects include the 545MW Zafarana wind farm, the 580MW Gabel El Zeit wind farm complex, the 140MW Integrated Solar Combined-Cycle (ISCC) plant in Kuraymat, and the first 26MW solar cell project in Kom Ombo, as well as the feed-in tariff projects in Benban, Aswan.

The source pointed out that the Ministry of Electricity intends to offer tenders for launching 300MW projects next year, most of which will be implemented by the private sector, whether through tenders, auctions, BOO schemes, or others.

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Egypt supplies natural gas to 1.2m households in 1Q 2020: El-Molla https://wwww.dailynewssegypt.com/2019/10/14/egypt-supplies-natural-gas-to-1-2m-households-in-1q-2020-el-molla/ Mon, 14 Oct 2019 17:01:38 +0000 https://wwww.dailynewssegypt.com/?p=710895 El-Molla revealed that the connection process was accelerated in the first quarter (Q1) of FY 2019/20, as the natural gas supply was extended to 21 new areas.

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Egypt’s Minister of Petroleum, Tarek El-Molla, announced that 1.2m households were connected to the natural gas grid during the current fiscal year (FY) 2019/20.

El-Molla revealed that the connection process was accelerated in the first quarter (Q1) of FY 2019/20, as the natural gas supply was extended to 21 new areas.

Last year, the Ministry of Petroleum launched an initiative to reduce the costs of natural gas connection to households. It provides a facilitated payment plan with EGP 30 monthly instalments added to the gas bill over a 6-year period, without down payment.

“The initiative contributed positively to the increase of citizens’ interest in delivering gas to their houses instead of LPG cylinders,” he clarified.


El-Molla’s statement came during the follow-up report
on the implementation of the Household Natural Gas Connection project, which aims to expand the natural gas network to reach 17m households by 2030, roughly 800, 000 connections a year.


From July to September, about
306,000 households were connected to the natural gas grid, representing 102% of the target.

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EETC to sign power purchase agreement with Siemens Gamesa within weeks https://wwww.dailynewssegypt.com/2019/10/14/eetc-to-sign-power-purchase-agreement-with-siemens-gamesa-within-weeks/ Sun, 13 Oct 2019 22:24:13 +0000 https://wwww.dailynewssegypt.com/?p=710843 German company to build 500MW wind farms in Egypt, Japanese institutions to finance the first phase

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The Egyptian Electricity Transmission Company (EETC) will sign a power purchase agreement with Siemens Gamesa within weeks.

The cabinet approved at its last meeting to contract with the German company to implement wind farms with a total capacity of 500MW under the BOO scheme and the same contractual terms of the previous tender.

A source at the Ministry of Electricity told Daily News Egypt that the cabinet approved an offer by Siemens to launch two wind power plants, the first with a capacity of 180MW and the other of 320MW.

The source added that the Marubeni alliance will secure the required funding for the implementation of the first phase of the project from Japanese institutions, including the Japan International Cooperation Agency (JICA). The funding of the second phase is still under negotiation with international bodies.

The source pointed out that the EETC will initially sign the power purchase agreement of the project’s first phase calculated based on average wind speeds in the area of the stations, and then it will sign the second phase’s agreement. Siemens Gamesa offered to sell energy at 3.1-3.8 piasters per kw.

This project is among the 2,000MW wind power plants agreed upon during the Sharm El Sheikh Economic Conference in 2015. The German company obtained land for the implementation of only two phases of the project so far.

The total capacity produced from wind power plants implemented by Siemens Gamesa in Egypt is 1,000MW.

Egypt plans to generate 20% of its energy from renewable resources by 2022. Egypt’s current power production is about 50,000MW, of which about 2,400MW from hydropower, about 1,000MW from wind, and 170MW from solar energy.

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Egypt to impose quality control on solar equipment importers starting 23 October https://wwww.dailynewssegypt.com/2019/10/13/egypt-to-impose-quality-control-on-solar-equipment-importers-starting-23-october/ Sun, 13 Oct 2019 17:47:52 +0000 https://wwww.dailynewssegypt.com/?p=710809 Importers to conduct product testing at NREA for maximum EGP 40,000 per container

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The government will begin implementing a new system obliging heater and solar cell importers to conduct product testing at the New and Renewable Energy Authority (NREA) starting from 23 October.

The NREA held a workshop on Thursday for suppliers of solar photovoltaic systems and heaters to discuss the implementation of the decision.

Some 20 importers participated in a workshop by the NREA on the new system, in the presence of Mohamed Al-Khayat, chairperson of the NREA, and Ehab Farouk, planning manager, supervisor of the solar energy factories in the NREA.

A government source told Daily News Egypt that several importers of heaters and solar cells have been testing their products in the laboratories of NREA for some time.

The source added that the companies importing solar energy equipment are obliged to conduct product testing in the Egyptian Organisation for Standardisation & Quality and the NREA to verify their quality.

Clients will pay fees for product testing. Daily News Egypt got the pricing list of these tests at the NREA, which indicates a maximum of EGP 40,000 per container.

The price of the visual inspection costs EGP 240, EGP 1,800 for insulation test, EGP 2,100 for exposure to climatic conditions, EGP 2,000 for measuring electrical power, EGP 2,000 for measuring heat coefficients for the solar model, and EGP 2,000 for measuring performance at high temperatures.

The freezing and humidity test costs EGP 3,450, EGP 10,300 for heat testing, EGP 3,900 for thermal cycle exposure, EGP 1,700 for current leakage for the solar model, EGP 1,000 for electrical lighting test, and EGP 500 for the solar peeling test.

The source said that when a company adheres to the specification, it will receive a certificate of competence. If it fails, its products will be confiscated and prevented from entering the market.

The decision issued by the Minister of Trade and Industry, Amr Nassar, last year, giving producers and importers a suitable period to adjust their conditions.

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