Private Sector to Invest in Power Production

The cabinet will discuss at the coming stage under Prime Minister Dr. Ahmed Nazif, the unified electricity bill which aims at encouraging the private sector to invest in the production, and distribution of electricity with the aim of easing down the state burdens. This bill which was drafted by experts of electricity and energy will be referred to the People’s Assembly and the Shura Council in the next parliamentary session. The bill provides for the establishment of a national agency for organizing power utility. This body will be in charge of reviewing and endorsing the new tariff which reflects the effective cost and gives licenses organizing activities of the utility. The bill provides for the establishment of a market for electricity which is based on the free competition. It will restrict the activity of the transport company to conveying electricity, operating the unified grid and managing financial dealings in electricity market. Dr. Hassan Younis the Minister of electricity told “Al-Ahram” that the new bill aims at creating a gradual climate for creating a free market for electric power ensuring legitimate competition and prohibiting monopoly. He said the bill seeks to attract new investments to the activities of generating and distributing electricity in order to ease down the burdens on the state. He added the bill aims at upgrading the services extended to citizens and developing performance of electricity companies.

Originally published by Info-Prod Strategic Business Information.

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