Chronic power cuts to continue for 2 or 3 years: Planning minister

Egypt’s frequent power cuts are likely to continue for two to three years, despite the government’s proposed reforms to the energy sector, Planning Minister Ashraf al-Araby told state-owned Al-Ahram newspaper on Saturday.

The government has allocated LE1.6 billion to the energy sector, of which LE1 billion will be spent on developing renewable energy, such as solar and wind energy initiatives, according to Araby, who said this would ease but not solve the problem.

The remainder has been earmarked for building electrical supply units in Eastern Owaynat, an electricity generating unit in the Upper Egyptian governorate of Assiut and western bay of Suez, and laying the foundations for Egypt’s first nuclear energy unit.

Renewable energy projects for the upcoming year will include, according to Araby, the establishment of a unit to generate electricity through solar energy in the Upper Egyptian city of Kum Ombo, Aswan, with a capacity of 100 megawatts, as well as a similar initiative in Hurghada. A wind energy generation unit will also be built in Jabal al-Zeet, northern Hurghada, with a capacity of 200 megawatts.

Araby denied energy price hikes, especially in petroleum products, after a decision to partially lift fuel subsidies has already raised transportation prices as well as the cost of many consumer goods. He added that a smart card system would be applied soon to further regulate subsidies on petroleum products.

Egyptians have been suffering from a chronic energy crisis leading to continuous power cuts since before the outbreak of the Egyptian revolution, but the issue has worsened in the last three years.  Frequent power cuts led to mounting anger against former President Mohamed Morsi one month before his ouster in July 2013.

As the crisis continues, the Egyptian government has approved the use of coal for energy generation in Egypt to ease the situation.

Despite the government’s declaration to develop controls and standards for the import and use of coal, environmental and human rights activists have criticized the decision and launched a campaign to maintain Egypt’s ban on coal.

Activists claim that the long-term negative effects of coal would outweigh any advantages that might be gained by bringing the cheap but highly polluting fuel into the country. A lawsuit to halt the government’s decision is still being investigated by the Administrative Court