Steel Firms Lose EGP 180 mln Due To Cutting Off Electricity

Egypt Aluminum Company, Al-Ezz Dekheila Steel Co., Beshay Steel and National Steel co. submitted two urgent memorandums to Industrial Development Authority (IDA) and Federation of Egyptian Industries (FEI); complaining about the losses that the companies went through due to cutting off electricity repeatedly.

The two memorandums showed that the volume of the expected losses during summer months for the four companies is more than EGP 180 million. Cutting off electricity caused monthly costs; EGP 20 million for Egyptian Aluminum Co., EGP 35 million for Al-Ezz Dekheila Steel Co., and EGP 35 million for both of  Beshay Steel and National Steel co.

Zaky Bassiouny, Chairman of Metallurgical Industries company ( E.JS.C), on his side, called on IDA and FEI to urgently take the necessary procedures for saving the national industry from the successive losses, due to cutting off electricity. He slammed the general policies of energy pricing, saying that “isn’t enough to retrospectively bear the prices differences, while the foreign companies get the Egyptian energy with law prices”.

Regarding this matter, Eng. Mohamed Hanfy, Chairman of Metallurgy Industries Chamber in FEI, said the companies and factories made several complaints because of cutting off electricity daily for two hours. This has reduced the production by 5%, and some production lines and ovens in the new factories suspended.