Egypt fixes factories electricity prices for 5 years

Egypt electricity ministry has decided to fix the prices of medium- and high-voltage electricity  consumption for factories over five years.

Factories wouldn’t pay more as they have been struggling to keep up with rising costs on every front.

The government decided to extend the subsidies for three more years ending in fiscal year 2024/2025 instead of a previous plan to end subsidies in FY21/22 due to the coronavirus (COVID-19) pandemic, Shaker added.

Extending the electricity subsidies will cost the country an amount of EGP 26.7 billion, he revealed.

The Electricity Ministry is on course to fully phase out subsidies in the coming fiscal year, making this the final round of price hikes. The ministry had originally planned to reach this point by 2019, but extended the timeline under orders from President Abdel Fattah El Sisi. Average electricity prices increased by 15% in July 2019 and by 26% in 2018.