Egypt introduces incentives for power sector investors

The Egyptian government is offering a range of new incentives to encourage private sector investments in the energy landscape, said Minister of Electricity and Renewable Energy, Mahmoud Esmat, on Monday.

These incentives include:

• Free Land: Investors can now obtain land for their energy projects at no cost, in exchange for a small percentage (2 per cent) of the electricity generated.
• Tax Breaks: Customs duties on renewable energy equipment have been significantly reduced from 5 per cent to 2 per cent, and the value-added tax has also been lowered from 14 per cent to 5 per cent only.
• Simplified Licensing: The government has streamlined the process for obtaining permits to produce electricity through the Egyptian Electric Utility and Consumer Protection Regulatory Agency, making it easier for investors to start operations.
• Height Restrictions: The maximum height of wind turbines has been increased to 220 metres, allowing for more efficient and cost-effective energy production.

Attribution: The Egyptian Cabinet

Subediting: M. S. Salama