Cairo pledges support for AngloGold Ashanti to accelerate Sukari mine operations    New Egypt–European scientific cooperation programmes coming soon: EU ambassador    Egypt trains Palestinian police for future Gaza deployment as ceasefire tensions escalate    Giza master plan targets major hotel expansion to match Grand Egyptian Museum launch    Golden Pillars Developments unveils Swar project as part of EGP 15bn investment plan    Three kidnapped Egyptians released in Mali after government coordination    Egypt raises minimum, maximum insurance wage starting Jan 2026    Egypt's EMRA signs MoU with Xcalibur for nationwide mining survey    How to Combine PDF Files Quickly and Easily    Egypt's agricultural exports climb to 8.5m tons in 2025    Maternal, fetal health initiative screens over 3.6 million pregnant women    Ahl Masr Burn Hospital Concludes First Scientific Forum, Prepares for Expanded Second Edition in 2026    Australia returns 17 rare ancient Egyptian artefacts    Egypt expands rollout of Universal Health Insurance    China invites Egypt to join African duty-free export scheme    Egypt calls for stronger Africa-Europe partnership at Luanda summit    Egypt begins 2nd round of parliamentary elections with 34.6m eligible voters    Egypt warns of erratic Ethiopian dam operations after sharp swings in Blue Nile flows    Egypt scraps parliamentary election results in 19 districts over violations    Egypt extends Ramses II Tokyo Exhibition as it draws 350k visitors to date    Egypt signs host agreement for Barcelona Convention COP24 in December    Al-Sisi urges probe into election events, says vote could be cancelled if necessary    Filmmakers, experts to discuss teen mental health at Cairo festival panel    Cairo International Film Festival to premiere 'Malaga Alley,' honour Khaled El Nabawy    Cairo hosts African Union's 5th Awareness Week on Post-Conflict Reconstruction on 19 Nov.    Egypt golf team reclaims Arab standing with silver; Omar Hisham Talaat congratulates team    Egypt launches National Strategy for Rare Diseases at PHDC'25    Egypt adds trachoma elimination to health success track record: WHO    Grand Egyptian Museum welcomes over 12,000 visitors on seventh day    Egypt launches Red Sea Open to boost tourism, international profile    Omar Hisham Talaat: Media partnership with 'On Sports' key to promoting Egyptian golf tourism    Sisi expands national support fund to include diplomats who died on duty    Egypt's PM reviews efforts to remove Nile River encroachments    Egypt resolves dispute between top African sports bodies ahead of 2027 African Games    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Russia says it's in sync with US, China, Pakistan on Taliban    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Egypt subsidy cuts will not mean higher fuel prices: Minister
Egyptian government plans to cut spending on energy subsidies by diversifying its sources of energy to ease pressure on subsidised fuels
Ahram Online Published in Ahram Online on 02 - 10 - 2013

Revising state subsidies does not entail an increase in the consumer prices of petrol products, Minister of Petroleum Sherif Ismail said in a press conference on Tuesday.
Egypt's Ministry of Petroleum is currently revising a long-established subsidy system for petroleum products which currently costs the government LE128 billion a year.
The Egyptian government plans to cut spending on energy subsidies by diversifying its sources of energy to ease the pressure on subsidised fuels like diesel, gasoline, and low quality fuel oil mazut, rather than hiking up the prices of petrol products outright, petroleum ministry spokesperson Hamdi Abdel-Aziz told Ahram Online.
The minister mentioned using coal to generate electricity rather than diesel and mazut as at present, as a possible solution.
Speaking at the Ninth Money and Finance Conference in Cairo on Monday, Finance Minister Ahmed Galal said that the government was preparing a plan to gradually reduce state subsidies on fuel in the coming years. Galal said he expects it to be implemented before the end of the interim period, which is slated to conclude by spring 2014.
"As it is, 80 percent of energy subsidies do not benefit those in need," explained Galal, who stressed that the amount was "double the spending on education and four times the spending on health."
Successive governments have struggled to trim Egypt's energy subsidy bill, which accounts for around a fifth of budget expenditure, for fear of a popular backlash.
Last year, Mohamed Morsi's government announced an intention to cut fuel spending to LE70 billion for the 2012/2013 fiscal year, compared to LE95 billion the previous year. The real figure ended up surpassing LE120 billion.
Fuel price hikes imposed by President Omar Al-Bashir's government in neighbouring Sudan last week have sparked major unrest, with dozens of protesters reportedly killed.
Mubarak's regime launched a plan to gradually cut energy subsidies in 2004 but has to suspend it after the 2008 global economic crisis.
http://english.ahram.org.eg/News/83028.aspx

Clic here to read the story from its source.