CAIRO: Egypt is to receive a $100 million loan from the Kuwait Fund for Arab Economic Development for a 1300 megawatt power plant in order to bolster the country's energy output, the state run MENA news agency reported on Friday. It is part of the push by Cairo to increase their energy in the face of expected electricity and water shortages in the coming future. According to the electricity ministry, this will increase the already 25,000 megawatt capacity that gives over 99 percent of the population access to regular electricity. “This plant is one of the projects falling under the 2007-2012 scheme to add 9,200 megawatts to help meet growing demand for energy in the country,” Electricity and Energy Minister Hassan Younes was quoted as saying by MENA. The ministry added that it hopes to triple its power capacity by 2027 by adding some 60,000 megawatts of power, which will cost between $100 billion and $120 billion. With the Kuwait Fund's assistance, the ministry plans to built the plant near the Red Sea coastal town of Ain Sokhna and it will consist of two steam units with a 650 MW capacity. “The plant will allow us to meet electricity needs as well as reducing fossil fuel use and subsequent emissions … This is considered environmentally friendly technology,” Electricity and Energy Minister Younes added. “The total cost of this project will come to about 9.5 billion Egyptian pounds. The first unit will come on stream in July 2013, with the second following in October of the same year,” Younes continued. According to the minister, the African Development Bank, the World Bank and the Arab Fund for Economic and Social Development is also participating in the development of the project. Other costs will be funded by the government-owned West Delta Electricity Company. BM
