Think Commercial concludes with key recommendations to boost fractional real estate investment    PM Madbouly reviews green construction roadmap    Egypt's Sisi slams Gaza 'war of starvation' at BRICS, discusses truce with US CENTCOM chief    Rising international outrage as Israeli strikes escalate in Gaza    Egyptian government charts new policies to advance human development    Egypt, Spain discuss expanding health cooperation, support for Gaza    Investments in New Capital reach EGP 50bn in 2025: ACUD chief    Egypt's foreign minister holds talks on reviving Iran nuclear negotiations    China's central bank injects 191.5b yuan via reverse repos    Israel intensifies Gaza offensive amid renewed diplomatic efforts, international pressure    Egypt marks International Day of Clean Air at Wadi Degla Protectorate    Egypt advances plans to upgrade historic Cairo with Azbakeya, Ataba projects    Egyptian pound ends week lower against US dollar – CBE    Egypt expresses condolences to Sudan after deadly Darfur landslides    Egypt hosts G20 meeting for 1st time outside member states    Lebanese Prime Minister visits Egypt's Grand Egyptian Museum    Egypt to tighten waste rules, cut rice straw fees to curb pollution    Egypt seeks Indian expertise to boost pharmaceutical industry    Egypt prepares unified stance ahead of COP30 in Brazil    Egypt recovers collection of ancient artefacts from Netherlands    Egypt harvests 315,000 cubic metres of rainwater in Sinai as part of flash flood protection measures    Egyptian, Ugandan Presidents open business forum to boost trade    Al-Sisi says any party thinking Egypt will neglect water rights is 'completely mistaken'    Egypt's Sisi warns against unilateral Nile measures, reaffirms Egypt's water security stance    Egypt's Sisi, Uganda's Museveni discuss boosting ties    Egypt, Huawei explore healthcare digital transformation cooperation    Greco-Roman rock-cut tombs unearthed in Egypt's Aswan    Egypt reveals heritage e-training portal    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    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.



30 companies ask for compensation for price differences in contracts with Electricity Ministry
Ministry is considering compensating companies by 10-30% of contracts' value despite losses exceeding this amount
Mohamed Farag Published in Daily News Egypt on 23 - 05 - 2017

30 companies operating in the field of supplying electric equipments filed official requests to the Ministry of Electricity to obtain partial compensation for the losses they suffered after the flotation of the Egyptian pound.
Sources at the Ministry of Electricity said that the ministry is studying the requests of the companies that supplied distribution panels, electric kiosks, transformer stations, cables, and electrical wires for electricity production and distribution companies.
The sources told Daily News Egypt that the Egyptian Electricity Holding Company (EEHC) is considering compensating the companies by up to 30% of the contracts' value for long-term contracts that were concluded through tenders posed by the EEHC prior to the flotation.
The sources explained that the companies will not stop completing their supply contracts, but they want to get compensation, especially as they incurred losses of up to 70% after the flotation.
In January, the companies contacted the EEHC to obtain compensation for the losses they suffered. Officials advised them to send the requests again to present them to the cabinet.
The sources said that the committee, formed by the EEHC, proposed earlier that the Ministry of Electricity can bear 40% of the price differences that resulted from the exchange rate difference following the flotation to ensure that companies do not stop supplying.
Among the companies seeking compensation for the losses they suffered are ABB, El Alamia Cables, Egemac, Egypt Cables, and Giza Cables Industries.
Head of El Alamia Cables, Ghassan Boulbol, said that the company submitted requests to the EEHC to obtain losses after the flotation, adding that the EEHC advised them they can be compensated by 10-30% of the contract value, even though the company suffered losses of 70%.
He explained that the losses of the company resulting from the differences in prices following the devaluation amount to EGP 40m. He noted that the Ministry of Electricity was supposed to bear half the losses, but no decision has been made until now.

Clic here to read the story from its source.