Mobile  |  About us  |  Photos  |  Videos  |  Subscriptions  |  RSS Feeds  |  Today's Paper  |  Classifieds  |  Contact Us
The Daily Star
SUNDAY, 20 APR 2014
03:57 AM Beirut time
Weather    
Beirut
22 °C
Blom Index
BLOM
1,214.01down
Middle East
Follow this story Print RSS Feed ePaper share this
Cairo scrambling to meet summer energy needs: oil minister
Reuters
A+ A-

CAIRO: Egypt will need to import an additional $1 billion worth of petroleum products and secure significant natural gas supplies as it scrambles to meet energy needs for the summer, Oil Minister Sherif Ismail has told Reuters.

One government after another has struggled to cope with energy crunches, and Ismail said this coming season would be no exception.

Failure to find a solution could frustrate Egyptians, who rioted in the past over long lines at gas pumps just before the army toppled President Mohammad Morsi.

Political turmoil since a popular uprising ousted autocrat Hosni Mubarak in 2011 has paralyzed decision-making. Disarray in the energy sector will take time to fix, even after a new government replaces the army-backed interim administration.

“Of course there are needs,” Ismail said, adding that efforts to import badly needed natural gas might not succeed.

“The intention is to [make available] liquefied natural gas and [to get] LNG facilities in operation before the summer. ... It is our prime concern and intention to solve this problem if not for this year by 100 percent then at least for the years yet to come.”

Egypt in October tendered for a floating terminal needed to import LNG. An official said at the time that the government wanted the terminal in place by April, before temperatures rise and consumption spikes.

The tender has not yet been awarded, and experts say that time has run out for a terminal to be delivered and installed before the summer.

Ismail said the alternatives to importing LNG include shifting to using more expensive fuel oil and encouraging Egyptians to conserve energy during peak hours.

These steps may not suffice. Analysts say about 75 percent of electricity production in Egypt is dependent on gas, not fuel oil.

Saudi Arabia, Kuwait and the United Arab Emirates extended an economic lifeline to Egypt after the army ousted Morsi.

Egypt has said it has received $4 billion in fuel products from Gulf nations since Morsi’s ouster. Ismail said Egypt would require more imports for the summer.

“The first estimate ... is that we will need to import petroleum products of around $250 million per month during the four summer months,” Ismail said.

 
A version of this article appeared in the print edition of The Daily Star on February 11, 2014, on page 5.
Home Middle East
 
     
 
Egypt
Advertisement
Comments  

Your feedback is important to us!

We invite all our readers to share with us their views and comments about this article.

Disclaimer: Comments submitted by third parties on this site are the sole responsibility of the individual(s) whose content is submitted. The Daily Star accepts no responsibility for the content of comment(s), including, without limitation, any error, omission or inaccuracy therein. Please note that your email address will NOT appear on the site.

comments powered by Disqus
Story Summary
Egypt will need to import an additional $1 billion worth of petroleum products and secure significant natural gas supplies as it scrambles to meet energy needs for the summer, Oil Minister Sherif Ismail has told Reuters.

Egypt in October tendered for a floating terminal needed to import LNG.

Analysts say about 75 percent of electricity production in Egypt is dependent on gas, not fuel oil.

Egypt has said it has received $4 billion in fuel products from Gulf nations since Morsi's ouster. Ismail said Egypt would require more imports for the summer.
Related Articles
 
 
Egypt to raise electricity prices before election: minister
 
 
Egypt army extends power by taking charge of Gulf aid
Entities
Advertisement


Baabda 2014
Advertisement
Follow us on Facebook Follow us on Twitter Follow us on Linked In Follow us on Google+ Subscribe to our Live Feed
Multimedia
Images  
Pictures of the day
A selection of images from around the world- Saturday April 19, 2014
View all view all
Advertisement
Rami G. Khouri
Rami G. Khouri
Why Israeli-Palestinian talks fail
Michael Young
Michael Young
Why confuse gibberish with knowledge?
David Ignatius
David Ignatius
Echoes of 1914 characterize the Ukraine crisis
View all view all
Advertisement
cartoon
 
Click to View Articles
 
 
News
Business
Opinion
Sports
Culture
Technology
Entertainment
Privacy Policy | Anti-Spamming Policy | Disclaimer | Copyright Notice
© 2014 The Daily Star - All Rights Reserved - Designed and Developed By IDS