The Ministry of Electricity and Renewable Energy will sign the final contract for the Dabaa nuclear plant soon, the minister Mohamed Shaker said. It is a binding contract between Egypt and Russia that will remain in effect for 60 years.
Shaker told Daily News Egypt that the government contracted with a global legal advisory office to review the last version of the contract. He said that a misplaced comma in the contract may cause crisis.
President Abdel Fattah Al-Sisi personally encouraged the Dabaa nuclear plant, said Shaker. The general trend of the state includes the construction of a nuclear plant that can produce peaceful energy and the creation of a technical school of nuclear science to keep pace with global development and to diversify energy production sources, he explained.
The government agreed with the Rosatom State Atomic Energy Corporation (ROSATOM) to establish a nuclear power plant with a capacity of 4,800 megawatts. The agreement includes signing four contracts for the engineering, supply, operation, and maintenance of the power plant for about 10 years. It also includes supplying fuel for 60 years (the operating life of the power plant) and storing burning fuel for 10 years.
Shaker said that the Ministry of Petroleum contributed to overcoming the power outage crises. He added that the Ministry of Petroleum responded to all the submitted requests.
The maintenance company is working on the feasibility studies of the plants that Siemens plans to launch in cooperation with the ministries of oil, electricity, and military production, he said.
The cabinet approved the purchase of electricity and petroleum products that are being produced by the garbage recycling factories at trial prices of 92 piastres per kw/h, with payment in Egyptian pounds.
Shaker emphasised that the government and the Ministry of Electricity did not change its feed in-tariff projects decision that was announced in September 2014.
“We cannot provide US dollars to companies because the payment will be in local currency and the arbitration will be inside Egypt according to the feed in-tariff programme in 2014,” Shaker said.
He added that the ministry is ready to sign an agreement with the investors at any time to purchase energy.