:
1 Introduction & Egyptian Power sector key parameters.
2 Recent Energy Challenges for the Egyptian Power sector.
3
Initiatives of the Egyptian Power sector to meet energy challenges
4 Previous Co-operation with the Japanese Companies
5
Recent available Co-operation Opportunities in energy
Sector Power Projects.

*Based on (2012/2013) EEHC report

Introduction & Egyptian Power sector key parameters.
The electricity and energy sectors plays a vital role in the economical growth to secure adequate electricity supplies at minimum cost to all consumers with the international standards. During the last decade, a rapid increase of electricity demand occurred, the electricity sector has grown rapidly trying to meet this increase.

Introduction & Egyptian Power sector key parameters.
Installed Capacity (MW)
Type
Combined Cycle
MW
11830.5
Steam Cycle
Gas turbine
Hydro
Renewables
Total
%
33
13843.5 45
3504
2842.5
11
9
547
32708
2
100

Yearly Peak Load
Development (MW)
Peak Load Curve
2011/2012-2012/2013

Development of Gross
Energy Generated (GWh)
Energy Generated and
Purchased (GWh)

Energy Sold by Purpose (Gwh)

Fuel Consumption
Development (Ktoe)
Fuel Consumption Rate
(gm/kWh)

International Electrical Interconnection

Recent Challenges for the Egyptian Power sector
From the year 2012, The electricity sector has faced the following challenges:
1) High increase in the electrical loads in an unmatched way, where the maximum load growth rate in 2012 rate of 10.3% compared to the average past growth rate, which ranged from 4.3% to 8%.
2) Significant shortage in the natural gas supplies by the year 2012.

Recent Challenges for the Egyptian Power sector
3) Necessity of Restructuring electricity tariff as the selling price was less than 50% of the production cost.
4) Significant shortage in the natural gas supplies by the year 2012.
5) Lack of funds needed for new power projects.
6) The low efficiency in some power plants due to:

14

Initiatives
The Egyptian Electricity sector seeks to face the previous stated challenges through the following: a- Ongoing initiative for Existing assets & power sector regulations. b- Private Sector Partnership. c- Changing the energy generation mix.

Initiatives

Initiatives
Ongoing initiative for Existing assets & power sector regulations.
•
Existing Generation assets:
Launching a program to optimize operation and maintenance of GTs & CCGT and steam turbine.
•
Power sector regulations:
Review tariff system.
Assess potential impact from DSM measures.

Initiatives
The Egyptian Electricity sector seeks to face the previous stated challenges through the following: a- Ongoing initiative for Existing assets & power sector regulations. b- Private Sector Partnership. c- Changing the energy generation mix.

Initiatives

b- Private sector Partnership
The Egyptian government and the electricity sector recognized the importance of private sector partnership to improve all production processes and to minimize the investment cost burden.

Gradual subsidies removal over the next five years by designing a new electricity tariff structure.

Issuing a Feed-In-Tariff for renewable energy trading.

Repairing the new low of electricity (expected to be issued soon).

Initiating the gradual liberalization of the electricity market.

Initiatives for Private sector for
Renewable Energy

An area of about 7845 km2 on the Gulf of Suez region and the Nile Banks has been allocated for NREA for implementing wind energy projects, Permitted lands are provided to Investors through Land Use agreement against 2% of annual generated Energy from the project or its value.

One window (dealing with one central services unit in the ministry of electricity and renewable energy).

Bankable PPA (Power Purchase agreement)

Government sovereign Guarantees.

Initiatives for Private sector for
Renewable Energy

(2%) Custom duties for all renewable system components.

Lower interest rates for Solar project less than 500 KW & roof top units.

Assessment of environmental impact, including bird migration.

Investors will benefit from selling Certified Emission
Reductions, CERs, resulted from the implemented project.

Incentives for Renewable Energy
Feed In Tariff for PV Power Plant
Installation connected to the low voltage:
Residential 84.8 PT / KWh
Other than residential and up to 200 KW
From 200 Kw up to 500 KW
90.1 PT / KWh
97.3 PT / KWh
Installation connected to the medium voltage from 500 Kw up to 20 MW 97.3 PT/ KWh
Installation connected to the medium voltage
From 20 Mw up to 50 Mw 102.5 PT/ KWh

Incentives for Renewable Energy
Operational Hours
3300
3400
3500
3600
3700
3800
3900
4000
2500
2600
2700
2800
2900
3000
3100
3200
Wind Energy Feed in Tariff
First Stage FiT Second Stage FiT
$ cent / kwhr pt / kwhr
11.48
9.57
82.08
68.4
$ cent / kwhr
11.48
10.56
9.71
8.93
8.19
7.51
8.93
8.33
7.76
7.23
6.73
6.26
5.81
5.39
4.98
4.6
pt / kwhr
82.08
75.053
69.46
63.83
58.58
53.68
63.82
59.53
55.49
51.7
48.12
44.73
41.54
38.51
35.58
32.9

b- Private sector Partnership
The Private Sector Investors have taken part in implementing Generation Power Plants in the
Egyptian power sector through three basic contract
Scheme:
•
(BOO or BOOT) schemes
•
IPP scheme
Recently, the Egyptian electricity sector encourages the private sector partnership through the (EPC +
Finance) scheme.

Already signed agreements with private investors in power plants Projects

b- Private sector Partnership
Already signed agreements with private investors in power plants Projects:
Frame Work Agreement
Power Purchase Agreements
Memorandum of Understanding
Accessibility Land Agreements - FIT

b- Private sector Partnership
Already signed agreements with private investors in power plants Projects:
Framework
Agreements
Power Purchase
Agreements
MOU
Accessibility Land
Agreements
Agreement Parities
Constructing (3200 Mw) Coal Power Plant
(in El-Hamrawain) Site
Constructing (6
× 660 Mw) Coal Power
Plant
Smart Meters
Constructing (2100 Mw) Pump storage power plant in (Ataqqa) site
Party (1): EEHC
Party(2): Orascom/IPIC Consortium
Party (1): EEHC
Party(2): Dong Fang (DEC)
Party (1): EEHC
Party(2): Huawei
Party (1): HPPEA
Party(2): Sinohydro Corporation Ltd.

b- Private sector Partnership
Already signed agreements with private investors in power plants Projects:
Framework
Agreements
Power Purchase
Agreements
Agreement
MOU
Accessibility Land
Agreements
Parities
Constructing (4640 Mw) Coal Fired
Power Plant
Transmission System Development
Party (1): EEHC
Party(2): Shanghai Electric
Party (1): EEHC
Party(2): State Grid

b- Private sector Partnership
Already signed agreements with private investors in power plants Projects:
Framework
Agreements
Power Purchase
Agreements
MOU
Accessibility Land
Agreements
Agreement Parities
Power Purchase Agreement from
(2640 Mw) Coal Power Plant in
(Eyoun Mousa) site
Power Purchase Agreement from
(2300 Mw) Metoubas Power Plant in
(Kafr El-Shiehk) site
Party (1): EEHC
Party(2): Nowise
Party (1): EEHC
Party(2): Benchmark

b- Private sector Partnership
Already signed agreements with private investors in power plants Projects:
Framework
Agreements
Power Purchase
Agreements
MOU
Accessibility Land
Agreements
Agreement Parities
Conversion of (Assuit) & (West Dumyat) to be worked as (750 Mw) CCGT
Party (1): EEHC
Party(2): General consortium
Electric/Orascom
Implementing (5 Billion) Projects:
•
(3000 Mw) Solar power plant as (600 Mw) each 5 yrs.
• Providing a part of project profits for development & training on solar power projects (519 M$)
Party (1): EETC
Party(2): Sky power/Gulf development consortium
Constructing (2000 Mw) solar power plant
Party (1): EETC
Party(2): Sky power/Gulf development consortium

b- Private sector Partnership
Already signed agreements with private investors in power plants Projects:
Framework
Agreements
Power Purchase
Agreements
MOU
Accessibility Land
Agreements
Agreement Parities
Constructing (2000 Mw) Projects based on
(BOO) or (EPC+Finance) in addition to implementing a human development programs for training, learning& qualifying.
Party (1): EETC
Party(2): Tera Nex/Tera Sola Consortium
Constructing (2200 Mw) CCGT in (West
Dumyat) site.
Constructing (1500 Mw) solar power plant
Constructing (200 Mw) Wind power plant
•
•
•
Party (1): EEHC
Party(2): Acwa power/Masder Consortium

b- Private sector Partnership
Already signed agreements with private investors in power plants Projects:
Framework agreements
Power Purchase
agreements
Agreement
Constructing (6000 Mw) Coal power plant
MOU
Accessibility Land
Agreements
Parities
Party (1): EEHC
Party(2): Tharwa investment company
Constructing (2000 Mw to 4000 Mw) Coal power plant in (Safaga) Site
Party (1): EEHC
Party(2): Acwa power

b- Private sector Partnership
Already signed agreements with private investors in power plants Projects:
Framework agreements
Power Purchase
agreements
MOU
Accessibility Land
Agreements
List of Chinese companies signed MOUs with the ministry of electricity
Harbin Electric Group
AVIC International Holding Company
China Gezhouba Group Corporation CGGC
China Machinery Engineering Corporation
Dong Fang Electric Group
Huawei North Africa Region
Huawei Technologies Co.Ltd
Shanghai Electric Company
Sinohydro Corporation Ltd
State Grid Corp of China

b- Private sector Partnership
Already signed agreements with private investors in power plants Projects:
Framework agreements
Power Purchase
agreements
MOU
Accessibility Land
Agreements
Agreement
4 Entry permit
MOUs to some pieces of NREA land owned in Aswan for executing the required necessary studies and measurements for constructing (200
Mw) solar power plants according to
(FIT) contracting model
Parities
Part (1): NREA
Parties:
(50 MW) O-capital Company
(50 Mw) FAS Company
(50 Mw) Philadelphia Company
(50 Mw) Static Company

Initiatives
The Egyptian Electricity sector seeks to face the previous stated challenges through the following: a- Ongoing initiative for Existing assets & power sector regulations. b- Private Sector Partnership. c- Changing the energy generation mix.

Initiatives c

c- Changing the energy Generation mix
Meeting the future electricity demand requires diversification of the energy mix by including the new generation technologies (such as clean coal, nuclear and renewable energy), with taking into consideration choosing the best generation mix taking into consideration the optimum:

Technological aspects.

Environmental aspects.

Economical and social dimensions.

The current and expected situation of electricity demand and peak load and generated energy.

c- Changing the energy Generation mix
Recent Situation Of Coal utilization in Egyptian power sector:
In that framework, The importance of coal utilization in power generation appears as an alternative to natural gas power plants due to the following:
•
The Prediction of resuming the insufficient local quantities of natural gas to cover the future load demand.
•
The economic competitiveness of coal with comparing the recent and future predicted exportation prices of coal and natural gas.

Previous Co-operation with Japanese Companies
NO Project Name
Contractor/
Consortium
Task
1
2
3
41
Cairo West Steam
Units “5 & 6”
(2 × 320 MW)
Maroubiny Company Steam Boilers
Cairo North (1)
CCGT (750 MW)
Mitsubishi for heavy industries/Toyota Tosusho
Hitachi /Somotomo
Hitachi /Somotomo
Gas Turbines
Transformers
Steam Turbines
Mitsubishi for heavy industries/Toyota Tosusho
Steam Turbines
Noubaria
(1 & 2) – CCGT
(1500MW)
AE for energy systems/
Somotomo/ the Egyptian
Company ” Consis”
Switch yard
(500KV)
Contract date
1999
2002
2002
2009
2003
2003 contract
(Million
US$)
77.8
115.1
6.7
34.8
61
52.5

Previous Co-operation with Japanese Companies
NO Project Name
Contractor/
Consortium
Task
4
Kurimat (2) –
CCGT
(750 MW)
Hitachi /Somotomo Steam Turbines
5
Cairo North (1)
CCGT
(750 MW)
Mitsubishi for heavy industries/Toyota Tosusho
Gas Turbines
Toyota Tosusho/Toshiba
Mechanical works
Ibara Koryorition/Ibara yusheKora Hydrotech
Pumps and their accessories
Contract date
2005
2007
2008
2008 contract
(Million
US$)
20.35
103.4
37.4
13.5
Toyota Tosusho/Toshiba Electrical works 2008 16

Previous Co-operation with Japanese Companies
NO
6
Project Name
Contractor/
Consortium
Task
Mitsubishi for heavy industries/Toyota
Tosusho
Toyota Tosusho/Toshiba
El Atf– CCGT
(750 MW)
Ibara Koryorition/Ibara yusheKora Hydrotech
Gas Turbines
Mechanical works
Pumps and their accessories
Contract date
2007
2008
2008
Toyota Tosusho/Toshiba
Electrical works
2008 contract
(Million
US$)
104
43.5
12.4
16.5

Previous Co-operation with Japanese Companies
NO Project Name
Contractor/
Consortium
Task
7
Cairo West
Steam Units
“7 & 8”
(2 × 350 MW)
Mitsubishi for heavy industries/Toyota Tosusho
Hitachi /Somotomo
Steam
Turbines
Steam Boilers
8
9
10
Abo Qir Steam
(2× 650 MW)
Mitsubishi for heavy industries/Toyota Tosusho
Ain Sokhna
Steam
(2× 650 MW)
Banha CCGT
(750MW)
Hitachi /Somotomo
Hitachi
Hitachi / Toyota Tosusho
Steam
Turbines
Steam
Turbines
Pumps
Mechanical works
Contract date contract
(Million
US$)
2007 99.9
2007
2009
2009
2010
2012
174.4
318.1
301.3
40
27.2

Previous Co-operation with Japanese Companies
NO Project Name
Contractor/
Consortium
11
Suez steam
(650MW)
12
South Helwan steam
(3× 650 MW)
Hitachi
Mitsubishi for heavy industries/Toyota
Tosusho
Task
Pumps
Steam
Turbines
Contract date contract
(Million
US$)
2013 20.8
2014 289.1

Recent Co-operation Opportunities in Power Projects a- Conventional Thermal power plants b- Coal Fired thermal Power plants

a- Conventional Thermal power plants
EEHC Multi-Packages Tenders
Power Plant
Installed
Capacity (MW)
Process number
Expected Tendering date
Cairo West Steam
Assuit Steam P.P
Damanhur CCGT
650 Mw
×
1
1 × 650 Mw
1 × 900 Mw
18
17
19
Start: 1 st half 2015
Closing: June 2016
Start: 1 st half 2015
Closing: June 2016
Start : last quarter of 2015
Closing: end of 2016
EPC + Finance
MHI participate in the (Suif) site tender among 14 other investor

a- Conventional Thermal power plants
Gas Units Conversion to CCGT to face Summer 2015 loads
Power Plant
Assuit
West Damietta
El-Mahmoudia
Installed Capacity
(MW)
8 × 125 Mw
4 × 125 Mw
2 × 160 Mw
Commissioning date of gas units

Units (1,2,3) in 31/5/2015

Units (4,5,6) in 30/6/2015

Units (7,8) in 31/8/2015

Units (1,2) in 30/6/2015

Units (4,3) in 31/7/2015

Unit (1) in 31/7/2015

Unit (2) in 8/8/2015

a- Conventional Thermal power plants
Gas Units Conversion to CCGT to face Summer 2015 loads
Power Plant
Ataqa
Sharm El-sheikh
Hurghada
Installed Capacity
(MW)
4 × 160 Mw
Commissioning date of gas units

Unit (1) in 31/5/2015

Unit (2) in 8/6/2015

Unit (3) in 16/6/2015

Unit (4) in 1/7/2015
6 × 48 Mw
5 /2015
6 × 48 Mw

b- Coal fired Thermal Power Plants
Recent MOU signed with
Chinese companies for Coal power plants implementation
Coal power plants to be financed by EXIM- Bank
Coal power plants to built through BOO or Boot Model

b- Coal fired Thermal Power Plants
Coal power plants to built through Chinese private sector investors under (EPC +
Finance) scheme.
Company Name
AVIC
Shanghai Electric
Corporation & Shanghai
Electric Power
Dong Fang
NWPC
Project
Capacity
1320 MW
2640 Mw
1320 Mw
1320 Mw
Budget
(Billion USD)
2
4
2
2

b- Coal fired Thermal Power Plants
Coal power plants to built through Chinese private sector investors under (EPC +
Finance) scheme.
Company Name
CGGC
CMEC
Harbin
AVIC
Sino-Hydro
Project
Capacity
1320 MW
1320 Mw
1320 Mw
1320 Mw
1320 Mw
Budget
(Billion USD)
2
2
2
2
2

b- Coal fired Thermal Power Plants
Recent Candidate sites for Coal power plants implementation
Coal power plants to be financed by EXIM- Bank
Coal power plants to built through BOO or Boot Model

b- Coal fired Thermal Power Plants
Coal power plants to be financed by EXIM- Bank
Company Name
AVIC
Project
Capacity
1320 MW
Budget
(Billion USD)
2
Shanghai Electric
Corporation & Shanghai
Electric Power
Dong Fang
NWPC
2640 Mw
1320 Mw
1320 Mw
4
2
2

b- Coal fired Thermal Power Plants
Recent Candidate sites for Coal power plants implementation
Coal power plants to be financed by EXIM- Bank
Coal power plants to built through BOO or Boot Model

b- Coal fired Thermal Power Plants
Coal power plants to built through BOO or Boot Model
Company Name
CGGC
Shanghai Electric
Corporation & Shanghai
Electric Power
CMEC
Harbin
AVIC
Sino-Hydro
Project
Capacity
1320 MW
2000 Mw
1320 Mw
1320 Mw
1320 Mw
1320 Mw
Budget
(Billion USD)
2
3.5
2
2
2
2

Fruitful expected Egyptian – Japanese cooperation framework
In the Light of the previous, the Japanese Side is invited to co-operate with the Egyptian side in the field of implementing coal power plants according to the following suggested steps:
1) Sign MOU between the two parties includes providing the
Egyptian side with a preliminary technical and economical feasibility study carried out by the Japanese side as EPC + finance.
2) Signing an (EPC + Finance) contract between parties in the light of preliminary feasibility study results.

Fruitful expected Egyptian – Japanese cooperation framework
In the frame work of the continuous co-operation between the
Japanese and the Egyptian sides specially in the energy sector with the most advanced and efficient technologies, And with taking into consideration that the coal power plants are one of the most essential promoted projects decided to be established in Egypt. It is expected that the Japanese side continue its effective support to the Egyptian side in different energy projects specially the coal fired thermal power plants.

a- Conventional Thermal power plants
Damanhour
CCGT
• 6 th October
• Cairo west
• Assuit (Waledia)

a- Conventional Thermal power plants
El Mahmoudia
West Domiaata
Attaqa
Sharm Elsheik
Hurghada Assuit

b- Coal fired Thermal Power Plants
Recent Candidate sites for Coal power plants implementation