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Minister of Finance :We are seriously working in adopting any project enabling Egypt to use the renewable energy and achieving the extreme saving in fuels


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News Date: 5/19/2014 12:00 AM  Minister of Finance :We are seriously working in adopting any project enabling Egypt to use the renewable energy and achieving the extreme saving in fuels 

• Studying the issue of  two decrees to oblige advertising agencies to use the solar energy for a grace period …. While the other decree concerns banning the government to purchase any non-energy –saving device .


  The Minister of finance ,Hani Kadri  Demian , assured that the Ministry and the government  are serious  to turn into using smart lighting  and saving  systems  in the government buildings and renewable energy,  but this still need a comprehensive vision including streets, roads and residential areas and also a deliberate ,integrated and contractual system.

  The Minister stressed on the ministry readiness to allocate any funds for any budgets to finance  a general national project for  saving  lighting arising from fuels to turn into a solar energy ,as soon as possible .

  During his meeting with the head of The New and Renewable Energy Authority, Dr. Shaaban  Khalaf and the representatives of the Ministry of Electricity and The Renewable Energy Authority , The Minister asked to conduct  studies concerning transforming governmental buildings , public enterprises and roads at the level of the Republic from using the traditional lighting systems into the smart lighting systems through the solar energy as well as the other renewable energy sources that offered in more than a scenario ,in order to account costs once if the government will finance – through the ministry of finance- and once if the private sector would finance in return for gaining a portion of the electricity savings . 

The Minister suggested concession agreements suitable economically and financially to this  important financial and economic transformation , as it is  possible to offer  the project as a package or many packages (lots) , since the commercial product is the electricity so that the exchange commodity will be electricity . I don’t recommend  offering a building by building or a road by road , as the largest offers  means a strongest negotiation power for the government ,consequently low costs .

  The minister declared that he intends to take a decision preventing purchasing any devices dose  non saving - energy on the government level , as he also study the issuance of a joint ministerial decree with the minister of electricity the minister of state for administrative and local  development , obliges  the agencies gained  a road advertisements concession or these want to gain this concession to use the solar energy in lighting the road ADS ,besides granting a suitable grace period for the agencies of the existing ADS during issuing the decree to adjust their arrangements in accordance  to the  technical vision .

  The Minister  pointed at  the necessity of being the government services authority part in transformation process as, it could change the government procurement system to be compatible with transformational plan , besides being the authority responsible for issuing binding  instructions to all state entities preventing the non- saving or intensive  use of electricity .

  The Minister said that there is no alternative solution than using the smart lighting systems  and the LED lambs, if it is impossible to use the solar energy . he also declared that we will gain a great benefit if we light streets with solar energy, pointing out that the data  issued  from the Electricity Ministry indicated that the streets and roads lighting estimated at 4.5 % of electricity usage .

  The Electricity Ministry and Renewable Energy Authority representatives asked initially the Ministry of Finance for providing the necessary funding to implement the first phase of power station from the solar energy on the government buildings covering the  equipment  costs of 50 government buildings of 15 ministries estimated at L.E 27.8 million considering it as a primary investment financing for the project owned by the state ,consequently  it should be borne  by the state  before adopting transferring the lighting systems to smart and  saving systems  by contracting with the private sector .

  The changing of the meeting trend resulted in the agree on holding another meeting to discuss the suggestions of private sector compensation if it finances the required investments at the government level or the government finances the costs if it is better for the public money.

(Source.Ministry Of Finance)

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Minister of Finance :We are seriously working in adopting any project enabling Egypt to use the renewable energy and achieving the extreme saving in fuels