The European Investment Bank (EIB) has extended two loans to Egypt’s Ministry of Electricity and Energy for an aggregate value of E560 million, the local news reported.
Around €260 million will be geared towards upgrading Egypt’s national electricity grid. The balance, €300 million, will finance the construction of the planned 1,500 MW North Giza power plant, commissioning of which is expected in the first quarter of 2014.
This plant is part of the five-year (2012-2017) plan that aims at expanding Egypt’s electricity generation capacity to meet the rising demand for energy, Beltone reported.
Minister of Electricity and Energy Hassan Younes said the cost of upgrading Egypt’s national grid is estimated at €762 million, financing of which will come partially from loans from EIB and other European development banks and institutions, a €20 million grant from the European Commission, in addition to internal resources of the Egyptian Electricity Transmission Company.