Several government agencies will share in the purchasing tariff of electricity from waste-to-energy plants for two years, bearing 37 piasters to be added to the original tariff of EGP 1.03 to reach EGP 1.40 per kW/h, government sources told Daily News Egypt.
The sources explained that the government will approve the new tariff within days, attributing the delay to the Ministry of Housing’s initial refuse to share in the tariff, but it eventually agreed.
Other reasons for the delay is the engagement of several parties in this tariff, including municipalities and the Ministry of Environment, which is the main party responsible for generating electricity from waste, the sources added, revealing that the government received requests from Arab and foreign companies to implement waste-to-energy projects with $400m investments.
Egypt’s annual wastes amount to 100m tonnes, including 42m tonnes from construction and demolition, 30m tonnes from agricultural processes, 21m tonnes of solid domestic waste (rubbish), 3m tonnes from digging and draining, and 2.9m tonnes from industry, and 0.14m tonnes of medical waste.
Previously, the cabinet announced a preliminary purchasing tariff of waste-to-energy at 92 piasters per kW/h, which investors and experts considered very low compared with the technology and huge investments of such projects. Therefore, the ministry agreed to fix the tariff to attract more investments.
The Ministry of Electricity aims to increase the country’s production from waste-to-energy and renewable power plants to 55% from the total production by 2050.