The government is close to setting the tariff for selling kilowatt-hour for electric cars, after holding numerous meetings and discussions with the Electricity Regulatory Authority (ERA) and Consumer Protection Agency (CPA).
Informed sources told Daily News Egypt that ERA held talks with companies that began installing electric vehicle charging units in Egypt, including Infinity-E and Revolta to discuss their opinions of the selling price for kilowatt-hours for e-cars.
The meetings resulted in proposals and recommendations that ERA officials are working on. A report will be submitted to the Minister of Electricity to discuss the application mechanism and present it to the Cabinet for a final decision.
The sources said that the tariff for electric cars will likely be announced and approved before the end of June.
The tariff for kilowatt-hour will be calculated at the actual cost price without any subsidisation.
The aim of electric cars is to reduce emissions and improve the environmental impact via electric power generation, as well as to avoid making the state incur additional burdens.
Some places where car charging units sell electricity charge EGP 140-145 per kilowatt-hour. Which represents value paid by costumers, and this value will change in the next few months after the adoption of the official rules and tariff.
In January, a meeting was held and included Ministers of Military Production, Electricity, Public Business Sector, and Industry to discuss the strategy of electric cars in Egypt.
The meeting discussed executive steps needed to develop the cost for charging station infrastructure, the tariff for electricity consumption in those stations, and proposed locations on where to put them. The meeting also discussed the issues related to developing a package of incentives to buy or manufacture electric vehicles, in addition to the number of electric buses the government wants to manufacture or import.
At the end of the meeting, it was agreed that all proposals and visions submitted by parties concerned with developing and implementing the Egyptian auto industry strategy must be taken into consideration in order to reach an optimal formula.
President Abdel Fattah Al-Sisi met last month with Prime Minister Mostafa Madbouly, and Ministers of Electricity and Renewable Energy, Military Production, Finance, Public Business Sector, Transport, and Trade and Industry, Chairperson of the Arab Organization for Industrialization, and Chairperson of the Administrative Control Authority.
The meeting included a follow up on the national strategy for the localisation of transportation industry and its components in Egypt, with a focus on the future of the automotive and electric bus industry.