Back to the complete issue
Sunday, 10 January 2021

It’s a gas, gas, gas

TAQA Arabia will invest EGP 3.6 bn to build 180 natgas filling stations between now and 2023, Executive Chairman Khaled Abu Bakr told Kelma Akhira’s Lamees El Hadidi last night (watch, runtime: 9:22). Qalaa Holdings’ energy distributor was announced last week as a private sector partner that will help expand the country’s network of natgas stations as more gas-fuelled cars and buses take to the roads over the coming years. The company will spend EGP 800 mn to construct 40 stations this year, EGP 1.2 bn on 60 stations in 2022 and EGP 1.6 bn on 80 stations in 2023, Abu Bakr said.

This means that TAQA has taken more than half of the 300 stations the government plans to establish over the next three years.

We’re also getting more Chillout-branded natgas fueling stations: The Natural Gas Vehicles Company (Cargas) and Gastec signed an agreement on Wednesday to hand over 24 plots of land to Chillout (a subsidiary of state-owned Wataniya for Roads) to set up the stations, according to an Oil Ministry statement.

The National Bank of Egypt is planning to finance EGP 5-7 bn-worth of car replacements, the bank’s retail risk head, Karim Sous, said, according to Al Shorouk. The central bank last week said it will make EGP 15 bn available for banks to loan out to car owners wanting to own dual-fuel vehicles. Borrowers will pay a fixed 3% rate of interest and the loan terms will range between seven and 10 years.

ALSO ON THE ENERGY FRONT- Fuel prices are staying unchanged for another three months, the government’s fuel pricing committee decided at its first meeting of the year on Wednesday, according to a statement. The decision will keep 95-octane at EGP 8.50 per liter, 92-octane at EGP 7.50, and 80-octane at EGP 6.25. Meanwhile, diesel prices will stay at EGP 6.75 per liter and mazut (heavy fuel oil) for factories is unchanged at EGP 3.9k per tonne.

Fuel prices have now been held steady since last April, when the committee cut fuel prices by EGP 0.25 across the board. The decision to keep prices unchanged for another three months is meant to create price stability amid “current circumstances” with the ongoing pandemic, the statement says.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of HSBC Egypt (tax ID: 204-901-715), the leading corporate and retail lender in Egypt; EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Mashreq (tax ID: 204-898-862), the MENA region’s leading homegrown personal and digital bank; Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt; Hassan Allam Properties (tax ID:  553-096-567), one of Egypt’s most prominent and leading builders; and Saleh, Barsoum & Abdel Aziz (tax ID: 220-002-827), the leading audit, tax and accounting firm in Egypt.