Gov’t leaves natgas prices for electricity plants unchanged
Natural gas price for electricity plants unchanged: Natural gas will continue to be sold to electricity plants affiliated with the Electricity Ministry at USD 3 / mmBtu, according to a decree published in the Official Gazette.
REFRESHER- Natural gas is a strategic source of FX: In a bid to maximize its exports of natural gas and lock in much needed hard currency. Egypt is on a drive to reduce electricity consumption and ration its use of gas for domestic power production. Power plants have been resorting to other types of fuel in order to free up more gas for export.
The global gas market is still running hot: Europe is still looking to lock in replacements for Russian natural gas, which before the war in Ukraine provided around 40% of its gas consumption. Natural gas prices in global markets have fallen back from the peaks seen in the direct aftermath of the war’s outbreak but remain well above pre-pandemic averages.