Official Sources: Increase of electricity prices by 7,5% p.a. instead of 5% for the benefit of the oil sector   7/7/2010
Official sources at the Ministry of Electricity have revealed the addition of 2,5% price increase on all electricity consumption brackets, household and commercial –except for the first bracket- for the benefit of the oil sector. The government program aims at moving electricity prices by 5% p.a. and is being applied since the year 2004. The before mentioned addition leads thus to a total increase of 7.5% p.a. The sources have explained to "Al Masry Al Youm" that the year 2008 has seen an increase in electricity prices reaching a minimum of 7,5%, whereby the increase had ceased in 2009 upon a decree by the cabinet of ministers stipulating the consideration of the negative economic impacts of the global financial crisis. The sources expect the prices to move at the end of this year, pointing out that the cabinet of ministers did not issue any directives to freeze the increases for the year 2010. The sources added that "Even the 7.5% increase program does not suffice to face the country's increasing electricity needs." The sources explained that the rising electricity price rates are still less than the rates of annual rising prices of all goods, which have been announced by CAPMAS (Central Agency for Public Mobilization and Statistics), ranging between 12% and 13% annually. The sources indicated that the electricity value does not run in line with the annual inflation rates. It was further pointed out that the dual tariff at peak times - which first phases have been already applied as of the first of the current month of July- will be applied on all factories upon installing the new meters therein, which will establish the value in terms of per hour consumption. On a similar tone, "Al Masry Al Youm" has received a report issued by the Ministry of Electricity disclosing the fact that the following iron factories represent the first bracket of factories and mark the highest loads on the electricity network: El Ezz, El Dekheila, Beshay, Misr Aluminum Complex in Nag' Hamadi, as well as the industrial zone in Qalyubia, the industrial zones in El Obour and in the 6th of October City, in addition to El Nasr Casting company and the Aga Pipe company, and the industrial zone in Talla. Al Masry Youm Adel El Bahnasawy