Wed Jan 6, 2016
CAIRO Jan 6 (Reuters) - Egypt's cabinet has approved two conditional contracts with Chinese firms to produce electricity from coal-fired plants with a total capacity of over 4000 megawatts, Electricity Minister Mohamed Shaker said on Wednesday.
China's Dongfang Electric Corporation plans to build a plant with a capacity of 1,980 megawatts while Shanghi Electric submitted an offer to construct four plants with a combined capacity of 2,400 megawatts, Shaker said at a news conference.
Egypt has been facing a power shortage that has hampered heavy industry in recent years. Shaker said in December that his country expects to add 2,500-3,000 megawatts of electricity generating capacity this year.
Falling oil and gas production coupled with rising consumption have turned Egypt from an energy exporter into a net importer.
Egypt began renting two floating liquefied natural gas storage and regasification units (FSRUs) last year that allow it to import gas for fuelling power plants, and a third is expected by the end of 2016 or early 2017.
(Reporting by Asma Alsharif; Editing by Greg Mahlich)
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