Egypt, WB Sign $240 mn Loan Deal for Giza Power Project

Egypt and the World Bank (WB) on 11/4/2012 signed a $240 million-deal agreement as part of a broader program to build North Giza Power Project. Approved initially in June 2010, the project is expected to power more than five million households in the governorate of Giza, becoming a major infrastructure development project.

The agreement was signed by Planning and Cooperation Minister Fayza Abul-Naga and World Bank's Country Director for Egypt David Craig. In November 2010, Egypt and the WB signed the first loan agreement for the project, which was about $ 600 million. The power plant will comprise of a 1,500-MW Combine Cycle Gas Turbine (CCGT), using natural gas as the main fuel and light diesel oil as back-up. In his statement, Electricity Minister Hassan Younis, who attended the signing ceremony, said the plant will use natural gas as the main fuel and light diesel oil as back-up.

The three-stage project, which comes as part of the ministry's 2012/2017 plan, will be linked to the national grid to meet growing power demands, he added. The third stage includes two steam turbines with 250 megawatt capacity for each in addition to two boilers, he said. The simple cycle of the third stage will be operational in May 2014 while the combined one will start in 2015, the minister said. The total cost of the three stages is 3.7 billion pounds, financed by the WB, the European Investment Bank and the sources of the Cairo Electricity Production Company.