By Sherine Nasr Negotiations to construct the first private-owned power station in Egypt are now almost complete. Private capital has lately begun to play a part in many infrastructure projects.
Major companies are now able to build roads and airports as well as harbours.
Yet the government has been highly sceptical about using the same model for energy production projects. According to Abaza, the BOOT system was introduced for infrastructure projects as an appropriate way for the government to mitigate foreign debts and enhance its programme of economic reform. The Sidi Krir power station was put out to international tender, and the Ministry of Electricity received at least 54 serious offers. It indicates how much respect international companies have for the Egyptian economy. According to Abaza, the government will still sell electricity to the public at the subsidised price of five piasters per kilowatt set for almost 98 per cent of consumers.