The Egyptian government has taken the long-awaited painful but necessary decision of raising domestic energy prices.
Energy subsidies in the 2014-15 budget starting on 1 July are estimated at E£127bn ($17.7bn), or 16% of the budget – E£100bn ($14.0bn) for petroleum products and E£27.4bn ($3.8bn) for electricity generation. To rationalize its energy consumption, Egypt has embarked on a number of reforms, which include gradual product price increases; efficiency in energy usage; introduction of smart cards for the distribution of gasoline and diesel; and prevention of product smuggling. (CONTINUED - 949 WORDS)
