Siemens re­ceives €4.9bn of dues from EEHC

4,800 MW-ca­pac­ity units to be added in June

The Daily News Egypt - - Front Page - By Mo­hamed Farag

Siemens re­ceived €4.9bn of its dues from the Egyp­tian Elec­tric­ity Holding Com­pany (EEHC) for its work on power sta­tions in Beni Suef, Bru­lus, and the New Ad­min­is­tra­tive Cap­i­tal.

Sources at the EEHC said that the re­ceipts pro­vided to Siemens were ap­proved and dis­bursed by the banks fi­nanc­ing the projects.The EEHC will start re­pay­ing its loans to the banks af­ter the com­mer­cial oper­a­tion of the afore­men­tioned sta­tions.

The sources told Daily News Egypt that Siemens will com­plete the de­liv­ery of 12 gas pro­duc­tion units in the Beni Suef, Bru­lus, and New Ad­min­is­tra­tive Cap­i­tal sta­tions be­fore the end of June, with a com­bined ca­pac­ity of 4,800 MW.

The sources ex­plained that af­ter the sta­tions be­come op­er­a­tional, the Na­tional En­ergy Con­trol Cen­ter will han­dle man­ag­ing their ca­pac­i­ties, whether by op­er­at­ing them fully, half their ca­pac­i­ties, or part of their ca­pac­i­ties.

The Ger­man com­pany has al­ready handed over to the Min­istry of Elec­tric­ity 16 gas pro­duc­tion units of power plants in the New Ad­min­is­tra­tive Cap­i­tal, Beni Suef, and Bru­lus, with a com­bined ca­pac­ity of 6,400 MW.

Sherif Kotb, deputy project di­rec­tor at Siemens, said that the com­pany is car­ry­ing out its op­er­a­tions on the units ac­cord­ing to the agreed sched­ule.The Egyp­tian Elec­tric­ity Holding Com­pany de­ter­mines the ca­pa­bil­i­ties it needs from each unit for the na­tional grid, as well as the num­ber of op­er­at­ing hours and fuel re­quired for oper­a­tion.

Siemens is im­ple­ment­ing 12 steam pro­duc­tion units with a to­tal ca­pac­ity of 4,800 MW, which are ex­pected to start op­er­at­ing tests next month, he added.

The Min­istry of Elec­tric­ity con­tracted with Siemens to es­tab­lish three power plants in Beni Suef, the New Ad­min­is­tra­tive Cap­i­tal, and Bru­lus, which will have a to­tal com­bined ca­pac­ity of 14,4000 MW,based on an EBC+Fi­nance sys­tem. Siemens will de­sign, con­struct, and fi­nance the project, then the EEHC will re­pay the loan over sev­eral years.

Three Ger­man banks, KfW Devel­op­ment Bank, HSBC, and Deutsche Bank se­cured fund­ing for Siemens’ projects in Egypt,amount­ing to €4.1bn of a to­tal con­tract value of €6bn.Arab banks se­cured the re­main­ing fund­ing in Egyp­tian pounds to pay Egyp­tian com­pa­nies par­tic­i­pat­ing in con­struc­tions, in­clud­ing Elsewedy Elec­tric and Oras­com Con­struc­tion.

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