EGP 17 billion to deliver natural gas to the villages of the "Decent Life" initiative: Minister of Planning
01 September 2021
Dr. Hala El-Said, Minister of Planning and Economic Development, and Eng. Tarek El-Molla, Minister of Petroleum and Mineral Resources witnessed recently the signing of a cooperation protocol between the Ministries of Planning and Petroleum represented by the Egyptian Natural Gas Holding Company (EGAS).
The protocol went around financing projects for the implementation of natural gas networks within the framework of the national project for the development of Egyptian rural villages “Decent Life”.
The protocol was signed by Dr. Ahmed Kamali, Deputy Minister of Planning, and Eng. Magdy Galal El-Din, Chairman of the Board of Directors of the Egyptian Natural Gas Holding Company (EGAS).
Dr. Hala El-Said, Minister of Planning and Economic Development, explained that the objective of the protocol is to manage and provide the necessary funding for the implementation of projects to connect the natural gas network within the national project for the development of Egyptian rural villages, "Decent Life" promptly and to ensure speedy implementation rates following the specific plans.
El-Said referred to the total estimated cost of implementing the project to connect the ground networks to natural gas for the first phase of the national project for the development of Egyptian rural villages, “A Decent Life” with about 4 million housing units, at a cost of more than EGP 17 billion, during the 2022/2021 fiscal year.
El-Said asserted that the implementation of natural gas delivery projects will lead to an increase in the coverage rate of natural gas services in the villages of the first phase of “A Decent Life” from 4% currently to 100%, which is consistent with the state’s directions to implement the strategic framework for green recovery and implement projects that take into account the dimensions of environmental sustainability.
Engineer Tarek El Molla, Minister of Petroleum and Mineral Resources, asserted that the protocol signed today regulates the mechanism for pumping the funding and financial resources needed to implement the infrastructure projects necessary to deliver natural gas to residential units in the villages of the Decent Life Initiative, which helps speed up its implementation according to the targeted timelines.
He explained that the petroleum sector is currently working on implementing natural gas delivery networks to 1,413 villages in the first phase of the initiative, which will lead to providing a civilized service to the people of the villages and removing the burdens of handling and using butane cylinders from their shoulders, as well as reducing the burdens of support directed to the butane, which is still supported in the country budget.
He added that the gas delivery projects within the initiative of a decent life give a great boost to the national project to deliver natural gas to homes at the level of the governorates of Egypt and doubled the targeted delivery rates to more than 7 million housing units that will receive gas for the first time during the next three years, which in turn raises the total units benefiting from gas to more than 19 million housing units.
This means that more than 70 million Egyptian citizens will benefit from the natural gas service as a civilized, accessible, and clean service.
He pointed out that there are more than 12.5 million housing units at the level of Egypt currently benefiting from natural gas, and that the petroleum sector companies specialized in the delivery work are currently implementing delivery plans within the national project and the initiative of A Decent Life.
He pointed out that the Decent Life Initiative is a unique project supported by the political leadership and contributes to achieving social justice and access to services.
The minister of the initiative represents a model in development that Egypt is proud of before the countries, explaining that coordination is being done to implement it according to specific timetables under the supervision of the Cabinet.