IBD contributes to setting up power station at north Cairo

The Islamic Bank for Development (IBD) yesterday offered a $ 41.5 million long-term loan to the Egyptian. Electricity Holding Company (EEHC) for the construction of a combined cycle power plant north of Cairo.

The 650 megawatt plant will incorporate combined natural gas-steam turbine technology to generate high electrical output with minimal environmental impact.

The generator operates on natural gas, but can use regular fuel if necessary, Minister of Electricity and Energy Ali El-Saidi said following the signing ceremony.

The new power facility is expected to cost $ 375 million and begin regular operation in 2005.

It is jointly funded with $ 41.5 million from the IBD, $ 133 million from the European Investment Bank (EIB), $87.5 million from the Arab Fund for Economic Development (AFED) and the remainder covered by the EEHC.

The power station is part of the ministry's scheme to cover all electricity demands needed for Egypt's comprehensive development plans, Saidi said.

The ministry plans to establish power stations with a combined output of 10,000 megawatts by 2010.