In accordance with the increase in electricity selling prices by 21% to 23% for energy intensive industries using high voltage, Egyptian manufacturers and merchants are planning to raise their selling prices. The impact on inflation is thus expected to take effect in September, Al Borsa reported.
In reaction to that, the Egyptian Minister of Electricity and Renewable Energy, Mohamed Shaker, stated that the state’s general budget can not afford the cost of subsidizing electricity reaching to EGP 48.5b, if the selling prices did not change.
Head of the Commercial Sector at Ezz Steel Company, Samir Noaaman, stated that Ezz Steel can not decrease electricity consumption and that any increase in the cost of production will be added to the selling prices. Executive VP of Titan Cement Group, Medhat Estafanous, commented that the company will not absorb any increase in the cost of production and this will be added to the selling price.