The European Union (EU) will provide a $83.2 million fund to the Egyptian government to be used for connecting households to the national gas grid, Egypt Oil & Gas reports.
The fund will be primarily used to fund the costs of delivering gas for high priority, low-income families, of which around 500,000 will benefit.
The news was revealed by Egyptian Minister of Petroleum and Mineral Resources Tarek El Molla during a press conference held to announce details of a joint project funded by the EU, the Agence Francaise De Developpement (AFD) and the World Bank, which will help to deliver natural gas to households in high priority areas.
The minister also announced that the Ministry of Social Solidarity will collaborate in the project’s development.
The EU fund will also provide the technical support necessary to implement the required reforms in Egypt’s natural gas market. This includes support for the Gas Market Regulatory Authority, a body recently established to oversee the liberalization process of Egypt’s gas industry.