Schneider Electric Egypt started negotiations with the Ministry of Electricity and Renewable Resources in order to increase the value of contracts after EGP devaluation and price increase, reported Al Mal News.
The company is attempting to prevent huge loses due to the fluctuation of USD exchange rates, as it has signed recently contracts to provide electric devices to projects in the New Administrative Capital, Suez Canal, and Eni’s Zohr field.
Schneider Electric Egypt’s Vise President, Khaled Kamel, stated that if the contracts were not amended, this will cause some projects to stop, especially after the increase in USD exchange rate.
Schneider Electric Egypt, only company to export power generations equipment in Egypt, plans to increase its exports from 25% of production during 2016 to reach 40% of its 2017 production. The plan aims to help the company to cover demands and regain the USD shortage.
The company aims to expand its work in new markets including Africa, Lebanon, Iraq Cyprus, Sudan, Zambia and Kenya. Schneider Electric further aims to increase its work in the countries in which it already has a point of presence such as Qatar and Emirates. The company is currently negotiating with the Egyptian ministry and other institutions over several projects.