Egypt has increased natural gas prices for several energy-intensive industries effective May, following a Prime ministerial decree issued on Sunday.
The move comes after the government raised domestic fuel prices by up to 17% in March amid rising global energy costs.
Authorities are also pushing to cut fuel and electricity subsidies as part of an $8 billion agreement with the International Monetary Fund.
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The decree increased gas prices by an average of $2, bringing the cost to $14 per million British thermal units for cement factories, $7.75 for iron and steel, non-nitrogen fertilisers, and petrochemicals, and between $6.50 and $6.75 for other industrial activities, including petrochemical plants producing ethane and its mixtures.
According to the decree, said “the increases do not apply to consumers, as their gas supply contracts already include pricing formulas.”
Egypt’s energy import bill has more than doubled, while monthly natural gas import costs have nearly tripled since the outbreak of the U.S.-Israeli war with Iran, with increased reliance on LNG imports or regional producers.
Reuters
