Egypt's government is increasing electricity-saving measures to limit fuel use and reinforce energy security after global oil prices surged above $115 a barrel.
A spokesman for the government, Mohamed El Homsany, said cutting power consumption has become a central pillar of the government's response to the rise in international energy costs.
He said on a local talk show on Monday that while the state remains committed to providing fuel and maintaining the stability of the national grid, “rationalising consumption has become a necessity followed by many countries under the current crisis”.
He added that the plan focuses on reducing electricity use in public lighting and major streets while guaranteeing uninterrupted supplies to homes, factories and production centres.
The governors of Egypt’s 27 provinces met Prime Minister Mostafa Madbouly on Sunday evening and were given new instructions on how to manage power in their respective provinces.
Governors were also instructed to intensify inspections of electricity theft that “undermines the efficiency of the power grid”, Mr El Homsany said. The government has sought to increase penalties on electricity theft, which it says remains rampant nationwide.
Following Sunday’s meeting, Mr Madbouly also announced stricter penalties on any merchants who needlessly drive up prices for consumers to profit from the Iran war.
Mr Madbouly promised that anyone caught doing this would be tried in a military court.
Mr Madbouly also convened the central bank governor and key economic ministers for a separate meeting on Sunday evening. He sought to reassure the populace in a statement issued after the meeting that the economy was fully prepared for the shocks from the Iran war.
Egyptian President Abdel Fattah El Sisi addressed a military symposium commemorating Martyrs and Veterans Day on Monday and said that, despite the war, Egypt's economy remains in the “safe zone”.
He warned that Egypt will not allow the region to be dragged into “absurd conflicts that threaten its present and future” and renewed calls for an immediate ceasefire and renewed dialogue.
However, despite that reassurance, the effects of the war have been widely felt in Egypt, with the local currency losing nearly six per cent of its value since Sunday, falling to its lowest official rate on record.
