The prime minister has approved the Industry Ministry's proposal to allow industrial companies using natural gas to pay for their actual consumption, and not the quantities stipulated in the contracts between them and the Egyptian Natural Gas Holding Company (EGAS), said Industry Minister Monir Fakhry Abdel Nour in a statement Tuesday.
The decision will give investors an opportunity to develop a clear vision in the long run, reduce the burden placed on companies, thus reducing the prices of products and encouraging investors to reduce and rationalize natural gas consumption, the minister added.
Companies were obliged to pay 90 percent of the quantities stipulated in contracts with EGAS, even if the companies did not receive or use these quantities.
The decision was made after EGAS has also failed to provide the quantities of natural gas needed by companies.
The decision will have a positive impact on attracting investments to the Egyptian market as it helps the investor develop a long-term plan, Abdel Nour added.
