Partner Ahmed El Sharkawy joins as a speaker at the “Second Egypt Power, Infrastructure and New Energy Investment Forum” held on 29 and 30 April.

eu-con-global

Ahmed offered a presentation regarding the legal framework for the power sector in Egypt and the applicable tendering rules.
Moreover, the EBRD representatives indicated their support to the power sector in Egypt and offered high-level bankability issues as follows:

Convertibility

Issue: Iimportance of accessing USD at the specified rate

Recommendation: Contractual undertaking from EETC to ensure convertibility+ Central Bank / MoF confirmation of priority for renewable projects

Process

Isuue: clear steps that give development certainty

Recommendation: Early award of PPA, land and temporary license–specified number of months in which to achieve financial close

Classic take or pay structure

Isuue: no demand, grid or price risk for developer

Recommendation: Clear “deemed revenue” payment for political force majeure disruption, grid unavailability or late completion by EETC

New sector

Issue: first ever private renewable projects and first private power projects for 15 years

Recommendation: To mobilize wide globalinterest, be “pro-developer” for the first projects

The event also covered important topics during its sessions such as; Egypt`s New Energy market; The Milestones, opportunities & risks; Electricity and Power generation infrastructure developments and; Egypt’s Feed In Tariff program: optimizing the legal and financial framework.

The Second Egypt Power, Infrastrusture and New Energy investment forum was sponsored by: TAQA, the EBRD, CIB, ABB, the American Chamber of Commerce and the EBA.

This publication is intended for general guidance only. It is not intended to render professional legal advice. No reader should rely on any information contained in this publication. In case you have any questions on issues reported here please send an email to Chadene El Tarouty (ct@sharkawylaw.com) or Karim Sarhan (ks@sharkawylaw.com)