{"id":606776,"date":"2023-09-21T00:00:00","date_gmt":"2023-09-21T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2023\/09\/21\/cabinet-approves-social-support-measures-renewables-expansion\/"},"modified":"2023-09-21T00:00:00","modified_gmt":"2023-09-21T00:00:00","slug":"cabinet-approves-social-support-measures-renewables-expansion","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2023\/09\/21\/cabinet-approves-social-support-measures-renewables-expansion\/","title":{"rendered":"Cabinet approves social support measures, renewables expansion"},"content":{"rendered":"

An eventful cabinet meeting: <\/strong>Ministers yesterday greenlit a slew of decisions, including the recently-announced social support measures, a proposal to increase the capacity of Benban and establish a new wind farm, and new golden licenses for industrial projects, cabinet said in a statement<\/a> following its weekly meeting.<\/p>\n

#1- Fresh wage hike, tax cut + social support approved: <\/strong> Cabinet gave the go-ahead to the emergency social support measures<\/a> announced by President Abdel Fattah El Sisi last week aimed at alleviating the impact of the economic crisis on vulnerable households. These included a minimum wage hike for public-sector workers, a higher one-off bonus payment for pensioners and the public sector, more generous pension payouts, and a wage tax cut. <\/p>\n

A tax cut, you say? Don\u2019t get too excited, it\u2019s a modest one: <\/strong> The basic personal exemption for wage taxes will rise to EGP 45k from EGP 36k today. That\u2019s a break for employers who offer net salaries \u2014 and for employees at firms that offer gross salaries.<\/p>\n

The measures will all go into effect starting from 1 October <\/strong> 2023 with the exception of the tax cut, which requires amendments to the tax code that will need to be voted on in the House of Representatives when it is back in session next month.<\/p>\n

Remember: <\/strong>Inflation accelerated at a record pace in August on the back of ballooning food prices. The urban rate of inflation rose to 37.4%<\/a> y-o-y from 36.5%<\/a> the month before, thanks largely to food and beverage prices soaring 71.4% y-o-y.<\/p>\n

#2- A 50% expansion at Benban + a new wind farm: <\/strong> Ministers approved an offer submitted by UAE-based AMEA Power to expand the production capacity of the 1.8-GW Benban solar park in Aswan by 1 GW, and to set up a 500-MW wind farm in Ras Ghareb. Enterprise Climate is looking into the project and will report back next week.At an investment cost of about USD 1 bn (or thereabouts) per GW of solar power, this is a big announcement. <\/p>\n

#3- Golden licenses for\u2026 <\/strong><\/p>\n

Gasco: <\/strong>Ministers approved handing the Egyptian Natural Gas Company (GASCO) a golden license for its USD 380 mn project to expand its gas complex in Alexandria. The company wants to add a fourth production line with a capacity of 600 mn cubic feet a day.<\/p>\n

EgyptSat Auto: <\/strong> Another golden license was granted for EgyptSat Auto\u2019s<\/a> planned EGP 300 mn electric mobility and components factory in the Tenth of Ramadan industrial zone. EgyptSat Auto is a local private sector company that produces electric golf carts. <\/p>\n

#4- Oil exploration: <\/strong>The cabinet also gave the green light to the oil minister to contract with Russian oil company Lukoil to comb areas in the Western Desert for oil and gas.<\/p>\n","protected":false},"excerpt":{"rendered":"

The minimum wage hike, bonus payouts, and pension hikes will come into effect from the beginning of October. New golden licenses also got the green light.<\/p>\n","protected":false},"author":1,"featured_media":606777,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7306],"tags":[903,7284,282,104,93,72,9154,11615,91,371,151,190],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-606776","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cabinet-watch","tag-al-nowais","tag-amea-power","tag-cabinet-watch","tag-economy","tag-energy","tag-enterpriseam","tag-gasco","tag-lukoil","tag-oil-and-gas","tag-oil-ministry","tag-renewables","tag-social-welfare","wpautop","entry"],"acf":{"mongo_id":"3941e2bc-9adc-4b5b-ac90-b32fdd29478d","order":"0","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2023\/5\/1025.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Egyptian cabinet approves social support measures, renewables expansion","related_issue":[606771],"teaser":"The minimum wage hike, bonus payouts, and pension hikes will come into effect from the beginning of October. New golden licenses also got the green light.","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2023\/9\/.529cb708-cfde-4ab0-af3e-8f91dcd90299.mp3"},"yoast_head":"\nCabinet approves social support measures, renewables expansion - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2023\/09\/21\/cabinet-approves-social-support-measures-renewables-expansion\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Cabinet approves social support measures, renewables expansion\" \/>\n<meta property=\"og:description\" content=\"The minimum wage hike, bonus payouts, and pension hikes will come into effect from the beginning of October. 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Ministers approved the wage hike \u2014 the second\u2026","rel":"","context":"In "Cabinet watch"","block_context":{"text":"Cabinet watch","link":"https:\/\/enterpriseam.com\/egypt\/category\/regulation\/cabinet-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/2\/163.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":542867,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/01\/20\/last-nights-talk-shows-minimum-wage-hike-tops-the-agenda-for-second-day-running\/","url_meta":{"origin":606776,"position":1},"title":"Last Night\u2019s Talk Shows: Minimum wage hike tops the agenda for second day running","author":"enterpriseam admin","date":"20 January 2022","format":false,"excerpt":"The 12.5% hike to the minimum wage announced on Tuesday continued to dominate the airwaves on a quiet night last night. The monthly minimum wage paid to public sector workers will rise to EGP 2.7k from July on the instruction of President Abdel Fattah El Sisi, who also directed that\u2026","rel":"","context":"In "LAST NIGHT\u2019S TALK SHOWS"","block_context":{"text":"LAST NIGHT\u2019S TALK SHOWS","link":"https:\/\/enterpriseam.com\/egypt\/category\/last-nights-talk-shows\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":614963,"url":"https:\/\/enterpriseam.com\/egypt\/2024\/02\/11\/cabinet-greenlights-unified-budget-act-amendments\/","url_meta":{"origin":606776,"position":2},"title":"Cabinet greenlights Unified Budget Act amendments","author":"enterpriseam admin","date":"11 February 2024","format":false,"excerpt":"Cabinet also approved public-sector wage, pension hikes","rel":"","context":"In "Cabinet watch"","block_context":{"text":"Cabinet watch","link":"https:\/\/enterpriseam.com\/egypt\/category\/regulation\/cabinet-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2024\/2\/799.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":640344,"url":"https:\/\/enterpriseam.com\/egypt\/2024\/08\/25\/madbouly-announces-ambitious-renewables-plan-tax-reforms\/","url_meta":{"origin":606776,"position":3},"title":"Madbouly announces ambitious renewables plan, tax reforms","author":"enterpriseam admin","date":"25 August 2024","format":false,"excerpt":"Gov\u2019t plans to add 28 GW of renewable energy to the country\u2019s energy mix over the next 5-7 years","rel":"","context":"In "Policy"","block_context":{"text":"Policy","link":"https:\/\/enterpriseam.com\/egypt\/category\/policy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2024\/8\/2089.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":562346,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/05\/20\/new-civil-servants-minimum-wage-gets-nod-from-cabinet-still-no-word-on-private-sector-floor\/","url_meta":{"origin":606776,"position":4},"title":"New civil servants minimum wage gets nod from cabinet, still no word on private sector floor","author":"enterpriseam admin","date":"20 May 2021","format":false,"excerpt":"Cabinet greenlit bringing the minimum wage increase to EGP 2.4k from EGP 2k for civil servants into effect at the start of the next fiscal year on 1 July during its weekly meeting yesterday, according to a statement. The minimum salary of the highest-grade civil servant will also increase to\u2026","rel":"","context":"In "Cabinet watch"","block_context":{"text":"Cabinet watch","link":"https:\/\/enterpriseam.com\/egypt\/category\/regulation\/cabinet-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2021\/5\/167.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":561291,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/04\/01\/cabinet-approves-new-raises-for-civil-servants\/","url_meta":{"origin":606776,"position":5},"title":"Cabinet approves new raises for civil servants","author":"enterpriseam admin","date":"1 April 2021","format":false,"excerpt":"Public sector employees not covered by the Civil Service Act are officially in line for raises of 13% of their basic salaries at the start of the next fiscal year (which starts on 1 July), under incentives approved by cabinet during its weekly meeting yesterday, an official statement read. 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