Egypt now has the opportunity to free itself from the energy problems and lay the foundation for a more secure energy future, a leading investor has said.

Ahmed Heikal, chairman and founder of Qalaa Holdings (formerly Citadel Capital), an African leader in infrastructure and industry, was speaking at the World Economic Forum in Davos, Swtizerland,  on the private sector's perspective of Egypt’s challenges and opportunities.

“We need to look beyond immediate concerns to more fundamental issues, because we have today a once-in-a-generation opportunity for a reformist government not just to lay the foundation for a more secure energy future, but to create whole new industries — and perhaps hundreds of thousands of jobs in the process,” Heikal said.

“We can do so by delving into two questions: What’s the optimal energy mix for Egypt? And how can we most efficiently harness the resources we have today,” he said.

Heikal spoke at a dinner session headlined “Shaping Egypt’s Economic Transformation,” at which Egyptian President Abdel Fattah El Sisi gave a keynote speech outlining Egypt’s economic roadmap and his 2020 vision for the Egyptian economy.

Other speakers at the session included Trade and Industry Minister Mounir Abdelnour and Finance Minister Hany Demian, as well as Martin Sorrell, CEO of global public relations giant WPP.

“With the state’s energy subsidy bill for the current fiscal year already down 30 per cent, I would argue that the Government of Egypt should consider channelling some of the windfall into both exploring a healthier mix of energy sources, with one that includes renewables — and into new industries to derive maximum benefit from those resources. In parallel, we need to convince 90 million people to change their behaviours as we move from a ration-based system to one of cash transfers for the needy,” said Heikal.

Qalaa Holdings invests in energy as one of its core industries. The company’s energy portfolio includes investments in refining, energy distribution, power generation and renewables. Its largest energy investment to date is the Egyptian Refining Company (ERC), a $3.7 billion refinery that has the potential to more than split Egypt’s present-day diesel imports and reduce by nearly one-third the country’s current sulfur emissions when it starts production in 2017. – TradeArabia News Service