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Egyptian gas supply to Jordan stabilises at below contract rate

Natural gas exports from Egypt to Jordan are stable at 100 million cubic feet per day, although the contract between the countries stipulates 240 million cubic feet

Ahram Online, Monday 3 Jun 2013
A fire is seen on a gas pipeline in the Massaeed area west of the Mediterranean coastal town of al-Arish, North of Sinai, February 5, 2012. (Photo: Reuters)

After a long period of disruption, Egypt's natural gas supply to Jordan has been stabilised, the Jordanian Minister of Energy and Mineral Resources Malek Kabariti told media on Sunday.

Malek Kabariti told the Jordanian daily newspaper Al-Arab Al-Yawm that supply from Egypt is stable at 100 million cubic feet per day, after a deal between the two countries to stabilise the quantities until Egypt solves its energy problems.

Kabariti added that Egypt had tried to reduce quantities lately, but Jordan refused.

At 100 million cubic feet a day, Egyptian exports to Jordan remain much less than stipulated in the contract between the two countries.

The natural gas supply deal signed between the Egyptian and Jordanian ministries of energy in 2004, which remains valid until 2019, stipulated that 240 million cubic feet be supplied to the kingdom daily by Egypt.

Egypt used to provide Jordan with 80 percent of its gas needs before the January 2011 uprising, but has been suffering from electricity shortages in recent months, evidenced by frequent power cuts and fuel shortages at petrol stations.

A primary cause of the recent power cuts is a lack of fuel at power stations. The Egyptian government in 2012 announced plans to import gas to cover fuel shortages.

The supply of gas from Egypt to Jordan has been interrupted 15 times since 5 February 2011, as the pipeline in Sinai has been repeatedly attacked.

Egypt produces six billion cubic feet of natural gas a day, of which 55 per cent goes to the electricity sector, 20 per cent is exported, 13 per cent goes to industries and less than 3 per cent goes to households.

After the revolution, Egypt made changes to the 2004 agreement by raising gas prices from $2.5 to $5 for a million calories for the quantities agreed until 2019. The gas prices will be arranged every two years as per international market regulations.

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