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Egypt to switch to coupon system for subsidised butane gas

Families whose consumption requirements exceed specified rations will be given coupons for an additional gas cylinder at the partly reduced price of LE25

Ahram Online , Wednesday 7 Sep 2011
Cooking gas
Palestinians wait to buy cooking gas from a station in the Gaza Strip. Supplies and a costs are a problem across the region (Photo: Reuters)

A new coupon system to distribute butane gas cylinders for domestic use should be implemented soon, said Goda Abdel-Khaleq, minister of Social Solidarity has told Al-Ahram daily newspaper. The new system will first be implemented in the governorates of the Red Sea and the New Valley, two of the least populated governorates of Egypt and will be done in cooperation between the Ministry of Social Solidarity and the Ministry of Oil.

The system should benefit around 65 million citizens, registered through 14 million ration cards. Cylinder weighing 12.6 kilograms will be sold for LE5, a sizeable reduction of the real cost of LE80, according to Abdel-Khaleq.

Families of one to two persons will get one cylinder per month, increasing to two for families of more than four members. Those whose consumption exceeds the specified amount will be allowed an additional cylinder at the partially subsidised price of LE25.

Commercial cylinders of bigger weight will be sold at LE50. A butane gas cylinder officially costs LE2.5 but is sold at a minimum rate of LE5 to everybody.

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