Dr . Gaber dsoukyIntroduction
The Egyptian Electricity Authority, (EEA) was established under Law No. 12 in 1976. At that time, EEA was granted the exclusive right to produce, transmit, and distribute electric power throughout Egypt. During 1983, the distribution activities were separated from EEA and gathered into a new authority called the Public Sector Authority for Electric Power Distribution, under the direct jurisdiction of the Ministry of Electricity & Energy (MOEE). During 1984, through a modification of Law No.12, Law No.36 of the year 1998 eliminated EEA's "exclusive right" for power generation. In 1991, under Law No. 203, the Electric Distribution Companies (EDC's) were transferred from the MOEE to the " Holding Company for Construction and Electric Power Distribution", under the jurisdiction of the Ministry of Public Enterprises Sector, a new Ministry created for preparation of the public sector companies to privatization.
During June 1996, Law No. 12 was modified again by the Law No. l00 for permitting the private sector to Build, Own, Operate, and Transfer (BOOT) electric power generating plants. Accordingly, a private developer sells the electricity to in bulk to the EEA for twenty years and, at the end of the operating period, the private developer transfers the assets of the facility to EEA.
In 1998 the Law No.18 (another modification for the Law No. 12 of the year 1976) was issued to transfer the distribution companies to EEA. Under this law, EEA's seven geographic generation zones were vertically merged with the eight distribution companies for creating seven companies responsible for both generation and distribution. Transmission, dispatching, planning for new generation and transmission projects, and the purchase of the electricity produced by the BOOT projects were continued to be the direct responsibility of EEA.
During July 2000, a new Law No. 164 (a recent modification for the Law No.12 of the year l976) was issued to change the Egyptian Electricity Authority (EEA) into an Egyptian jointstock (holding) company under the name of the “Egyptian Electricity Holding Company” (EEHC).
since July 2001, a series of restructuring steps took place for the affiliated companies, it started by unbundling of the generation, transmission and distribution activities and form thirteen companies (five production, one transmission and seven distribution) and due to the high growth rate of the number of power plants, network expansion and customer service centers, further unbundling took place.
During July 2002 , the Delta Company for Electric Power Distribution was displited into two separate companies : the North Delta Company for Electric Power Distribution and the South Delta Company for Electric Power Distribution, hence the distribution companies became eight companies instead of seven.
During November 2004, the Cairo company for electric power distribution was displited into two seperate companies
the Cairo north company for electric power distribution and the Cairo south company for electric power distribution hence the distribution companies became nine companies instead of eight.
Now EEHC has sixteen affiliated companies (six production, nine distribution and the Egyptian Electricity Transmission Company).
EEHC coordinates between the companies as an Integrated Economic Unit that can afford to provide a self financing portion for its future plans.
During the last two Fiscal Years 2005/2006 and 2006/2007 EEHC faced an unexpected high increase in peak demand.