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Electricity company’s losses expected at JD1.45b by year-end
By JT - Sep 17,2014 - Last updated at Sep 17,2014
AMMAN — The losses of the state-owned National Electric Power Company (NEPCO) since the start of the year until the end of August stood at JD1.18 billion, and the figure is expected to rise to JD1.45 billion by the end of the year.
The Cabinet held a session Wednesday, chaired by Prime Minister Abdullah Ensour, to discuss NEPCO's losses — blamed on the harsh economic situation the country is undergoing.
The Jordan News Agency, Petra, said NEPCO’s losses were estimated at JD996 million when an economic correction programme was designed under the supervision of the International Monetary Fund.
The almost half a billion dinar difference is attributed to the complete halt in Egyptian gas supplies due to sabotage attacks by Sinai-based terror groups.
The disruption in the relatively cheap gas supplies pushed NEPCO to rely on expensive heavy oil for electricity generation.
As for the 2015 estimates, the Cabinet members noted that despite measures to cut the company’s costs, losses are expected to reach JD1 billion.
To this effect, the ministers referred the file to the Cabinet’s Economic Development Committee in order to study the possibility of completing the liquefied gas terminal in Aqaba.
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