Russia inks deal to build Egypt's first nuclear plant at Dabaa

Russia has signed two agreements with Egypt to finance and build its first nuclear power plant at Dabaa on the Mediterranean coast in the northwest of the country.
As per one of the agreement, Russia will extend a loan to Egypt to cover the cost of construction of the nuclear plant which is expected to be completed by 2022.
Under the agreement

• Russia will grant a 35-year loan to the Egypt which is the Arab world’s most populous country.
• However in the agreement the loan has been not disclosed as the details of the credit agreement are still under discussion.
• Dabaa Nuclear plant will be third-generation plant with four reactors with total capacity of 1,200 MW.
• On completion the plant will make Egypt a regional leader in terms of civil nuclear technology.

Background

• Since 1980s, Egypt has been pursuing its plan to have a peaceful nuclear programme for the production of electricity at Dabaa.
• But the North African country had frozen its nuclear programme plans after disputes with local residents due to the Chernobyl disaster in 1986.
• However in 2006, under the dictatorial President-ship of Hosni Mubarak, Egypt once again had announced plans to revive its dream of peaceful nuclear programme. But the President was overthrown in 2011 revolution and its nuclear programme plans were stalled.
• The newly elected President Abdel-Fattah al-Sisi in February 2015 had signed a Memorandum of Understanding (MoU) to go ahead with the civil nuclear programme.

Month: Current Affairs - November, 2015