World
Russia Building Egypt’s Nuclear Power Plants
By Kestér Kenn Klomegâh
At the last international parliamentary conference, Russia – Africa in a Multipolar World, held on March 20 under the auspices of the State Duma of the Russian Federal Assembly, Russian President Vladimir Putin indicated in his speech that the partnership between Russia and African countries has gained additional momentum and is reaching a whole new level, and further added that “Russia would continue helping African countries with electricity production, which so far covers only a quarter of the continent’s needs.”
According to the transcript made available on the Kremlin website, Russia is offering new environmentally friendly technologies, primarily in nuclear energy. Rosatom is already building a nuclear power plant in Egypt and plans to expand its involvement in the development of the national energy systems of the African continent. And that Russia, in some countries, would provide 100 per cent funding for these nuclear projects.
In early February 2015, President Putin and President Abdel Fattah el-Sisi signed an agreement to set up a nuclear plant in Dabaa, on the Mediterranean coast west of the port city of Alexandria, where a research reactor has stood for years. The deal was signed after a comprehensive bilateral discussion was held, and both expressed high hopes that Russia would help construct the country’s first nuclear facility.
The Egyptian Ministry of Electricity and Renewable Energy first signed the agreement on the development of the nuclear plant construction project in February 2015 with Russia’s Rosatom. The agreement indicates the construction of four power blocks, each with 1,200 megawatts of capacity.
Sergei Kiriyenko, then the head of Rosatom, said at that time that as soon as the technical and commercial details of the project were finalized, sources of finance would be worked out or considered. Its estimated cost, at the time, was $12.5 billion, and the plans were to undertake the construction with the help of foreign investors.
After several negotiations and renegotiations since 2015, Russia finally resigned from the contract for nuclear construction during first Russia – Africa summit. Seated in a sizeable conference hall on October 23, Russian President Vladimir Putin and Egyptian President Abdel Fattah el-Sisi reaffirmed their commitment to scale-up cooperation in various economic sectors and particularly expedited work on the special industrial zone and the construction of proposed four nuclear power plants, raising hopes for an increased power supply in Egypt.
Egypt attaches great importance to its relations with Russia. But what is particularly important for their bilateral relations, Abdel el-Sisi assertively reminded: “As for the nuclear power plant, we set a high value on our bilateral cooperation. We strongly hope that all topics related to this project will be settled without delay so that we can start implementing the project in accordance with the signed contract. Mr President, we hope that the Russian side will provide support to nuclear energy facilities in Egypt so that we can work and act in accordance with the approved schedule.”
Rosatom’s Director General, Alexey Likhachev, also emphasized at the first Russia-Africa summit that Rosatom has been cooperating with more than 20 African countries. In fact, Rosatom has shown business interest in Africa. Over the past two decades, at least, it has signed agreements that promised the construction of nuclear energy plants and the training of specialists for these countries.
Desirous of showing some policy achievements at the forthcoming second Russia-Africa summit rescheduled for late July 2023, Russians are rushing to lay the first concrete for the second unit of the El Dabaa Nuclear Power Plant in the Arab Republic of Egypt.
The total cost of construction is fixed at $30 billion. The parties signed an agreement to provide Egypt with a loan of $25 billion for the construction of the nuclear power plant, which covers 85% of the work. The remaining expenses will be covered by the Egyptian side by attracting private investors. Under the agreement, Egypt is to start payments on the loan, which is provided at 3% per annum, in October 2029.
El-Dabaa is the first nuclear power plant in Egypt and the first major project of Rosatom in Africa. Egyptian media have quoted the Head of the Egyptian Nuclear Power Plants Authority, Amjad Al-Wakeel, as saying concrete was laid for the second reactor in November 2022.
According to the project estimates by Rosatom, construction of all four NPP units is planned for completion by 2028-2029. The description made available on its website, State Atomiс Energy Corporation, popularly referred to as Rosatom, is a global leader in nuclear technologies and nuclear energy.
Our monitoring and research show that Russia and Egypt signed an intergovernmental agreement on the construction of an NPP far back in November 2015. The contract for the engineering, procurement, and construction of the El Dabaa NPP was signed on December 31, 2016. But the loan was made available only in 2022.
In his speech at the parliamentarians conference, Putin referred to “large Russian investment projects are being implemented in Africa, and will continue to help African countries with electricity production, which so far covers only a quarter of the continent’s needs.”
Long before this event, many experts criticized Russia’s policy in Africa. For instance, writing under the title “Russia’s Policy Towards Africa” back in September 2019, Institute of African Studies researcher Olga Kulkova explicitly noted that Russia had strengthened its presence in Africa over the past few years. It has signed new agreements with several countries there, including cooperation in the field of military technology, security and counterterrorism.
“This has reinforced Russia’s traditionally friendly ties with its African partners after its sudden withdrawal from Africa in the early 1990s, which was, indeed, a strategic blunder. But, Russian authorities have become fully aware of these primary policy mistakes. Now is the time to revitalize and rebuild the old ties, and also important to forge new ones. Russia’s policy towards Africa can be described as unique, but it has fewer financial and economic opportunities for implementing its policy on the continent compared to that of China,” Olga Kulkova wrote in her report.
According to reports, Russia has also signed for such construction of nuclear plants in a number of African countries but has been unsuccessful in implementing its side of the agreements during the past decade. These include agreements with Algeria (2014), Ghana (2015), Ethiopia (2019), the Republic of Congo (2019), Nigeria (2012, 2016), Rwanda (2018), South Africa (2004), Sudan (2017), Tunisia (2016), Uganda (2019) and Zambia (2016). Memoranda of Understanding (MOUs) were signed with Kenya in 2016 and Morocco in 2017.
Ryan Collyer, the Regional Vice-President of Rosatom for Sub-Saharan Africa, told this author that energy (construction and repair of power generation facilities as well as in peaceful nuclear energy and the use of renewable energy sources) is an important area of the economic cooperation between Russia and Africa.
According to him, with reference to Egypt, the plan is to commission four power units with VVER-1200 type reactors with a capacity of 1200 MW each by 2028. “We will supply nuclear fuel throughout the entire NPP life cycle (60 years), provide training services, and carry out maintenance and repairs within ten years after each unit’s start. With our initial agreement signed in 2015 and necessary infrastructure still being put in place, the El Dabaa project is firmly underway,” he said.
Ryan Collyer further explained that a nuclear power program is a complex undertaking that requires meticulous planning, preparation, and investment in time, institutions, and human resources. The development of such a program does not happen overnight and can take several years to implement.
According to his explanation, another critical question is the cost. Most of the funds are needed during the construction period. Building a large-scale nuclear reactor takes thousands of workers, massive amounts of steel and concrete, thousands of components, and several systems to provide electricity, cooling, ventilation, information, control and communication.
With over 100 million population, Egypt is the most populous country in North Africa, popularly referred to as the Maghreb region and part of the Arab World. Egypt is the third most populous country after Nigeria and Ethiopia in Africa. About half of Egypt’s population lives in urban areas, mostly spread across the densely populated centres of greater Cairo, Alexandria and other major cities along the Nile Delta.
Many policy researchers and analysts have written about Russia’s financial capabilities in implementing bilateral policy projects in Africa. Their common observations are that for the past three decades since the collapse of the Soviet era, Russia has not been a major economic giant in Africa compared to Western and European countries and Asian partners such as China.
During these several years, Russia’s grandiose economic diplomacy has had few tangible results. Many more important issues have received little attention since the first African leaders’ summit. Its policy model is limited to military-technical cooperation. With the current evolving geopolitical processes, stringent sanctions due to its ‘special military operation’ and its focus on these, Russia is unlikely to commit high financial resources to the development challenges facing African countries.
South African Institute of International Affairs (SAIIA), a policy think tank, suggested in its recent latest report that Africa needs to forge a unified approach to Russia before the 2023 Russia-Africa summit. It highlighted the need to develop a Russian continental strategy to avoid becoming a pawn in global power games.
Perhaps, the most important way forward is for African countries to work in cooperation with one another. Thus, developing relationships beyond short-term impact is critical to ensure other global powers’ interests do not dominate the continent. Overcoming passivity could involve the following steps: Africa urgently needs a Russia strategy. To that end, the African Union (AU) can – and should – engage with its members in a more structured manner and help them put together joint positions on critical issues related to Russia and other partners, like the United States, China, Europe and others.
World
How Russia’s Multifaceted Relations Changing Egypt
By Kestér Kenn Klomegâh
The Arab Republic of Egypt, a country spanning the northeast corner of Africa and the southwest corner of Asia, has a highly strategic location and attracts multifaceted interests of foreign players. For decades, Russia has established diplomatic relations with Egypt and has consistently sustained diverse ties with this country. It is no secret that Russia’s lust for the region is primarily due to the strategic importance of the Mediterranean Sea for investment and economic cooperation with the Maghreb region.
Determined to strengthen, particularly, economic cooperation, Russian President Vladimir Putin has maintained regular contacts with his colleague, President of Egypt, Abdel Fattah el-Sisi, mostly discussing both bilateral cooperation and broader regional developments. The current world’s geopolitical development, for instance, the United States-Israeli war on Iran in the Middle East, constitutes one theme both leaders frequently review, attempting to find long-term solutions.
On April 2, Putin met with the Minister of Foreign Affairs, Emigration, and Egyptian Expatriates of the Arab Republic of Egypt, Badr Abdelatty, in the Kremlin – the seat of Russia’s presidency. In attendance during the official talks on the Russian side were Foreign Minister Sergei Lavrov and Presidential Aide Yury Ushakov, while Egypt was represented by Ambassador Extraordinary and Plenipotentiary to the Russian Federation Hamdy Shaaban. Ultimately, there is no need to overstate the importance of this meeting.
Russia’s footprints are expanding in Egypt, highlighting the growing industrial investment and the strengthening of bilateral manufacturing ties by undertaking projects to ensure energy security. At the same time, maintaining regular dialogue remains very important for both leaders.
Putin, speaking with the three-member delegation in the Kremlin, underlined the fact that there are many promising initiatives underway, many of which are already being implemented. He has previously spoken in detail about the construction of a nuclear power plant and the construction of an industrial zone, and over ten major Russian companies have expressed interest in participating in this project.
Nuclear Plants in El-Dabaa, Egypt
The construction of nuclear plants in the city of El-Dabaa, about 320 kilometres northwest of Cairo, the capital of Egypt. It is the first nuclear power plant in Egypt, and will have four VVER-1200 reactors, making Egypt the only country in the region to have a Generation III+ reactor. On November 19, 2015, Egypt and Russia signed an initial agreement, under which Russia agreed to build and finance Egypt’s first nuclear power plant. These are now being carried out, not as a charity project, but with a loan of $28 billion. According to reports, Russia will finance 85% as a state loan of $25 billion, and Egypt will provide the remaining 15% in the form of instalments. The Russian loan has a repayment period of 22 years, with an annual interest rate of 3%.
At the meeting, Putin also raised the construction of an industrial zone in Egypt. There are many appealing and related opportunities in this, regarding having an industrial zone to be located on the banks of the Suez Canal. The industrial zone is also entering a new phase, as Russian auto-manufacturing enterprises are advancing distinctive plans to expand local vehicle production, reinforcing the country’s role as a regional manufacturing hub. The move reflects broader economic linkages between Russia and Africa, particularly in industrial development and supply chain integration.
Conveying Greetings and Reviewing the Middle East Situation
Naturally, the situation in the region remains a shared concern, according to Putin, and further hope that the ongoing conflict will be promptly resolved. “As you know, President Trump also addressed this issue yesterday. Let me reiterate that we are prepared to make every effort to help stabilise the situation and, as they say in such cases, return it to normal,” he stressed during the meeting. In this context, it is particularly important to know Egypt’s assessment as a key country in the Middle East.
Putin reminded the delegation of another Russia-Africa summit, which is planned for October 2026. With high hopes that Egypt will be represented by a strong, high-level delegation. Should the Egyptian President’s schedule allow, he would, of course, ahead of the summit, be very pleased to welcome him to Moscow. Jointly chaired by Vladimir Putin and Abdel Fattah el-Sisi, the first Russia-Africa summit, an important acute phase of the developments with Africa, under the motto of ‘For Peace, Security and Development’, was held for the first time in October 2019, in Sochi, a city located on the Black Sea coast. The idea to hold a Russia-Africa forum was initiated by President Putin at the BRICS (Brazil, Russia, India, China and South Africa) summit in Johannesburg in July 2018.
The head of the Egyptian Foreign Ministry, as traditionally expected, conveyed greetings from President El-Sisi to the Russian president and handed over a written message. President el-Sisi places great value on all aspects of the bilateral cooperation, and is extremely grateful for constructive collaboration on the El Dabaa Nuclear Power Plant, which represents a key milestone in the partnership. Despite the challenges, it is evident that the project is moving forward and will be completed by 2028.
In summary, as Egypt and Russia are reliable and time-tested partners, Putin plans to promote strategic projects, particularly in trade, economics, energy, and food security. With over 107 million inhabitants, Egypt is the most populous country in the Arab world, the third-most populous country in Africa, and the 15th-most populous in the world.
World
US-Israeli War on Iran: Africa’s Reactions Through the Prism of the Global South
By Kestér Kenn Klomegâh
In an interview, Senator Mushahid Hussain, President of Pakistan-Africa Institute for Development and Research (PAIDR), explicitly offers a few important insights into the US-Israeli war on Iran and its implications for BRICS+ and Africa. Here are the interview excerpts:
What’s your interpretation of the US-Israel war on Iran, in the context of developments in the Middle East region?
The US-Israel illegal and unwarranted war on Iran was spearheaded by [Benjamin] Netanyahu (Prime Minister of Israel) and actively supported by [Donald] Trump (President of USA) as a Joint Operation with three fundamental goals: a) decimate the Islamic Revolutionary Regime; b) reshape the Middle East as part of Zionism’s ‘Greater Israel’ Project; c) preclude any possibility of establishing a Palestinian State with Jerusalem as its capital.
What is your assessment of Iran’s joining BRICS+ in 2025, China’s and Russia’s roles as members of this association, in this US-Israel war with Iran?
China and Russia have played, by and large, a low-key diplomatic role in supporting Iran but without any active political initiatives. BRICS is divided from within, as India is keen to curry favour with the USA and avoids close association with BRICS since the time that Trump attacked BRICS last year. But China & Russia are clear political beneficiaries of the war as American prestige is at an all-time low, having got entangled in an unwinnable war, resulting in weakening of the US ‘sole superpower’ image.
As an Asian expert, how would you characterise Africa’s reactions? And do you think that reactions were objectively authentic, basing perspectives broadly on Arab and Middle East contributions to Africa’s development?
Africa’s reactions to the war are primarily through the prism of the Global South, viewing Iran as resisting American-Israeli hegemonic designs, as, for example, manifested in two examples: South Africa’s rejection of American pressures to wean South Africa away from its support for Iran. Plus, Somalia joined Pakistan and China in supporting the Russian resolution in the UN Security Council seeking an immediate ceasefire and negotiations to halt the War, despite strident Western/US opposition to the Russian resolution.
World
Middle East War: World Trade Facing Worst Disruptions Since World War II
By Adedapo Adesanya
The Director-General (DG) of the World Trade Organisation (WTO), Mrs Ngozi Okonjo-Iweala, has said the global trading system is experiencing the worst disruptions in the past 80 years.
The trade body chief warned about the consequences as the WTO ministerial conference opened Thursday in Cameroon.
“The world order and the multilateral system we know has irrevocably changed,” she said, adding: “We cannot deny the scale of the problems confronting the world today.”
The organisation’s 166 members appear deeply divided as trade ministers gather in the Cameroonian capital for the WTO’s top conference, amid global economic turmoil linked to the Middle East war.
Over four days in Yaounde, WTO members will try to revitalise an institution weakened by geopolitical tensions, stalled negotiations, and rising protectionism — against the backdrop of the war in the Middle East, which poses a serious threat to international trade.
“The scale of the problems confronting the world today, even before the conflict in the Gulf, destabilised trade in energy, fertiliser and food,” Mrs Okonjo-Iweala said.
“National governments and international institutions alike have been struggling to navigate rising geopolitical tensions, intensifying climate pressures, and rapid technological change.
“Accompanying these shifts has been an increasingly loud questioning of multilateralism,” she added.
Mrs Okonjo-Iweala said these disruptions were just one symptom of broader upheavals shaking the international order created after World War II to prevent a repeat of the disasters of the first half of the 20th century.
“It feels appropriate that at the moment when the world is in turmoil with conflict in the Middle East, Sudan, Ukraine, and elsewhere, at this time of great disruption and uncertainty, we have gathered in Africa to discuss the road ahead for the global trading system,” she said.
“Africa is the continent of the future.”
WTO ministerial conferences are typically held every two years. The current edition in Yaounde is the second to be held in Africa, after Nairobi (Kenya) in 2015.
-
Feature/OPED6 years agoDavos was Different this year
-
Travel/Tourism10 years ago
Lagos Seals Western Lodge Hotel In Ikorodu
-
Showbiz3 years agoEstranged Lover Releases Videos of Empress Njamah Bathing
-
Banking8 years agoSort Codes of GTBank Branches in Nigeria
-
Economy3 years agoSubsidy Removal: CNG at N130 Per Litre Cheaper Than Petrol—IPMAN
-
Banking3 years agoSort Codes of UBA Branches in Nigeria
-
Banking3 years agoFirst Bank Announces Planned Downtime
-
Sports3 years agoHighest Paid Nigerian Footballer – How Much Do Nigerian Footballers Earn
