Ghajar: This is the status of electricity on 1/1/2021


Some of what was stated in Claire Shuker’s article –

Are we facing global darkness … which is a great possibility? What about stopping support for the Central Bank? Will it include the Lebanon Electricity Corporation fuel dollars?

Answers Minister of Energy in the caretaker government Raymond Ghajar To “call home.”“The situation is not so bad, and we will not face a total blackout, as the cabinet’s decision allows for the use of alternative mechanisms in case the tender process is delayed.” At the outset, the Minister of Energy points out that “the contracts with the Algerian company Sonatrach and Kuwaiti“ KBC ”were renewed. Every three years, it stipulates a minimum quantity of fuel that Lebanon is supposed to purchase, and Lebanon usually did not benefit from the minimum available to it at about 200 or 300 thousand tons, and each time the contract was liquidated when it was renewed. With the contracts approaching the end of their term, the Lebanese state still has a margin of benefit from the quantities it can buy, while the companies concerned do not mind providing these remaining quantities according to the contracts, and they may meet Lebanon’s need for about six additional months if their use is legalized. This is in the event that alternative contracts are not secured, or their signature or conclusion is delayed. ”

In parallel, Ghajar asserts that “the issue of lifting subsidies on the electricity of Lebanon’s fuel is not discussed at all, just as the governor of the Central Bank, Riad Salameh, has never dealt with this issue, and therefore the Electricity Corporation’s dollar will remain secured at the official exchange rate. 2021, the current year’s budget, which is about 1,500 billion pounds, will be available to the EDL, and thus the Ministry of Energy can conclude new contracts with international companies. Ghajar pointed out that “the ministry takes into consideration all possible scenarios in connection with the decision of the Council of Ministers, which tried to cover all the gaps. Therefore, in the event that the tender is not completed quickly, and in the event that Lebanon is unable to benefit from the remaining quantities of it in the contracts with Sonatrach and KBC Then, in this case, the fuel can be brought in by the “Spot Cargo” mechanism to secure the necessary quantities and secure the transition period.

How about a tender?

He confirms that “the Ministry of Energy has completed the book of conditions and deposited it with the Tender Management Authority, which recorded its notes on it, and it is today in the Ministry’s custody.” Some of them are notes, “noting that” the book takes into account the recommendations of operators, manufacturers and consultants, and for this reason, all the notes of the tendering administration cannot be adhered to if they conflict with the recommendations, “noting that if the dispute continues, the matter will be referred to the Council of Ministers for resolution. On the other hand, administrative sources at the Central Inspection Authority say that the fundamental difference lies in the specifications set for the authorized companies participating in the tender, confirming that there is a tendency to exclude local companies and limit competition to international companies at a time when local companies may urgently need operational contracts, confirming that the administration Bids will only be accepted with a clear book of conditions that does not limit competition and allows the participation of local, national and international companies in a comprehensive competition that leads to choosing the cheapest bidder at the best price. Otherwise, let the decision be in the Council of Ministers.

In response to the accusation of the tendering administration of delaying the preparation of the book of conditions and holding it responsible for the damage that may occur, the head of the tenders department, Jean, said that “it is useful to hold a party responsible for the delay,” indicating that “the principle of taking responsibility for the damage to public money; From his own money, we welcome him and we hope to start implementing it, as it is a real gateway to recovering money wasted as a result of wrong decisions, and people do not lose sight of the deal that was held in 2012; Execution speed.

In the same context, the contract later changed from a contract contract to a BOT contract, without a new bidding process for a new contract, and this deal is not known about its fate, in accordance with the principle of transparency. ”He points out that“ civil liability, meaning compensation for damage, is not immunity for it, not for a deputy. There is no minister, and therefore we demand to circulate it. ”

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