The Mega National Projects…A Locomotive of Development

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Dr: Ahmad Abu El Hassan Zarad

President Abdel Fattah al-Sisi in his speech before the Egyptian-Japanese Business Forum on March
3, 2016 talked about the mega national projects for being a locomotive of development. Moreover, in
the occasion of wheat harvest within the one million and half feddans project, he talked about the
other national projects, including the national network of roads and the mega national project for the
development of Sinai and the national project of electricity...
The government statement before the House of Representives on March 3, 2016 mentioned some of
these projects: The development of the Suez Canal Corridor, establishment a new generation of new
cities, reclamation of one million and half feddans, the development of the western north coast by
establishing a set of horizontal and longitudinal corridors as well as industrial, tourist, urban,
agricultural and power generation projects. In addition to the golden triangle in southern Egypt, where
its sketch will be adopted end of June this year. It aims at establishing an economic, mining and tourist
area on the coast of the Red Sea. Moreover, the establishment of major roads, where a road network
is currently implemented that covers all governorates of Egypt, its length is about five thousand km
as well as establishing 30 June corridor, the new Galala City, that aim to develop the Suez Gulf and Al
Ain al Sokhna area and attract more tourist investments and create new job opportunities.
The question that imposes itself is about the importance of these projects and the mechanisms and
timing of its implementation and its positive impact on the ordinary citizens and their ability to attract
national and foreign investments.
First: The New Suez Canal
The New Suez Canal came on top of these projects that proved the ability of the Egyptians to achieve
a giant project in a definite time (one year) with a national funding( investment certificates worth L.E
64 billion in 8 days).
Absolutely, there is a direct effect of the new Suez Canal on the short and long term especially
concerning the increase of the ships number and hours of waiting. In this respect, the figures show
in 2015 that the number of ships that transited the canal reached 17483 with an increase by 335 in
2014 at a ratio of 2%. Moreover, the net tonnage volume reached 998.700 million tons in 2015 with
an increase of 36 million tons in 2014 at a ratio of 3.7%. However, the annual revenues scored a
record which is L.E 40 billion.
The navigation waterway of the Suez Canal witnessed transit of 2724 different ships from the two
directions during January and February 2016 with a tonnage of 158.329 million tons compare to 2630
ships with a tonnage of 155.557 million tons in the corresponding period last year with an increase of
3.6% and an increase of tonnage at a ratio of 1.8%.
It's worth mentioning that the Suez Canal witnessed on May 5, 2016 transit of 61 ships from the two
sides with a total tonnage of 4 million tons.
This remarkable increase in the transting ships' numbers and tonnage show the importance of
establishing the new Suez Canal and its ability to receive the expected growing global trade exchange
passing through the Suez Canal.
In general, the importance of the new canal is not only in its direct effect in increasing the number of
the transiting ships, but in its effective role in activating the economic movement through a chain of
projects related to the new canal such as upgrading about six strategic harbors: Sharq el Tafrea, Port
Said, Arish, El Tour, El Shokhna and El Adabia. This is in addition to a number of expected activities
like: assembling of cars and electronics, oil refining, petrochemicals and others that will contribute to
settle millions of Egyptians in Suez Canal and Sinai as well as attracting foreign investment.
Second: The National Suez Canal Corridor Development Project
The National Suez Canal Corridor Development project is very close and related to the Suez Canal
Project. It basically targets to maximize the benefit from the Suez Canal great potentials, provide more
job opportunities, make the Suez Canal region an international center for navigation, logistics services
as well as an industrial center and a gate for trade between east and west.
A number of top priority projects were identified, namely, establishing a major industrial zone near El-
Sokhna port over an area of 200km2 and technology valley in Ismailia aiming at providing a million
direct job opportunities.
The project aims to connect Sinai with the motherland through 7 tunnels below Suez Canal, including
3 in Port Said for cars and railway line. Also, there are 4 tunnels in Ismailia, two for cars, one for
railway line and the other for utilities with a total cost of $ 4.2 billion.
In the framework of the procedures of launching such project, on 11 August 2015, a Republican
decree was issued to establish the economic zone of Suez Canal. The decree stipulated that it is
considered an economic zone of a special nature by virtue of law provisions no.83 of 2002, and its
amendments, the lands in Suez Canal region whose space hits 460.60 km2. Such region includes west
Port Said Port, East Port Said Port, the industrial zone in east Port Said, the industrial zone in west
Qantara, technology valley, Al-Adabia Port, Sokhna Port, Al-Arish Port, and el-Tor Port .
In order to activate such region, on 8 March 2016, a letter of intent with Singaporean Hyflux Limited
Company was signed to establish power generating plant and water desalination station in the
economic zone of the Canal (in the area adjacent to el-Sokhna Port). The electric power plant capacity
reaches 457 Megawatt and 150,000 m3 of desalinated water. The investment value of both stations
are $ 500 million.
Suez Canal Region Constitutes an Adequate Environment for Establishing Fish Culture
Projects
This project aims to produce a safe seafood product by 100%. In this regard, on 25 June 2015,500
fish basins out of 1380 were completed during the 1st phase of the fish culture project. The project
provides fish and bridging the food gap in Egypt, where the initial production will be ranged from
10,000 to 15,000 tons. The production is targeted to reach 50,000 tons initially.
The project will be implemented through many phases to reach 80 million fry annually. It includes
fodder factories, fry hatching and a comprehensive production complex, canning and packaging
through many stages. So, the number of basins will reach 3800 at the end of the project. There are
many studies with international Spanish and Korean parties to implement the most major project for
fish culture in the Middle East which will establish on the Canal banks with a length of 120 km. The
researches pointed out that the project will achieve self-sufficiency in Egypt.
East Port Said Port, a Strong Momentum for Suez Canal Corridor Development:
East Port Said Port development is a part of the Suez Canal economic development plan. In this
framework, the establishment of East Port Said Port which was implemented in only 100 days (15
November 2015, 24 February 2016) and was dug for a length of 9.5 km, width of 250 m and depth
of 18.5m in order to receive the giant oil tankers at a cost of $ 36 million to increase the handling of
containers in the port from 2 to 3 million in the first year of the operation. East Port Said Canal
contributes to facilitating the entry and exist of the coming ships, from and to East Port Said Port.
Third: The National Project for Reclamation and Cultivation of one million and half
Feddans
The project aims to reclaim and cultivate one million and half feddans in order to create an integrated
society inside the new lands and achieve a comprehensive agro-industrial development. Moreover,
the project aims to narrow the gap between supply and demand of the foodstuffs and reduce imports.
This project contributes to increasing the populated area in Egypt from 6% to 10%, in addition to
increasing the agricultural farmlands from 8 million feddans to 9.5 million feddans, by an increase of
20%.
On December 30, 2015, at Farafra city, the New Valley, President Abdel Fattah al-Sisi inaugurated the
first phase of such national project, within a comprehensive plan to reclaim 4 million feddans. The
project, which compromises a series of mega national projects, is a part of the program of «a step
towards the future».
New Farafra... Initial Step of the Project:
On December 30, 2015, President Abdel-Fattah El-Sisi launched the first phase of the 1.5-million-
feddan project, at Farafra City, New Valley. The new set up villages, the 2500 housing units under
refurbishment, as well as the governmental and office buildings furnished with all utilities, all have
been inaugurated.
Additionally, several projects have been launched, including; a station to generate power from solar
energy, a water and a sewage treatment plants. Furthermore, the 2500-feddan agricultural village,
which will be floated for youth as a 5-feddan per person within the framework of joint-stock
partnerships, has been inaugurated. The President also toured the new roads connecting Farafra to
northern and southern governorates of Upper Egypt.
Cultivating Ten Thousand Feddans at Farafra:
Within the framework of the celebration held, the first 40 groundwater wells in Farafra area, dug
inside youth-dedicated arable 10-thousand-feddans land, were inaugurated. Additionally, 40 irrigation
pivot devices were installed, as well as the farmland that was fertilized and prepared for planting seeds
within the project of “1.5 million feddans".
Launching Wheat Harvest:
On May 5, 2016, President Abdel Fattah al-Sisi launched wheat harvest at Sahl Baraka, within the
project of the 1.5 million feddans.
Establishment of Two Agricultural and One Service Villages:
The first stage of the project includes the establishment of three villages; two agricultural and one
service-oriented to serve workers in the area. Every agricultural village is set up on 400-feddan area,
whereas the service village is built on 800-feddan area and is planned to accommodate a population
density of 10-15 thousand. The villages include 2000 farmhouses; each of an area of 200 m2.
In order to provide required housing for staff and personnel working in administrative and service
facilities, 40 housing buildings, incorporating a total of 480 housing units were built. Additionally, other
utilities, such as; schools, health units, ambulance, police station, civil protection and veterinary units,
markets, agricultural company, and others, were established.
Fourth: Establishing New Cities
The establishment of new cities on the current development corridors topped the mega national
projects. Among these cities are; East Port Said, New Ismailia, New Alamain, New Administrative
Capital, and the integrated city at Galala Plateau. The estimated area of these cities reaches
approximately a thousand million meters2, costing about LE one trillion.
(A) East Port Said City:
East Port Said City has been established as per the Presidential Decree No. 222 of the year 2010 dated
July 26, 2010, and the Decree of Minister of Housing No. 18 dated January 20, 2015, stipulating the
formation of the organizational structure of the million-person city (Level A), as well as the Decree of
the Prime Minister No. 1115 of the year 2015 dated May 6, 2015, by approving the reallocation of
19,351 feddans at the region, for the benefit of Armed Forces National Service Projects to be used in
fish culture projects.
The project of East Port Said incorporates the 29815.4-feddan million-person city, the 23574-feddan
industrial zone, the 17159.6-feddan East al-Tafreia Port, by a total area of 70,549 feddans.
The million-person city includes an urban development Zone; an urban extension of Port Said, in
addition to a real-estate investment, an archaeological, marine, and an environmental zone. As regards
the roads leading to East Port Said, there is Arish-Qantara Road, Port Fouad ferryboat, and al-Qantara
Road East al-Tafri'a road. A project for the establishment of a tunnel (between 18.2 and 19.8 km) and
a railway line that reaches East Port Said has been proposed.
B- The New Administrative Capital
On February 8, 2016, President Abdel-Fattah al-Sisi issued a Republican decree no. 57 of 2016 on
allocating the lands south of Cairo-Suez highway, over an area of 166615 feddans, east of the Regional
Ring Road, and 17571 feddans west of the Regional Ring Road, in favor of the Armed Forces National
Lands Projects Agency, for the establishment of the New Administrative Capital.
The new city will include affordable residential quarters, including economic housing, the government
headquarters, a universal medical city, a sports city, a smart village, an international conference hall,
an exhibition city, service and educational areas, finance and business zone, modern roads with a
width of 120 m, and a green corridor over an area of 7200 feddans.
The construction of the public utilities of the new capital started on April 2, 2016, and the contractors
had started working on the project on March 3, 2016.
C- The New Ismailia City
On November 6, 2014, President Abdel-Fattah al-Sisi ratified the decree on the establishment of the
New Ismailia City , which is considered the best extension to the current city as regards its location
and vicinity to the Suez Canal Development Corridor. Such a city will also realize one of the national
security objectives of the reconstruction of Sinai . It will accommodate the population growth and the
urban expansion of Ismailia city and the surrounding governorates. This city will also serve the
expected workforce in the Suez Canal development projects. It is expected to provide more than
100,000 job opportunities during the construction period.
The New Ismailia city will be established on the eastern coast of the Suez Canal, on the area facing
Ismailia city; which is a multi-service residential city, and will mainly depend on the alternative energy
sources.
New Ismailia is also considered the first city to pay due attention to the people of special needs in
term of the services provided, the escalators, that will take them to inside their homes, thus facilitating
the daily tasks of this category without needing any external help .
It will be established over an area of 2157 feddans, along 11.3 km, between the two navigational
routes of the Suez Canal. This project includes the establishment of 5754 residential units, 620 semi-
detached villas and 373 detached villas, provided with health and social service facilities, in addition
to a sports club.
The city will also include 7 districts that will be established on seven phases, each district will include
700 flat buildings and a number of villas with their full utilities and required services like schools,
markets, health units and hospitals.
D- The New Alamein City
The new Alamein city is currently under implementation. It will have a unique urban nature in light of
its vicinity to al-Ameed Reserve, thus offering a new pattern for the integrated coastal and
environmental tourism. The new city will be established by virtue of the Republican decree no. 149 of
2014, issued on May 2, 2014, on the establishment of the new al-Alamein city over an area of 88,000
feddans, south of the coastal road.
On October 9, 2015, construction started in the new city, the matter which is considered the first step
towards developing the western-northern coast.
Such area is expected to accommodate around 30,000 citizens during the coming 40 years, thanks to
its vicinity to the high density places of the Delta and North Upper Egypt, not to mention its moderate
atmosphere and natural resources.
The establishment of the new Alamein city includes several phases. In this respect, an overall strategic
sketch for the first phase over an area of 8,000 feddans has been enforced. The detailed plan is
currently under preparation.
An Integrated City at Al-Galala :
The Armed Forces Engineering Authority, in collaboration with 53 local civil companies, is
implementing an entire city on Al-Galala Plateau on an area of 19 thousand feddans on the top of “al-
Galala al- Bahareya” mountain at an altitude of 700m above sea-level, where the temperature is less
than 11 degrees compared to that of Cairo.
There is a plan to provide fresh water to Al-Galala city through the construction of a 150,000 m3
desalination plant.
While, the electricity needed for the project will be secured through upgrading the Ataqa power plant
in Suez and the wind farms of Zafrana .
There is, also, a plan to establish a tourist resort on an area of 1000 feddans, two hotels (one on the
top of the mountain and the other by the beach), and a mall that will be linked to a 17 kilometer road,
a cable car “teleferique”, a water park and a yacht marina.
Fifth: The Golden Triangle Project
This is one of the promising national projects in Egypt, which would connect the industrial centers of
Qena, Safaga and al-Quseir. It aims to create an economic zone in Upper Egypt through the
establishment of industrial, agricultural, economic, trade, tourist and service centers to achieve
sustainable development in Upper Egypt. The project covers an area of about 840 thousand feddans
extending from Qena governorate in the west to the Red Sea governorate in the east, and from Safaga
city in the north to al-Quseir in the south.
Sixth: The National Project for Roads
The National Roads Project is considered one of the most prominent projects sponsored by the State
to serve the citizens. It was approved in June 22, 201, aiming to develop more than 4,800 kilometers
making up 20.4% of total network, in addition to the surrounding areas. The project, also, envisages
the development of 39 roads in two phases, with investments amounting to about LE 36 billion.
In this respect, the total length of paved roads reached 155.213 kilometers until June 30, 2014
facilitating the transportation of more than 95% of goods and persons, while the number of bridges
that received maintenance during the year 2014/2015, reached 186 bridges, in addition to the bridges
of the international coastal road.
According to the fiscal year 2015/2016, it is scheduled to provide maintenance and repair for 214
bridges at a cost of about LE 500 million, including the maintenance of the River Nile bridges (Warraq
- Mansoura - Minya - Qena – Aswan).
The Armed Forces Engineering Authority will build 22 roads with a total length of 2,057 kilometers, of
which 19 are finished, including 30 bridges and 11 tunnels.
The Second Phase of the National Roads Project:
President Abdel Fattah el-Sisi announced the implementation of the second phase of the National
Roads Project on August 9, 2015, where 600 kilometers would be developed including roads and new
corridors. The development projects of this phase, as well, are entrusted to the Armed Forces
Engineering Authority.
In this respect, President Abdel Fattah el-Sisi said that 5 thousand kilometers of the National
Network Project have been finished, at a cost of LE50 billion, in addition to 135 bridges. He, also,
asserted that it is scheduled to finish 150 bridges at a cost of LE 80 billion, besides 2,000 kilometers
within the development project of Sinai, by the end of this year.
Seventh: The National Project for the Development of Sinai:
President Abdel Fattah el-Sisi announced on May 5, 2016 that the expenses of the development of
Sinai ranged between LE 20-30 billion .These projects include the establishment of fish farms, 15
marble factories, two lines for cement production, industrial zones, agricultural areas (not less than
200 thousand feddans), two sewage water treatment plants at Sarabium and Al-Salam Canal .
It is worth mentioning that at the beginning of 2015, LE 10 billion were allocated for both the
development process and fight against terrorism in Sinai.
The most important projects that have been implemented over the past decades are as follows:
Road Projects:
About 3200 kilometers of main roads to link cities to main villages, and 2150 kilometers of minor roads
inside towns and villages were constructed, the most important of these roads are: A road that starts
from Qantara Sharq through Ras Sidr and Al-Toor to Sharm el - Sheikh, Dahab, Nuweiba and Taba.
Besides, there are a road that starts from Al-Shatt to Nakhl and Al-Naqap in central Sinai until Taba
in the far southeast, the eastern international borders road; Taba - Rafah, the middle axis (Ismailia -
Aljafjavah Al-Hasana, Al-Ouaga ), and the international coast axis (Qantara Sharq - Bir al - Abed – Al-
Arish - Sheikh Zuid – Rafah).
There are other projects being implemented during this year (2015/2016) in the field of agricultural
development, on top of which are Al-Amal Village project over an area of about four thousand feddans,
the project of new Suez Canal siphon, which is the largest project under the new Suez Canal and an
extension of Sarabium old siphon. It aims to provide irrigation and drinking water from Sinai canal,
and secure its passage from the new canal to the the farmers in east of Suez, Bohairat and New
Ismailia to irrigate their farmlands. This project will contribute to the revival of areas east of Suez
Canal and connects development corridor between Sinai and the Nile Valley. It also aims to provide
water to reclaim 70,000 feddans in Sinai as a first stage, to be utilized to increase the reclaimed areas
in Sinai to 100 thousand feddans as a second stage, of gross national project areas for the
development of Sinai which amounts to 420 thousand feddans.
There are other projects such as rehabilitation of Sarabium canal, which is the largest water project
under the new Suez Canal to transfer water from the east of the old canal to the east of the new one,
to be one of the main arteries that transport water to Sinai with Al-Salam Canal. Moreover, the
establishment of a new siphon in Sarabium, next to the current siphon, which will be opened soon,
has been declared. The capacity of the new siphon reaches 2 million and a quarter cubic meters per
day under Suez Canal to serve the land reclamation in central Sinai projects and to establish a
desalination plant, east of the canal to produce drinking water.
In addition, there is Sheikh Jaber Canal Project (second phase of Al - Salam Canal), at a total cost of
62 million pounds, in order to serve about 9,000 feddans at Rab’a area within the North Sinai
Development Project. It is targeted to discharge water in all branches of the canal in Sinai before the
end of 2016, to provide the necessary water for the cultivation of 420 thousand feddans; the total
area of the project.
One of the cultural and educational development projects is Al- Arish University. It comprises faculties
of: education, environmental and agricultural sciences, physical education, arts, and science as well
as the institute of environmental studies and fisheries. Moreover, three faculties will also be
inaugurated, namely; faculties of home economics, trade and medicine.
Arab efforts are joined for the development of Sinai. On March 20, 2016, an agreement was signed
with the Saudi Fund for Development to allocate $ 1.5 billion for the projects of Sinai
Development within the program of King Salman Ibn Abdul Aziz to develop Sinai Peninsula, which
comprises a number of projects, including:
- A project to create 9 communities at a cost of about $ 120 million.
- The project of the development corridor road at a length of 90 km and a cost of $ 80 million to
serve the new population communities east of Suez Canal and linking it to Delta west of the canal.
- A project for the establishment of four rood links at a length of 61 kilometers to link the development
corridor in north Sinai governorate in the coastal road adjacent to the Mediterranean Sea beach at a
cost of about $ 50 million.
- The project of King Salman Ibn Abdul-Aziz University in Al-Tor at a cost of about $ 250 million.
- The establishment a three-processing plants to handle the combined wastewater at a cost of about
$ 210 million.
Re-opening As-Salam Bridge
As-Salam Bridge was inaugurated on October 9, 2001. It is built in Qantara Sharq city near Ismailia.
Its total length reaches 9.5 Km consisting of four lanes. Its total costs reached about L.E 670 million.
The bridge was closed on June 14, 2013, and re-operated on January 13, 2016 after a four-year
closure.
It is known that building of this bridge has come within the framework of the national project to link
Sinai with the homeland. Moreover, it contributes to pushing forward the comprehensive development
projects, carried out on the land of Sinai, whether agricultural, industrial or in the field of mining, and
above all, the resettlement of more than 3 million people.
Eighth: The National Project for the Development of Upper Egypt:
The total number of Egyptian villages at the moment reaches 4777 where smaller villages are
subordinate to, in addition to 640 residential communities making up 57% of the population of the
Arab Republic of Egypt. The number of the governorates of Upper Egypt is 10 inhabited by about 35
million people representing about 29.7% of the total population of Egypt. Furthermore, the volume
of the investments in the socio-economic plan of the fiscal year 2015/2016 that target the development
of Upper Egypt, is estimated at about L.E 20 billion.
The Upper Egypt Development Project is considered the future of development in Egypt. Upper Egypt
governorates possess many natural, human, environmental and archaeological potentials, as well as
agricultural, tourist and industrial investment opportunities. The state endeavors to implement the
biggest number of development and service projects in these governorates to meet the needs of the
citizens and to provide many opportunities for the youth to eliminate unemployment and advance the
Egyptian economy.
Ninth: Jalala Plateau Project:
The Jalala Plateau project consists of three main parts: the main road, and building an international
city on the highest top of Jalala Plateau over an area of 19,000 feddans, and establishing of an
integrated tourist resort in Ras Abu Al-Darag on the bottom of the hill on the Gulf of Suez, where they
are linked through a road at the center of Abu Al-Darag, which is an ascending road of length 17 Km.
A cable car supplied by the global leadingcompanies that will connect the city to the tourist resort is
to be established as well as establishing an international water park, in addition to shops, restaurants
, among other means of comfortable life in addition to a public beach that is open for all citizens.
The starting point was the building of a road on the highest point of Jalala plateau linking Cairo-
Sokhna road with Beni Suef- Za’farana road in order to avoid accidents and sharp curves found in the
coastal road ; “West Gulf of Suez".
The main road starts from the tunnel of Wadi Hagoul on Sokhna road until the kilometer 10 on Beni
Suef- Za’farana road. The main road is 82 Km long in addition to the building of two connections to
link the main road to the coastal one to serve investors, owners of tourist resorts and beaches on the
Gulf of Suez.
Tenth: The National Project for Social Housing:
The National Project for Social Housing is one of the most important projects currently carried out to
overcome the housing problem through the provision of adequate housing for the low-income young
people to provide 500 thousand housing units during the period of 6 years to solve this problem, which
is a mammoth obstacle facing the citizen, who dreams to have a suitable apartment at a cost adequate
to the level of his income.
In the light of the growing demand on the National Project for Social Housing, which has reached 370
thousand units within 15 days, the state has worked to increase the target to at least 600 thousand
units and will hand over most of them next April.
Eleventh: The National Electricity Project:
President Sisi announced that the National Electricity Project for, which doubles Egypt’s production of
26 thousand megawatts, will cost when it is finished about L.E 400 billion.
Conclusion:
The most important characteristic of the mega projects is their comprehensiveness and wideness, and
their spread all over the country. This contributes in one way or another to achieving the economic
balance, and establishing bases of social justice in its Large concept and therefore reducing
unemployment and poverty. Furthermore, it contributes on the short and long terms to the re-
distribution of the population over a number of new cities in all regions of the Republic, including Sinai
and northern coast and their surroundings.
If these projects entirely constitute a solid foundation for a comprehensive development take off in
various aspects of economic, urban and social life, among others, they raise hope in a better future
that ensures a decent life for every citizen, and keeps at the same time, the right to development for
the coming generations.