New Rules for the Operating License

The Federation of Egyptian Industries (FEI) discussed on Tuesday 21/12/2010 in his meeting with  IDA Chairman, the investors' problems and the procedures taken by IDA to provide facilities for the investors and solve their problems. The meeting was attended by Adham Nadim, the IMC Executive Manager, Mohamed Al-Suwaidi, the Deputy of FEI, in addition to a team work from IDA.

IDA Chairman confirmed that concerning the land speculation, IDA has the names of the merchants that profit from the lands. The Minister of Trade and Industry issued a decree to stop all governmental agencies from dealing with any three year old land that has no operating license.

Within the framework of the efforts exerted to encourage the investment and the decentralization, the governorates and the new cities are delegated to grant the new projects licenses and renew the registration in the industrial registry, IDA Chairman said.

Due to the non - abiding of the businessmen by the standards of the sewerage in the industrial cities, the New Urban Communities Authority limited the operating license to 1 year only.

Moreover, IDA Chairman added that one of this problem's solutions is that the General Authority for Sewage should manage and operate the treatment plants inside the factories; nevertheless, it did not work out. Thus the New Urban Communities Authority resorted to renewing the operating license yearly to guarantee that the factories will abide by operating the industrial sewage treatment plants.

Regarding the complaint about raising the guarantee letter from LE50 / m to LE200 / m, IDA Chairman answered that LE50 is not enough after observing the difference in the Market Price and the subsidized price provided by the government.

Eng. Mohamed Al Suwaidi asked for setting a comprehensive plan to establish residential units for the factories' labor next to their factories, instead of providing residential units inside the new industrial cities.

While, Adham Nadim confirmed that developing Upper Egypt is one of the main pivots of the national development strategy, and the center offers additional incentives in Upper Egypt governorates such as decreasing the companies shares in the business development services cost by 50%.