News Analysis: Cairo-Moscow nuclear deal vital for Egypt's development

Egyptian President Abdel Fattah al-Sisi and his Russian counterpart Vladimir Putin agreed Tuesday on a deal to build a nuclear plant in Egypt, which is seen by observers as essential to overcome the country's power shortage.

The two countries have signed a memorandum of understanding to build Egypt's first nuclear plant in northern city of Dabaa on the Mediterranean coast. It's "a matter of life or death" for Egypt, said energy expert Ibrahim al-Esary.

Boosting electricity generation has been a priority for Egypt, where shortages in recent years have led to frequent blackouts in cities, especially in the summer, stocking public anger.

"The project will largely contribute to solving the electricity problem, because the new plant will produce power cheaper than other water sources, in reference to the High Dam," said al-Esary, who is also a senior supervisor at the International Agency for Nuclear Energy.

The plant will also help desalinate water for irrigation and preserving a clean environment, he said.

Egypt froze its nuclear program after the 1986 nuclear disaster at Chernobyl of Ukraine, but announced its intention in 2006 to revive it. Plans for a tender were under preparation when former President Hosni Mubarak was deposed in February 2011 and during the rule of his successor Mohamed Morsi, but always delayed.

Ambassador Mohamed Shaker, chairman of the Egyptian Council for Foreign Affairs, said Egypt chose Russia as the latter produces cheaper nuclear reactors with good quality.

After long years of waiting, Egypt should choose a reliable source for this huge project, said Shaker, who was assigned membership of several UN committees over non-proliferation of nuclear weapons.

Egypt did not wait for launching bids, but gave the project to Russia with "direct order" just to save time, he added.

The plant will take four or five years and be constructed over a four-km area, Shaker explained, adding it is a water-compressing reactor without affecting the surrounding areas.

"If we can reach final decisions, then we can create a new sector in the Egyptian economy based on the construction of the plant, the training of technical staff and development of scientific research," Putin said.

Sergei Kiriyenko, head of Russia's Rosation state-based nuclear cooperation, said a power plant with four reactors will be built, each generating about 1,200 megawatts of electricity.

Al-Esary agreed with Shaker in saying that Russia is one of the best countries in the nuclear field, thanks to its long history in the technologies and applications.

Cairo has sought to strengthen its ties with Moscow against the backdrop of its strained ties with the long-time ally Washington since the ouster of the former Islamist President Mohamed Morsi by the army in July 2013.

Shaker believes that Egypt is currently seeking closer ties and further cooperation with Russia as part of the North African country's foreign policy to balance its ties with world powers.

Egypt was one of Russia's closest allies for two decades, starting from the 1950s, under Egypt's late nationalist President Gamal Abdel Nasser. The Soviets then funded a number of projects in Egypt, including the High Dam in Aswan, as well as helped arm and train the Egyptian military.

However, relations between the two countries froze in the 1970s when former President Anwar Sadat shifted Egypt's foreign policy and military alignment towards the United States soon after the 1973 Egyptian war with Israel and the signing of a peace treaty in 1979.

A few hours after the Egypt-Russia deal announcement, U.S. State Department spokesperson Jen Psaki said the United States does not oppose the nuclear deal between Russia and Egypt for political purposes.

"We don't have concerns about the deal; we support peaceful nuclear power programs as long as obligations under the Nuclear Non-proliferation Treaty to which Egypt is a signatory," she said.

The deal has also political benefits beyond economic ones, added Mona Bakir, a professor of international relations at American University in Cairo.

Egypt's nuclear dream finally comes true, without help from Washington, the main ally to Israel in the Middle East, though Israel opposes that Egypt owns a nuclear reactor, added Bakir.

The project will get Egypt out of the garment of the western hegemony, and will open new horizons for the cooperation with the East, he said. Endit