Jordan Times
Friday, May 20, 2005

WORLD ECONOMIC FORUM 2005
Supplement and Special Issue

Future privatisation programme
Compiled by Mahmoud Al Abed
 

Royal Jordanian
Restructuring completed; non-core business was unbundled whereby five business units were created, including Jordan Airmotive Limited Company (JALCo). Privatisation of JALCo is expected to be completed in 2005.

Electricity
National Electricity Power Company has been unbundled into three operating companies: Generation (CEGCO), Transmission (NEPCO) and Distribution (EDCO). CEGCO sale is expected this year. Upon completion, EDCO and Irbid Distribution Electricity Company (IDELO) transactions will be completed by the 3rd quarter of 2005.

Postal Services
Jordan Investment and Financial Bank has been selected as consultant in the privatisation of the Jordan Post Company. The adviser will be retained for one year starting January 2005.

Aviation
Civil Aviation Authority is under restructuring, with the help of Lufthansa Consulting Group. The privatisation of Queen Noor & Civil Aviation Technical College is expected to be completed in 2005. Future plans include the privatisation of airports, whose administration will be handled by the private sector.

The Jordan Phosphate Mines Co.
Phase two of the plan has commenced to include the preparation of bidding documents for the sale of 40 per cent of government's shares, pending the final stage. Transaction is expected to be completed in 2006.

Railway Projects
The Aqaba Railway Corporation's privatisation plan will soon witness the selection of a consultant from a shortlist endorsed by the Steering Committee and the World Bank. The Amman-Zarqa project, which will be privatised on a BOT basis, shall be implemented on four phases. Bids from 17 companies are under evaluation. The contract will be awarded in the second quarter of 2005.

Jordan Petroleum Refinery Co.
JPRC's 50-year monopoly on the sector will end in 2008. It will be subject to restructuring and privatisation afterwards.


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