Environmentalists see a great chance in making Ain El Sukhna a model resort
area, one that is ecologically sound and where environmental protection has
a high regard and is properly heeded. Under Law 4 of 1994,any tourism Project
is subjected to strict rules and regulations aimed at protecting the
environment . Although it was legislated four years earlier, the law came
into effect on April 1,1998. Experts and officials from the Ministry of
Environmental Affairs and TDA conduct the necessary studies and surveys to
ensure compliance .These deal with the project's location, size, capacity, pre-construction
activities, the plan, methods, tools and materials of construction ,operation and
maintenance, personnel, specifications of infrastructure and
utilities, emissions ,methods of solid waste management, plans for the sewage
system and sources of potable water supply . It also covers ecological and
demographic conditions ,the socio-cultural background investments needed
outside the side, and many other elements and factors. The ministry also
secures protections for the various species of indigenous flora and
fauna,the coral reefs,and the quality of air,soil and sea water.
With such generous packages…it's a government that means business . The
government has made it a top policy priority to encourage the private
sector, both local and international, to invest in the various sectors of
production and service and play a greater role in developing the national
economy. To that end, the government offers investors a range of incentives,
exemptions and facilities. For tourism projects in such areas as Ain El
Sukhna / Zafarana that are designated as desert zones, it offers the
following:
1. Ten-year profit tax holiday starting the fiscal year that follows
inception of operation .
2. The profit tax holiday may be extended for five years upon approval by
the Council of Ministers.
3. Exemption from stamp duty on project capital .
4. Exemption from stamp duty and notarization requirement for all
construction contracts up to the date on which the project is implement.
In addition, the TDA provides investors with lands for their projects
whenever on the beach or behind the coastal road, at concessionary prices
and attractive payment arrangements that include a three- year grace period.
TDA, in coordination with other government agencies and authorities, also
makes every effort possible to smooth over and remove any snags or obstacles
that may face investors.
