Best Practices

Power Supply for Speedy Development

"Aba Samuel" is a name of a river  37 kms South of Addis Ababa.  It is the location of the first hydroelectric power plant in Ethiopia.

            Aba Samuel, which became operational in 1941 generated 3 MW of power and served only Addis Ababa until it cut off function in 1958.  Currently, from Tis Abay to Koka, from Gilgel Gibe to Melkawakena, all have filled the stopgap left by Aba Samuel.  And thanks to the huge potential, a number of electric power generating schemes are in the pipe-line.  The recent launch of Gilgel Gibe II Power Project which is believed to raise Ethiopia's power generation capacity by 60 per cent is a case in point.

            The need for electrification is also the parameter for overall development of a country.  Since all industrial and other economic activities rely  on  electricity  or  other  means  of power, the primary energy production can be considered as an indicator of a country's economic strength.  That is why every country, be it rich or poor, gives priority to electrification, one of the major sources of energy behind the thriving industries. 

            The Government of Ethiopia, in its policy and strategy has stressed that electrification is one of the infrastructural facilities vital for the economic development. Developing the extensive potential for hydropower generation will widen investment and export thereby creating job opportunities.

            The supply of electricity is comparatively a recent phenomenon.  The first diesel generator was installed at the Grand Palace in 1887.

            The government of Germany bestowed Emperor Menelik II a diesel generator to provide electric power services to the Grand Palace and electrical appliances in use in Addis and its vicinity.

            It is in the time of Emperor Haile Silassie that the first hydroelectric generating plant, Aba Samuel, came into existence.

            Trying to keep abreast with the needs of the people, the regime gave electrification institutional picture by establishing the Ethiopian Electric Light and Power Authority /ELPA/ in 1956.  The Authority under its jurisdiction was mandated to generate, transmit, distribute and sale electric power.

            In the period between the establishment of Aba Samuel Plant and the fall of the Imperial regime (1958 - 1974) the sector was beseted by numerous constraints.  First there was no strategic thinking on how to develop the sector.  Therefore, the criteria for prioritization and allocation of electric power was left to the whims of the leaders.

            Electrification programmes were affected by lack of funding and concentration in the urban centers. 

            Power generated from water and diesel was only 218MW.  The number of customers including industries was less than 165,000.

            The inefficient and ineffective management of this sector has hampered the development of Ethiopia.

            Under the Dergue, Melka Wakena Hydro Electric Power Plant was connected to be part of the national grid in 1980, and this has changed the threshold.   About 398MW of electric power was generated to electrify 360 towns and serve 400,785 customers. If one goes by these figures, the activity undertaken in the power sector was minimal.

            In the history of the country, the Government of the Federal Democratic Republic of Ethiopia /FDRE/ has taken decisive measures to change potential into real power to bring economic progress.

            The ushering in of free market economy increased the momentum of creating favourable atmosphere for the growth, expansion and development of the power sector.

            In 1997 ELPA was also transformed into Ethiopian Electric Power Corporation (EEPCo) in line with the free market policy of the FDRE.

            Following the recognition and tangible measures taken to overhaul the sector over the past thirteen years, the power generated, number of customers and electrified towns have shown marked rise.

            The construction of Tis Abay II, Gilgel Gibe I and the IVth unit of Finchaa  have enabled the power system to increase the generation capacity to about 398 MW since 1995.

            Currently, the total number of electrified towns stands at 650.  An aggregate power generated to serve nearly one million people is 782MW.  This sharp difference with what was accomplished by the previous regimes depicts the maximum effort exerted in the sector by the incumbent government.  Besides, electrification in the past decade was not only both urban and rural-centered, but also focused on enhancing development wisely using the limited resources.

            It goes without saying that the power sector is an absolute prerequisite for the development of the country.

            Ethiopia believes that linking up electrification projects with other infrastructural projects to optimize the development of national resources is crucial.

            According to Sendeku Araya, Head of Public Relations Bureau with EEPCO, the corporation has envisaged to generate 1864MW of power in 2007.

            As part of the grand scheme, the government plans to undertake the Gilgel Gibe II and Tekeze Hydro Power Projects with the capacity to generate 420 and 300MW respectively in a couple of years.

            Sendeku also indicated that feasibility study is going on at Gojeb and Awash IVth unit Amer ti - Nishan Beles Hydro Power Projects, among others.

            Upon the completion of the projects, 1,800 towns will be electrified benefitting over 2.6 million people across the country bringing the overall coverage to about 75 percent.

            The Ethiopian government believes that electrification is an indispensable input for sustainable development.  In keeping with its strategy of developing the sector, it also envisages to exploit alternative power sources like wind and coal to meet the growing demand for power for domestic as well as industrial use.

            In addition to constructing power projects, restructuring of the corporation is also vital to deliver efficient services to customers.