Ethiopia generates $165m from power supply over last 10 months
Power supply in Ethiopia is taking the lead in generating revenue for the country. The government had worked really hard to invest in this sector and here comes the time to drink the milk of labour.
Recently, it has been reported that Ethiopia earns over $165m in revenue for sale of electric power over the last 10 months. Out of the amount, $49m was from supply to neighbouring Sudan and Djibouti. This countries are said to benefit largely from the power supply.
However, the state-affiliated FANA broadcasting corporate (FBC) quoted an official with the Ministry of Water, Irrigation and Electricity as saying the amount fell short of the country’s target of $200m. Although, the revenue generated was far above what was spent.
FBC confirmed that the suppliers were meeting local power demands and had plans executed to sell electric power to other countries as more power generating units are completed. It was stated that the country presently supplies power to two countries and that plans are on to further spread its supplying tentacles to more countries.
Report shows that apart from Sudan and Djibouti, Kenya and Tanzania are also in the process of getting power from Ethiopia. Consequently, A 400MW deal has been reached with Tanzania and Kenya. These countries are looking to buy an estimated 200MW to compliment its energy. Soon enough, this deal will be real.
The country is presently working on the Grand Ethiopia Renaissance Dam (GERD) which has past the 50% mark. It has been estimated that it will produce over 6,400MW of power after its completion– and that it will be rated as being the largest on the continent.
In addition, Ethiopia is working towards becoming the subregion’s leading power exporter and renewable energy hub on the continent. A combination of their power generating sources – hydroelectric, geothermal, wind and solar energies – is estimated at 60,000MW. This has made them supersede other African countries in power generation and supply.
Ethiopia so far has recorded successes in electricity related projects. This is seen as the strong point of the country’s investment and revenue generation.The electric railway linking the country to Djibouti is also one of the major successful projects of the country.
However, the Ethiopia Railways Company recently announced regular test runs on the route connecting the country to its neighbour, Djibouti. They said a total of 30 locomotives – fifteen each for passengers and freight will be used for the test. The Ethio-Djibouti railway line was launched as part of efforts to open up Ethiopia to business. The route comprises a 758-km stretch linking Addis Ababa and Djibouti. It was confirmed that after the test running, full usage of the electricity train will commence immediately.
The project was aimed at creating new manufacturing industries, improving transport, expanding businesses and further opening up landlocked Ethiopia.
Ethiopia government has consequently generated huge revenue from power supply within and outside the country. Officials said the revenue will go a long way to enhance economic growth and development.