Ethiopia, Russia agree to establish electric buses plant
Nov 15, 2006 (ADDIS ABABA) — Ethiopia and Russia agreed to establish a plant for the assembling and manufacturing of hydro electric power-driven buses here on Tuesday 14 November.
The parties of this accord are the Ethiopian Afro-Asia Technical Trading Enterprise and two Russian companies:
Trolza Company, and Rus-Afro-trol board.
According to the agreement a company called Rus-Afro-trol would be established in a joint venture to assemble and promote the buses in Ethiopia and Africa as well.
Speaking at the agreement signing ceremony, Afro-Asia Technical Trading general manager, Getachew Eshetu said the buses would be the first in Africa, the state-run ENA reported.
The total capital of the project is 100m US dollar, he said, addeding that some 43 hectares of land has already been prepared to establish the assembling plant in Debremarkos town of the Amhara State in northwestern Ethiopia.
Getachew said the project would be started as of next January and assembling of the first buses would be finalized in six months time. Afro-Asia Technical Trading Enterprise has 70 per cent ownership share of the company, while 30 per cent of the ownership belongs to the Russian companies, he said.
The company has a capacity of assembling 500 buses per year, he said. When the project goes fully operational, it would create 500 jobs, Getachew added.
Trolza Company president, Pavel Berlin, said the hydro power driven buses are environment-friendly and efficient in fuel consumption. The company has decided to erect the first plant in Ethiopia as it is the hub of Africa, he said, adding, the company has a plan to expand the service to other African countries in the future.
Speaking at the occasion Ethiopian Investment Agency director general, Abi Woldemeskel, said as Ethiopia is endowed with immense hydroelectric power the launching of the project is viable both economically and environmentally.
He said the agency would render the necessary assistance for the success of the project.
(ST)