Ethiopia, Chinese firms sign massive power supply contracts

August 24, 2007 (ADDIS ABABA) — The state-owned Ethiopian Electric Power Corporation (EEPCo) on Friday signed six contracts with three Chinese companies, providing for expanding electricity supply services to rural towns and villages.

The contracts amount to more than 124 million U.S. dollars, said EEPCo General Manager Mihret Debebe.

The construction of a 400 kv Bahir Dar-Debremarkos-Addis Ababa, a 230 kv Tekeze-Endaselassie-Humera, a 230 kv Bedele-Mettu and a 230 kv Fincha’a-Gedo-Gefersa transmission stations and line installations are among the projects, Mihret said after a signing ceremony.

He said 85 percent of the funds have been secured from the Chinese government in loan, adding that the balance will come from government coffers.

Mihret said the projects should be implemented according to timetable and then contribute significantly to the country’s development endeavors.

The projects are due to complete within 18 months, he said.

(Xinhua)