An idea ten years in the making has been scrapped after a 33 million birr study was not approved by the board of EEPCo.
Ethiopian Electric Power Corporation (EEPCo) halted the restructuring that proposed splitting the corporation into four separate entities. These were to be; Hydroelectric Power Dams and Power Transmission Lines, Power Distribution, Utility Management and General Administration, according to the consultant’s study.
Expected to make the company more efficient the restructuring was set to begin in November 2011.
Italian consultants Ben and Company provided the first details of the restructuring in their July report, though it had been talked about over the last decade.
However, apparently, EEPCo will continue operating like it has been until its large scale hydroelectric projects are finished.
“The restructuring will not be applied for the foreseeable future,” the source said.
The consultant firm concluded its study in July 2011 and the corporation board, chaired by Debretsion Gebremichael, Minister of Communication, was expected to approve it. It was sent to the Council of Ministers after some adjustments. However, the Council, which just recently reviewed it did not endorse it.
The state monopoly has been responsible for generating power and distributing it for over half a century. EEPCo is one of the largest government offices and it is undergoing huge hydro and other power generation projects to boost production capacity to over 10,000 MW, which will allow it to export power to neighbouring countries.
It is also managing a hydro electric station in the West African country of Sierra Leone.