Capital Ethiopia Newspaper

EEPCo splits in two

The state utility Ethiopian Electric Power Corporation (EEPCo) will split into construction division; to build and manage power generating stations and utility division;

to follow transmission and distribution of electricity.
Over the last week the corporation has been training 550 of its managers about the new structure and how it is going to be applied. During the training held at Civil Service University EEPCo officials of the corporation said that the restructuring will make the company more efficient while at the same time allowing everyone keep their jobs. Sources told Capital that infact EEPCo plan to add more staff to keep up with all of the work they are doing.
The restructuring has been a work in progress for a long time. EEPCo along with foreign consultants, spent years researching ways to make the power utility more efficient.
The new plan calls for EEPCo to spread out and diversify by making more power plants and ways to distribute the power easily and efficiently.  The new restructuring will be applied after the Council of Minister’s approves the proposal, which is going to be submitted in the next couple of weeks, by the corporation.
Based on the new scheme the corporation will separate working responsibilities, including construction and transmission which is expected to help them work quicker and save electricity while eliminating supply problems.
A week ago sources said the corporation decided to follow the recommendations of Ben and Company, an Italian Consultant firm.
In the past decade the corporation has been able to make a noticeable difference in the sector. In the coming three years the corporation plans to generate 10,000MW of electrical power boosting it from the currently estimated 2,000MW of power generation capacity.
EEPCo requires a whopping 182.2 billion birr for power generation, transmission and distribution system expansion in order to achieve its objectives envisioned in the country’s five year governing economic plan, GTP that will be completed by 2015.
From a total amount of the envisioned budget, the biggest share of 122.8 billion birr will be committed to constructing dams and harnessing other power generation schemes such as geothermal, wind and solar power.
From this total, the electric generation projects consume 65 percent of the total cost. After the GTP the corporation will consume 200 billion birr every year for projects.
The country’s major source of electricity comes from hydro power which means EEPCo must manage very large electrical dams. It also has other “green” electrical power projects such as wind, solar and geothermal.
Its ambitious plans have made it one of the most prolific federal entities in terms of new endeavours as it seeks to dramatically expand its power producing capacity. Recently it revised the first 25 year electric sector master plan. This plan is expected to be released during the second quarter of the next budget year. The plan calls for generating  37,000MW of electricity as well as increasing the amount of electricity being exported. EEPCo signed an agreement with South Sudan, the fourth country in the region to export electricity.