Capital

Starbucks, gov’t talks still fluid

By Tedla Yeneakal

ETC assets under study

By Groum Abate

Board appointments decentralized to ministries

By Groum Abate

Transport problem causes oil shortage in Eastern Ethiopia

By Groum Abate

EABSC suspend 65 market developers

By Groum Abate

Board reject Agency’s plan to sell houses

By Groum Abate

Parliament to open with Meles’ six-month report

By our staff reporter

Entrepreneur fabricates first underwater drill

By Andualem Sisay

Ethiopia secures 18.4 mln bed nets to fight malaria

By Andualem Sisay

Carter hopeful CUD trial verdict ending coming weeks

By Tedla Yeneakal

Researchers find three hybrid-coffees

By Andualem Sisay

US software giant to enter market

By Tedla Yeneakal

MP arrested over alleged rape case

By Eskinder Michael

EAL records half bln profit in six months

By Eskinder Michael

ERA launches 454 mln birr roads construction

By Eskinder Michael

AAU to launch ICT doctoral program

By Tsion Aklilu

CERES certifies eight Ethiopian coffee suppliers

By Andualem Sisay

UNICEF Executive Director to visit Ethiopia

By Eskinder Michael

EEPCo to celebrate 50th anniversary

By Groum Abate

Rotary clubs bringing light

By Mina Yirga

Samasenbet gets water well, school books

By Mina Yirga

Starbucks, gov’t talks still fluid

By Tedla Yeneakal

Company officials of Starbucks Corporation announced on Friday, February 16 at the Sheraton Addis that they have not yet agreed to recognize Ethiopia’s ownership of coffee trademarks . This follows a government official’s announcement that Starbucks executives had reached an agreement after conferring with Prime Minister Meles Zenawi.
Dub Hay, Starbucks' senior vice president of coffee procurement told journalists at a press conference that they have not signed any agreement pertaining to the government’s claims of coffee trademark recognition.
“We want to confirm that no licensing agreement has been concluded,” he said. “We have met with government officials, farmers and other stakeholders but have not signed any documents.”
State Minister of Agriculture and Rural Development, Dr. Abera Deresa told state media on Thursday that Starbucks officials have recognized Ethiopia’s trade mark right and to sell the appropriate natural coffee without blending it with other varieties. He further warned to take the necessary measures should Starbucks fail to do so, though he doubts that would be necessary.
On her part, Anne Saunders, Senior Vice President of Global Brand Strategy said that the real issue must focus on the East African Region countries to move beyond exporting primary products and geared to help in adding value in terms of capacity building.
“When we come to confer with government officials, a definite outcome must not be expected,” Saunders said. “We want to create a relationship that boosts the demand of coffee so that all sides benefit from higher sales volume.”
Meanwhile, company officials announced that they will double their purchases of fine coffee from East African countries by 2009 and would help small-scale coffee producers by providing 1 million USD in micro-financing loans and set up a farmer support center in 2007 to improve bean quality.
In 2006, Starbucks purchased 294 million pounds of coffee globally with approximately six percent sourced from Africa and had sales of more than 7.8 billion USD.
According to Alain Poncelet, Vice President of Global Brand Strategy at Starbucks, the company buys close to three percent of its supply from Ethiopia and has been engaged in business with the country for the past 35 years.
A recent survey unveiled that two billion cups of coffee are consumed world wide daily, and annual retail sales have rocketed from 30 billion USD in 1990 to 80 billion USD in 2005. Sharing most of the profits are four multinationals that dominate the global coffee market: Kraft, Nestle, Proctor & Gamble, and Sara Lee.
Ethiopian farmers currently receive two birr (24 dollar cents) for a kilo of coffee beans. That figure hasn't risen since the 1989 collapse of the International Coffee Agreement, at which time the commodity's price dropped to a 30-year low.

ETC assets under study

By Groum Abate

Assets of the Ethiopian Telecommun- ications Corporation (ETC) are being collated to gauge the value of the corporation, a move which is said will pave the way for privatization.
ETC’s net assets were estimated at 303 million dollars as of 30, June 2001. Since then the company has concluded major projects and acquisitions, which have substantially increased its market evaluation. Experts in the communication sector speculate that the corporation could be worth a couple of billion dollars at present.
The evaluation process undertaken by Ernest & Young is expected to clearly determine the corporation’s assets and prepare an accurate record.
The government of Ethiopia had invited potential Strategic Partners to acquire a 30% stake plus management control of ETC in 2002. This effort did not meet with success.
ETC operations consist of fixed lines, Ethiopia’s first and only cellular business, internet provision including broadband, and ancillary telecommunications service such as public data service, analogue and digital leased lines and telex services, all of which are currently fully owned by the government.
ETC offers a fairly wide product range but seems keen to expand its service portfolio further in coming years. It plans to outsource some services to private companies, such as billing and mobile top up cards, it is said.
ETC had approximately 351,600 fixed network customers as of June 2002. In addition to fixed telephony, ETC’s mobile customers have reached over 1.5 million at present.
Ethiopia has a tele-density of 0.36 lines per 100 population, which is one of the lowest in Africa. The need and unmet demand for telephony services is substantial. The government intends that ETC will continue to remain the sole provider of major telecommunications services for the foreseeable future. Prime Minister Meles Zenawi recently said in an interview with the Financial Times that the government would not fully privatize ETC.

Board appointments decentralized to ministries

By Groum Abate

The Prime Minister’s office has decentralized appointments of board chair persons and ordinary members to their respective control bodies.
Sources told Capital that the office used to appoint and relieve board chair persons and ordinary members for governmental institutions and organizations. Boards of the Ethiopian Telecommunications Corporation and the Ethiopian Airlines would hereafter be appointed by the Ministry of Transport and Communication. In the same token the board of the Ethiopian Electric Power Corporation would be appointed by the Ministry of Mines and Energy, thereby dispersing decision-making closer to the point of service or action.

Transport problem causes oil shortage in Eastern Ethiopia

By Groum Abate

Various cities in the east of the country have been facing a fuel shortage this week due to transport problems.
Some fuel retailers said that oil transporters are forced to transport oil and oil products to these areas and maintain that short distance deliveries are not profitable.
Nazareth, 100 kms east of Addis, is experiencing fuel shortages as of Thursday February 15, where queues are observed at fuel retail stations.
A couple of months ago a shortage of fuel pushed retailers into a rationing system in some parts of the country.
A retailer in Dire Dawa, also hit with a shortage of fuel, told Capital that the shortage arose after tanker truck owners refused to transport oil to these areas saying that it was not profitable. The city gets oil and oil products usually after 10 days of the retailers’ request.
These fuel retailers said their suppliers gave reasons that the shortage was caused by transportation problems.
They also said that there are ample stocks of oil but added that the shortage comes from the lack of transport.
Ethiopia subsidizes up to 342 million birr (39.36 million dollars) of fuel every three months after the price increment was introduced recently to reduce the impact of the increment on those with low incomes.
The government has spent 1.6 billion birr (184 million dollars) to subsidize the price of fuel over the last 16 months.
However, the Council of Ministers reduced for the first time ever the price of benzene.
Diesel, kerosene, super kerosene and benzene are among the major fuel products Ethiopia imports, with diesel making up 54 percent of the imported fuel.
Ethiopia has imported 1.9 billion liters of various types of fuel during the past nine months, spending around 7.2 billion birr (829 million dollars).

EABSC suspend 65 market developers

By Groum Abate

East African Bottling S.C (EABSC) suspended 65 employees that worked as Market Developers on Friday, February 16.
Some of the employees that have been suspended told Capital that their supervisors had abused their rights.
According to these employees, the share company last week attempted to make them sign a temporary agreement dropping their permanent contract agreement. However, these employees refused to do so.
The share company then prohibited they employees from entering the premises of the company on Friday.
The employees accused EABSC that their benefits, such as the 200 birr worth of free mobile cards per month, free medical service, school payments and bonuses have not been respected. These same benefits are provuded for their colleagues.
These employees had served the share company from six month to six years.
They said that they have started the necessary steps to take legal actions.
Officials of the bottling company were not available for comment.

Board reject Agency’s plan to sell houses

By Groum Abate

The board of the Rental Houses Agency rejected a five-year strategic plan presented to it by the management to sell its existing villas and a plan to construct houses for sale it to the public.
The Agency, three months ago submitted the proposal for selling villas rented to clients excluding apartments, in accordance with the city's master plan, to interested parties, as of next Ethiopian new year. Sources told Capital that the agency proposed to sell villas found in different parts of the city in the next five years, and would only administer its apartments. It also had plans to construct new houses and sell then to the public. However the board, headed by Abadula Gemeda, rejected the proposal.
The government has long-term plans to move out of the rental business phase by phase, until it clears the entire property of the agency in the long run.
It is to be that called Singapore-based real estate company had submitted a proposal to the office of the Prime Minister’s for the acquisition of the agency two years ago. The company presented its proposal through the Ethiopian consulate in Singapore.
The company had also sent its consultants for a pre-feasibility study to evaluate the agency’s property.
However, negotiations over the acquisition failed due to unknown reasons.
The agency was established 30 years ago as the Administration for Rented Houses during the Derg regime. It now administers more than 3,000 houses including apartments and spacious villas that host embassies, governmental institutions, residential units and offices.
The agency has a work force of 3500.

Parliament to open with Meles’ six-month report

By our staff reporter

Prime Minister Meles Zenawi is set to address the House of Peoples’ Representatives in two weeks, when parliament opens after a break, to address the six month performance of his government, sources disclosed to Capital.
Accordingly, the Prime Minister is expected to address an overview of what the government has done in the past six months, politically, economically and socially.
Sources said the premier will unveil the successes in Somalia and the record growth that has been attained in the economy.
Ethiopia has a two-chamber parliament: the 110-seat upper House of the Federation and the 547-seat lower House of People's Representatives.
The May 2005 national parliamentary elections saw a majority for the ruling party but also significant gains for opposition groups. However, many opposition members did not take up their seats and are currently jailed on allegations of trying to overthrow the government unconstitutionally.

Entrepreneur fabricates first underwater drill

By Andualem Sisay

An underwater drilling work was successfully conducted by a local company on February 8, 2007.
About one year ago, when Addis Alem Zeleke (PHD in Geotechnics) was informed that a research, Palaeoenvironmental Reconstruction of Lake Tana-the source of the Blue Nile, is going to be done on Lake Tana, he knew that the right time had come to put his scientific know-how into practice. At that time, Addis Alem’s company, Addis Geosystems Ltd, was only two years old performing water and mineral resource research activities in different parts of the country for private companies and the government.
The scientists have to dig some one hundred meters to get the lake sediment core that they require for their research. But there was no local company that performs such drilling to get samples from the deep. Therefore, they had to look for a foreign company who has the expertise and the equipment to perform the task, because they have no reason to imagine a local entrepreneur who has the capacity to fabricate this equipment.
That is why they were not 100% certain when Addis Alem Zeleke, who had been in Belgium and England for fourteen years, told them of the possibility of fabricating a partial sub-merged platform or barge which weighs twelve tons and has the capacity to carry ten tons of drilling equipment. After all, why would they think of an Ethiopian PHD holder being ready to spend his most valuable time by making dirty his white shirt and tie with grease?
So, he began his research by traveling abroad to observe in detail how such barges are made. Then about three months ago, he began building a group of 15 professionals and semi-professionals and signed an agreement with the research team to bring them the sample they were looking for from 94 meters down. They shared their experience and knowledge at Gorgora workshop, found near Lake Tana in Amhara region.
Not long after, with in two months, Addis Alem and his team were able to finalize the fabrication of partially a stable sub-merged platform on the lake using an anchor system. Over the next two weeks, they began providing the researchers the samples they were looking for.
“This does not require capital,” says Addis allem, “it is all about changing your knowledge into business. It is common to see people who are more educated to focus on theoretical activities such as teaching, but my intention is transferring practical knowledge to my country.”
Speaking about his future plans with Capital, “With regard to my profession, I am planning to introduce other technologies to Ethiopia, in order to transfer those that are applicable in the developed world. I don’t want to be engaged in repetitive or identical activities,” he concludes.
The research and the Nile
Research work on Lake Tana was conducted in October 2003 and September 2004 with a joint project of the University of Wales, Aberystwyth, University of St Andrews, University of St Andrews, Scotland and the University of Addis Ababa. The researchers came up with the new finding that reversed the previously known 10,000 years age of Lake Tana to 40,000 years. They also found out that the lake dried out at around 16,000 years ago, and almost certainly at apparently regular intervals during the later stages of the last Ice Age. This research group also continued the work on its previous findings.
The aim of Palaeoenvironmental Reconstruction of Lake Tana project is to figure out exactly when and why this happened and to suggest solutions, which will minimize or avoid the decline in the volume of the lake and avoid conscious or unconscious contributions of human beings to this cause.
The sample sediment cores obtained by drilling up to 100 meters will be scanned by the researchers at high resolution using X-ray flourecence, X-ray and colour imagery, geophysical and magnetic core-scanning technology without damaging the sedimentary components. The resulting datasets will identify past desiccation events, which will be investigated in detail and interpreted by comparison to sediments of the known drying out event at 16,000 years ago.
By dating the sediments using these methods, the scientists will be able to precisely estimate the timing and duration of the drought events that is believed as the cause for the then dry out of the lake. They believe that the intense droughts lasting one or two hundred years were caused by disruption of Africa’s monsoon climate when iceberg-laden melt water from North America flooded the North Atlantic-the Heinrich events.

“Although we are currently at the early stage of the research to answer these questions, from what we realized so far, the lake will sustain unchanged for a long time if the current climate remains similar,” says Mohamed Oumar (PhD), member of the research team from Addis Ababa University. “And if additional activities of preserving the climate such as planting trees are implemented, the lake could even be in better condition.”
“A long core record of past climate and environment from this part of Africa will have major significance for understanding regional environmental change, because of the influence of the Nile on the North East Africa and the Eastern Mediterranean, and global climate,” he says.
According to the abstract of Paresh Chandra Deka, Assistant Professor at Arbaminch University, entitled ‘climate change and variability over the Nile Basin’, relative contributions to Nile discharge from the Blue and the White Niles may change, and increased evaporative water loss may be as important for assessing future Nile discharge as changes in precipitation.
During the rainy season Lake Tana contributes about 80%. There are 14 sub-basins flowing to Blue Nile Basin. According to the estimates by Sutcliffe and Park (1990) and BECOM (1998), a total of 48.7 billion cubic meter of water flow from the Blue Nile Basin at the border to the Sudan. According to the abstract of Yilma Demissie Endale presented recently on Nile Basin Initiative meeting , to implement the 17 irrigation projects that are in the pipeline, Ethiopia requires 3.83 billion cubic meters of water from the tributaries of Abbay annually. The border flow volume reduction as a result of the implementation of these projects is only 7.7%of the estimated mean annual flow.

Ethiopia secures 18.4 mln bed nets to fight malaria

By Andualem Sisay

The Carter Center supplied three million long-lasting insecticide-impregnated bed nets to support the Ethiopian government’s program of distributing 20 mln bed nets by the end of July 2007.
“Malaria preys on Ethiopia’s youth, destroying lives and jeopardizing the country’s future,” said former United States President Carter, after distributing long-lasting insecticide-impregnated bed nets on Tuesday February 13, 2007 in Afeta, a community of 7,500 people in Jimma zone. Distribution of these bed nets began in January. “It is our goal to help provide long-lasting insecticide-treated bed nets, free of charge, to all members of at-risk communities to help put a stop to the needless deaths caused by this mosquito-transmitted disease.”
With donations such as from the Global Fund and the Carter Center, so far the government of Ethiopia has secured money for purchasing and distributing some 18.4 mln bed nets. “Out of this figure, we have already imported 11.5 mln bed nets and the remaining are on the way, says Minister of Health, Dr Tewodros Adhanom. “Although, we still need 1.6 mln bed nets, hopefully, we will meet our target of distributing 20 mln within the coming six months.”
The total cost to fully implement the program is estimated at 100 mln USD. Out of this, the Carter Center has covered the cost of three mln bed nets, which is equivalent to some 18 mln USD, including the distribution cost.
The program is to give two bed nets for each family. With the assumption of five members in one family, the government is planning to supply ten mln families who are living in malaria prevalent areas of the country. It is estimated that there are 50 million Ethiopians who are at risk of malaria.
The national bed net program could save 60,000 to 100,000 lives per year in Ethiopia. For proper net distribution and usage, the Ministry of Health has trained 17,000 health extension workers for the implementation of the campaign.
Briefing journalists after his visit, Mr. Carter indicated his center’s commitment to continue solving the shortage of health professionals in Ethiopia, which is also the common phenomenon of most African states, by supporting the government strategy of producing middle level health professionals such as
nurses and health extension workers in quantity in a short period of time.
Currently the center is supporting the training of 2,166 health professionals who now have gone half way of the one year theoretical and two years practical training to become professional.
In 1991, Ethiopian Prime Minister Meles Zenawi invited former U.S. President Jimmy Carter to work with his ministries of health and education to help train health care personnel for the East African country.
In 1997 the Ethiopia Public Health Training Initiative was launched. Working with seven Ethiopian universities, the Ethiopia Public Health Training Initiative is pairing Ethiopian teaching staff with international experts to develop curricula and learning materials for health promotion based on local experience.
Teachers and professors are using these materials to train public health students, who, in turn, train and manage community health workers, building a community health infrastructure to improve health outcomes and access to care.
In partnership with the Lions Clubs International and the African Program for Onchocerciasis Control, the Center also helps provide drug treatment and health education every year to more than 2.5 million Ethiopians at risk of river blindness.
The Carter Center’s work in Ethiopia has been diverse, involving other disease control and eradication programs, agriculture and food security development, conflict mediation, election monitoring, and the promotion of human rights and health education.
The Carter Center was founded in 1982 by former U.S. President Jimmy Carter and his wife, Rosalynn, in partnership with Emory University, to advance peace and health worldwide.

Carter hopeful CUD trial verdict ending coming weeks

By Tedla Yeneakal

Former U.S. President Jimmy Carter, who is on an 11-nation tour of Africa said on Tuesday February 13 at the Sheraton Addis that he is hopeful to see the trial of Coalition for Unity and Democracy (CUD) members would see an end in the coming weeks.
Carter at a press conference after concluding his mission in health training and sanitation in Jimma, availed his optimism that the 111 defendants, amongst which are opposition members, journalists and civic society members accused of charges ranging from treason to forcefully violating the constitution after the out come of the 2005 elections when more than 90 people died after security forces clashed with demonstrators.
The Carter Center was one of the international observation missions along with the European Union and had expressed great hopes in the deepening of Ethiopian democracy. However, the report also criticized the irregularities in procedures that did not meet international standards.
“I had a fruitful discussion with Prime Minister Meles and pretty much hope that the CUD defendants will get a final ruling within the coming weeks,” Carter told journalists at the Sheraton Addis.
Carter and his wife founded the center to promote human rights and improve the quality of life in the Third World. Carter’s mission in Ethiopia this week’s also included providing simple tools such as bed netting to combat malaria which could save 60,000 to 100,000 lives a year in Ethiopia. The Carter Center recently purchased 3 million mosquito nets for distribution in western parts of the country.

Researchers find three hybrid-coffees

By Andualem Sisay

Jimma Agricultural Research Center has developed three coffee varieties that give high quality and more quantity, by crossbreeding the best qualities of various coffee species.
“Besides quality, the newly developed hybrid coffee varieties give a quantity of 26 quintals per hectare at laboratory level and 16 quintals at the farmers level,” says Bayetta Bellachew (PhD), National Coffee and Tea Research Program Coordinator at Jimma Agricultural Research Center. “In addition, these hybrids also have the potential of adapting themselves to different climates and places in the country.” The normal Ethiopian coffee production is from eight to twelve quintals per hectare.
The new hybrids were distributed to individual farmers and government farms around Jimma in Oromia region two years ago. “Though the farmers have not yet seen the final products as coffee plants normally need at least four or five years to give coffee beans, by observing a fast growth performance many farmers are currently demanding us to supply them with these hybrids,” he says.
Since the center began the research in 1978, it has identified and been distributing another 23 pure-line varieties of coffee which resist coffee diseases and best in quality and quantity wise. The pure-line varieties have contributed to the increase
of Ethiopian coffee production in the last five years, according to the researcher. Ethiopia has more than 4,500 coffee species that are preserved in the Coffee Gene Bank in the kaffa region, the birth place of coffee found in the western part of the country.
The total coffee production of Ethiopia some five years ago was around 180,000 quintals and the current coffee production of the country has reached between 230,000 to 250,000 quintals. The land usage of coffee farms has also increased from some 400,000 hectares five years ago to 600,000.
“This expansion trend will definitely continue,” says Dr. Bayetta Bellachew, “as long as the farmers get the equivalent prices for their production. Those who are using best Ethiopian coffee names have to accept these names and have to pay for it, so that the farmers and the country get what they deserve.”
Coffee has been taking the lion share in Ethiopian export items for decades.
Ethiopia is still negotiating with the world’s largest coffee company, Starbucks, to preserve its two best coffee names, Yirgacheffe and Harar, as trademarks and get additional income as a result.
In a related development, this week from February 14th to 17th, 2007 with the intention of working together for mutual benefit, around 560 coffee industry professionals and global coffee exporters and importers including Starbucks have assembled in Addis Ababa, for the 4th African Fine Coffee Conference and Exhibition (EAFCA).

US software giant to enter market

By Tedla Yeneakal

Sap AG, the world's largest inter-enterprise software company officialy announced that it is eying the Ethiopian market after its announcement on Tuesday this week to contribute 100 thousand Euros to be put towards school lunches for children.Serge Blockmans, general manager, SAP East Africa and Democratic Republic of Congo, told Capital in a telephone interview from the United States that they had seen a growing interest when company officials paid a visit to study the Ethiopian market.“We see a growing public interest and the social contribution SAP made this week is part of our first global responsibilities,” he said. “Practical experience of academic concepts enhances educational experiences and helps students put theory into modern business practice.”According to a press release from SAP, it is investing in two education initiatives to support capacity building through the SAP University Alliances Program to provide the Mekelle Institute of Technology and Addis Ababa University with supporting materials and training as well as SAP’s global network of academic researchers on IT topics.Blockmans further said that the alliances program enables university faculty to employ SAP’s enterprise software within their own curricula for business stimulations, case studies and research projects.“Both universities will be connected to the University Competency Center in Magdeburg, Germany, which will provide hosting services, technical assistance, training courses for professors and curriculum development support.” the release from the company said. More over, Blockmans told Capital that the school feeding support is made through the World Food Program’s Food for the Children initiative and SAP is funding daily free lunches for impoverished communities with the aim of inspiring them further in their education. SAP is one of the world’s leading providers of business software and operates in more than 120 countries engaged in high tech, retail, financial services, healthcare and the public sector with subsidiaries in more than 50 countries.

MP arrested over alleged rape case

By Eskinder Michael

Yitayew Tiruneh, CUD Member and Member of Parliament was arrested on Wednesday February 14, 2007 at the Kirkos Sub-City Police Station after being indicted for alleged rape. Yitayew was stripped of his immunity when the House of People’s Representatives convened last Tuesday February 6, 2007. The House stripped Yitayew of his immunity after it had received complaints that the MP had allegedly raped a 15-year-old girl. His immunity was revoked so that he could be tried for the rape case only. His immunity against being prosecuted for other cases still stands. The MP had voiced his concern over the allegation saying that it was some sort of attack on his status. It was stated that the accused entered the house of the victim located in the Kirkos Sub-City Kebele 02 at 8:00 in the morning and allegedly performed the act.The victim had reportedly presented a letter to the HPR saying that he hadn’t raped her, but so far the letter hasn’t worked in his favor. Ato Worku, another MP, contested the decision by the parliament saying that the victim was actually not 15 years old, but 18 and that she had been married while living in rural Ethiopia. He also said that this was supported by a police report.

EAL records half bln profit in six months

By Eskinder Michael

Ethiopian, the nation’s flagship carrier, announced that it has recorded over half a billion birr in profits in the first six months of this fiscal year.The 505 million birr profit recorded in the six months exceeds that of last year’s by 141 million birr or 39%, a growth attributed to a more conventional approach to its performance. Ethiopian won the African Airline of the year award last fiscal year and carried 1,093,729 passengers. This figure, when compared to the number of passengers in the first six months of last fiscal year shows a 21% increase. The airline can boast an increased and encouraging profit record this season as it has been competing with international airlines such as Emirates, British Airways, Turkish Airways and others.It was this fiscal year that Ethiopian introduced a 10.5 million USD passenger management system called the Sabre Sonic Passenger Solutions technology platform, SABRE. After signing the deal, Ethiopian stopped using the SITA system. The airline currently uses Sabre Sonic reservations, online booking, e-ticketing, code-sharing and departure control systems. It has also started using the Sabre Traveller Loyalty System frequent flyer management product and the Sabre Air Price fares management system. Though there were some delays in serving customers when the SABRE system was launched, the system seems to have become well integrated in the airline’s daily routine. Ethiopian is Africa’s aviation pioneer and has recently embarked on an ambitious expansion program. It will also be Africa’s launch customer for the new Boeing 787 Dreamliner in 2008. CEO Girma Wake was quoted as saying that Ethiopian plans to expand significantly over the next five years and needs to up grade its marketing, operational and decision-support systems. Sabre Airline Solutions Passenger Management System Portfolio will play a key role in harnessing Ethiopian’s growth plan. Ethiopian Airlines is expected to sign a partnership agreement with Lufthansa this week. When the agreement is signed, the two airlines would strike a partnership on code sharing procedures, which have been under negotiation with the two parties for a long time. According to the financial report of the enterprise, the airline secured a net profit of 277 million birr in the year 2003, from a net profit of 79 million birr in year 2002. For the period June to December 2005, Ethiopian recorded a 208 million birr profit before tax, registering a 19.9% increase in revenue at a time when many airlines around the world were filing for bankruptcy. The operating costs of the airline for the same period have shown an increase of 21.9% to 2.4 billion birr. Ethiopian Airlines has become one of Africa’s largest airlines 60 years after its establishment and is still expanding. With the construction of a new Cargo Terminal and the order for ten Boeing 787 Dreamliner jets, which will be delivered from 2008 on, the carrier is getting prepared for a splendid future in air transport both in passenger and cargo services.

ERA launches 454 mln birr roads construction

By Eskinder Michael

The Ethiopian Roads Authority (ERA) announced that it has launched the construction of two roads in the Southern Nations Nationalities Peoples State (SNNPR) with an outlay of over 454 million birr. The construction of the two roads, Keyafer – Turmi and Sawala – Koka, was launched at the beginning of this month. It was learnt that SMS Infrastructure, an Indian company, is handling the construction of the Keyafer – Turmi road while Akir Consult and Tikur Abay Construction are constructing the Sawala – Koka road. The 80 km Keyafer-Turmi and the 123 km Sawla-Koka gravel roads, used widely by tour operators transporting tourists to the colorful SNNPR will be constructed to a more substantial gravel capacity. SMS Infrastructure won its first bid to construct 80 km of gravel road in the southern part of the country at a cost of over 110 million birr. ERA has announced recently to implement its five year plan worth 1.5 billion birr by commencing four road projects in Somali and Gambella regions.The first road will be the 220 km Degahabur-Kebridahar road and will be followed by the 105km long Kebridahar-Shilabo and 165 km Gode-Kebridahar roads in the Somali Region.The project also includes the 120 km Adura-Berbe-Akobo road in Gambella Region.When the five year plan is completed, the authority plans to build 106,106 km of roads in the country. This would include 11,331km at federal level and 94,775km of rural roads.Out of the 43 billion allocated for the next five years, the government is expected to provide 72% while the World Bank is expected to provide 5.1 billion birr and donors such as the Road Fund, ADB, Japan and Germany are expected to cover the remainder.About 31,467.8 million birr has been allocated for the construction of federal roads over the next five years, while 6,809 million birr has been allocated for regional rural roads.

AAU to launch ICT doctoral program

By Tsion Aklilu

AAU has planned to launch a PhD program in ICT as of next year in collaboration with Telecommunication and Information Technology College. The University has considered this in order to fulfill its program of education expansion. At the first workshop held at the Akaki University to discuss the agenda Professor Andreas Eshete, president of AAU gave a speech which he explained the role of ICT in a country like Ethiopia in the recruitment of a professional work force. According to Andreas, the digital age has widened the gap between the rich and the poor, and added that expanding such programs would contribute in producing a skilled and specialized work force.Ato Tesfaye Birru, of the Ethiopian Information Technology Agency, also spoke at the workshop saying that the program is the first of its kind in the country and well recognized by the government. According to him, however, there is still a huge shortage of specialists and lack of PhD staff in the field.]It is expected to enroll 25 first batch students in October 2007. Before the official launching of the program, various national and international conferences and workshops are going to be held to develop the program and solid implementation strategy.In relation to this, international networks are going to widen for professors, scientists and the like who are engaged to help PhD students.

CERES certifies eight Ethiopian coffee suppliers

By Andualem Sisay

A German based international accredited certification body, Certification of Environmental Standards (CERES), has accredited eight Ethiopian coffee cooperatives and companies since it opened a branch in Ethiopia one year ago. However, a representative of CERES declined to state the names of the companies certified.“What we have seen so far is quite a promising environment for our business,” says Mr. Albrecht Benzing, representative of the company and responsible for business in Africa. Most of the companies are operating in a socially and environmentally responsible manner.”The company gives certificates to agricultural products suppliers after checking whether the companies are socially and environmentally responsible. CERES is accredited by the European Union Organic Certification for the European market, the United States Department of Agriculture Organic Certification for the American market and the Japanese Ministry of Agriculture for Organic certification for the Japanese organic market among others.Payment of minimum wages and providing healthcares to employees and supporting workers in education are among the indicators that are evaluated by the company under social responsibility.Evaluating waste deposal mechanisms of companies and proper implementation of national legislation that protects water pollution are also among some of the indicators that a company will be evaluated for environmental responsibility implementation by the certifying body.CERES also works in partnership with Starbucks by providing its assessment reports of coffee and tea producers who need to do business with Starbucks. Based on social and environmental indicators of Starbucks, CERES does the fact finding at the actual location of the cooperatives or companies who are ready to work with Starbucks and sends the report back to Starbucks.Nowadays, having certificates issued by an internationally accredited organ is becoming a must to access international as well as local markets to get better price for a product. Having this in mind, many Ethiopian manufacturers and agricultural product providers are working with international accredited certifiers such as CERES and BSC.It is recalled that last week Engineering Capacity Building Program (ECBP), an Ethiopian government program that is under implementation in collaboration with the German government, has launched a capacity building program to make the Quality and Standards Authority of Ethiopia (QSAE) internationally accredited certification body in 18 months.

UNICEF Executive Director to visit Ethiopia

By Eskinder Michael

UNICEF Executive Director Ann Veneman is scheduled to pay a visit to Ethiopia from February 21-24, 2007, it was learnt.The visit is reported to allow the director to review breakthroughs made in fighting child hunger and progress made towards achieving child survival goals, according to a press release issued today.The Executive Director will inaugurate the Plumpy Nut (Ready to Use Therapeutic Food) factory that has been constructed in Addis Ababa. She would also head to SNNP state, epicenter of the 2003 ‘’green famine,” to review the conditions on the ground, according to the UN.The Executive Director is expected to meet community members, including coffee farmers who were adversely affected by the 2003 drought, it was learnt.Ann Margaret Veneman, born June 29, 1949 is currently the Executive Director of UNICEF. She was the first woman to become the United States Secretary of Agriculture. She announced her resignation as Secretary effective as of January 18, 2005. UN Secretary-General Kofi Annan announced Secretary Veneman’s appointment as the fifth Executive Director of UNICEF. The appointment was made effective with the end of the term of former UNICEF Executive Director Carol Bellamy on May 1, 2005.For 60 years UNICEF has been the world’s leader for children, working on the ground in 156 countries and territories to help children survive and thrive, from early childhood through adolescence. The world’s largest provider of vaccines for developing countries, UNICEF supports child health and nutrition, good water and sanitation, quality basic education for all boys and girls, and the protection of children from violence, exploitation, and AIDS. UNICEF is funded entirely by the voluntary contributions of individuals, businesses, foundations and governments.According to UNICEF, Ethiopia is one of the two poorest countries in Africa, in large part because only a small percentage of the people have access to safe drinking water. Only 11 percent of the rural population of Ethiopia has access to improved/safe drinking water, leaving nine out of 10 people to drink the same water they use for their livestock and bathing.

EEPCo to celebrate 50th anniversary

By Groum Abate

The corporation responsible for electric power in Ethiopia, Ethiopian Electric Power Corporation (EEPCo), formerly the Ethiopian Electric and Light Power Authority (EELPA), is setting up a committee to colorfully celebrate its 50th anniversary in the next couple of months.
At present, EEPCo is engaged in various projects that will considerably boost the country’s power generation capacity. The corporation announced last week that Ethiopia would be 100 % electrified by 2015.The celebrations would also mark recent achievements of the corporation.
EEPCo recently commissioned the construction of Gilgel Gibe III, the biggest ever hydroelectric dam in Ethiopia, and a fourth installation to the project has also been discussed. EEPCo has also been busy building several hydro, geothermal and wind power generation, distribution and transmission projects, including construction of five major hydroelectric power generation stations. Ethiopia aims that with the completion of the Gilgel Gibe III will come the provision of electricity to almost half the population and there could even be room for export of energy. According to EEPCo, it plans to generate over 4000 MW power by 2010.After allowing local private electrical engineering companies to take over its projects, the corporation plans to install 135,000 km of distribution lines as well as 12,000 km of high voltage networks to electrify 6,000 towns and villages, with the aim of enabling 50 % of the total population of the country to access electricity. Ever since hydropower development started in Ethiopia, a total of over 1,000 MW capacity in the Inter Connected System (ICS) had been installed. Besides, small stations such as Dembi, Yadot and Chemoga have also been in operation.The Aba Samuel plant has been inoperative since 1970. In addition, three small hydropower stations around Jimma, Debre Birhan and Dire Dawa were abandoned due to old age at various points in time.
Furthermore, diesel-generating stations at eight sites including Alemaya, Addis Ababa and Dire Dawa are operational.Ethiopia has vast hydropower potential, which is estimated to be about 15,000 - 30,000 MW. So far, a very little percentage (less than 2%) has been harnessed. In order to develop this vast potential of power, several projects have been initiated to generate more hydroelectric power. The corporation has also identified some 300 hydropower plant sites in the eight river basins of the country, with a total technical power potential of 159,300 Gwh/year.

Rotary clubs bringing light

By Mina Yirga

The International Rotary movement is among those people to people initiatives that has been involved in grass roots development activities throughout the world. With chapters in over 161 countries, the Rotarians mottos of ‘Service Above Self, assistance to the under privileged and peace in the world were again on display as Debremarkos General Hospital in Gojam was upgraded with a Secondary Eye Unit furnished with state of the art medical equipment.The Secondary Eye Unit was financed by funds raised from Rotary Clubs in Germany, Austria and Switzerland, individual Rotarians and a grant from the Rotary Foundation. Built on a 400 sqm plot, the new unit will provide free treatment for up to 10,000 patients each year.The Debremarkos General Hospital’s Secondary Eye Unit was inaugurated on February 10, 2007 in the presence of H.E Dr. Tadesse Worku, State Minister of Health, H.E Dr. Class Knoop, Ambassador of Germany to Ethiopia and Martin Georgi, CBM Germany Director, along with about 130 invited guests including the Governor of Rotary District 9200 Dr. Tusubira from Uganda.The keys to the new unit were formally handed over to the regional administration by Rotarian Hubert Heinzl, President of Rotary Club Stiftland.The endeavor follows on an initiative made in early 2001 by Dr. Bertold Frhr von Lindenfels, RC Stifland, who proposed to assist victims of eye disease in Ethiopia, says Dr. Klaus Meyer, Past President of Rotary Club Addis Ababa Bole. “After a successful visit to Debremarkos General Hospital with a team of German Rotarians including Mr. Klaus Kupke, Dr. Werner Staertzel and Dr. Theo Seiler, further commitments and cooperation among other ophthalmologists from Germany, Austria and Switzerland were secured. As a result, in succeeding years, 5,500 formerly blind cataract patients were given back their sight.”Up to one million Ethiopians suffer from eye disease and Rotarian involvement in many of these preventable cases has made possible 30,000 operations of which 8,500 have been successful cataract procedures.It is envisioned that the Debremarkos experience is to be expanded, probably in Debre Berhan and Nekemt towns.The Rotary Club of Stifland Germany and RC of Addis Ababa Bole are partners in service with a 6-year long collaboration.
The links between the two clubs were consolidated by a friendship agreement signed between Rotarian Hubert Heinzl and Rotarian Teshome Kebede President of RC A.A Bole.

Samasenbet gets water well, school books

By Mina Yirga

Rotary club of Addis Ababa West, one of the six Rotary clubs in Ethiopia, launched a water project in Nazareth, Samasenbet with donations obtained from a Hawaiian Rotary club. “The communities in the area have to walk miles to get drinkable water. Moreover, children and cattle are affected with AWDs (Acute Watery Diarrhea). With an estimated amount of 50,000 birr, we have been able to dig a 250 meter deep water well to alleviate water problems in the area,” said Mr. Umberto Groece, Past President of R.C A.A West.
Meanwhile, members of the club paid a visit to Samasenbet elementary school to donate locally manufactured school equipment (60 chairs and benches) worth 6,000 birr. The elementary school was also a beneficiary of a book donation obtained from publishers MacMilan McGraw Hill, USA along with a book shelf worth 1,200 birr.