Gibe on the third gear

The country’s largest hydropower production project has been officially commenced at the end of January aiming to boost the nation’s current electric production two fold when completed in eight years.
Gibe III project is to generate a staggering 1870 MW of electric power and is also expected to earn 300 million euros annually. When completed Gibe would enter the East African power pool, where it would supply electric power for the Southern and Eastern African regions, mainly Kenya, Uganda and Tanzania.
Gibe III, the third cascade power project on the Omo-Gibe, is currently the largest power project in the country.
The project, which will be finalized by the year 2011, would cost about 19 billion birr. Salini Costruttori is undertaking construction and installation work on the project.
Ethiopia generated only about 700 MW power a decade ago from water resources that have a capacity to generate an astounding 45,000 MW if properly utilized.
Minister of Mines and Energy, Alemayehu Tegenu during the official inauguration of Gibe III said that the commencing of the construction heralds the country’s commitment and dedicated utilization of ‘Ethiopia’s white oil’.
“As the price of oil is getting more expensive, hydropower could be the white oil of Ethiopia,” an official of Salini also commented during the signing agreement of Gibe III.
Mihret Debebe, General Manager of Ethiopian Electric Power Corporation [EEPCo] commented that this could move the corporation to achieve 40 percent of the target strategic power generation capacity. 
Situated on the Omo River, 503 kms south of Addis Ababa, in Welayta -Dawro Zone of the Southern Nations, Nationalities and Peoples Regional State (SNNPR), Gibe III when completed is also expected to return its project investment ten fold in 50 years.
When this largest ever hydropower project in Ethiopia was officially launched in January, it was said that 18% of the construction world had been completed.
The corporation also has pending projects that could have a generating capacity of over 5,000 MW in the next 10 years.
It plans to be connected to different international power pools that would enable EEPCo to export electric power to Europe and the Middle East.
EEPCo is also contemplating to launch the study of the fourth phase of the Gilgel Gibe project anticipated to generate 2400 MW.
Looking forward to enhancing the country’s power generating capacity, EEPCo is operating under a new motto: Empowering Ethiopia into the new millennium.
The Ethiopian Electric Power Corporation is also involved in other power generating projects that would also boost the country’s power production and exporting capacity.
Tis Abay II and Fincha IV power stations have generating capacities of 80MW and 34MW respectively. In 2004, the corporation inaugurated Gilgel Gibe I, which has an installed capacity of 184 MW. Gilgel Gibe I was also built by Salini Costruttori at a cost of 2.2 billion birr. The dam is on the Omo-Gibe river located 250 km south-west of Addis Ababa, near Jimma town.
In 2004, EEPCo embarked on another key project, Gibe II.
After the corporation and Salini finalized their contractual agreement to build Gibe II, the contractor commenced work on the project in 2005.  The power plant, which will have an installed capacity of 420 MW, will start generating power by 2008.
Salini is also building another hydro-power project on the Belesa river located 370 km north-west of Addis Ababa. The Beles power station will have the capacity to generate 460MW when completed by the end of 2008. The cost of the project is estimated at 5.4 billion birr.
The other major project is Tekeze, a hydro-electric dam that is being built by a Chinese construction company on the Tekeze river in Tigray Regional State at a cost of 5 billion birr. The Tekeze power station, due to be completed by 2008, will have the capacity to generate 300 MW.
EEPCo designed a five-year strategic plan to boost electric coverage to 100% from the existing 17 percent by the year 2010. The corporation’s plan is to increase the country’s power generating capacity to 4000 MW over the next five years. To realize the ambitious five-year plan, EEPCo requires about 53 billion birr.
EEPCo is also preparing to start new hydro-electric power projects in Chemoga-Yeda (318MW), Halele-Werabesa (374MW) and Ficha-Amerti-Neshe (40MW) hydro power projects, which are among the dozen planned hydro-electric projects in the country. In addition to the hydro-power projects, EEPCo is to introduce a wind power energy and coal-fired station. It also plans to produce electric power from the coal mine found in the Yayu locality of west Ethiopia. The coal deposit is estimated at 10 million tons and studies indicate that 150 MW can be produced.
According to a recent study Ethiopia has a potential of 45, 000MW hydro-electric power, 75 million m3 of natural gas, 6m/s wind power, 700MW geothermal energy and almost zero fuel wood energy.
Out of this none of the natural gas and wind power has been exploited and only 1% of the geothermal energy and 3% of the hydro-electric power potential is utilized.
Solar energy is also an unexploited energy source in the country, the study indicated.