The Ethiopian Electric Power Corporation (EEPCo) has signed a contract accord with the Chinese Gezhouba Group Company (CGGC) for the construction of Genale Dawa 3 Hydropower Project
When completed Genale is projected to generate 254 megawatts of electricity, equal to 1,640 gigawatt-hours annually
After Gilgel Gibe II’s tunnel collapse the corporation failed to fully meet the country’s power demand that stands at over 1,200 mw.
EEPCo’s current capacity is almost 1,000 mw of power from its six operational hydropower plants, including the recently inaugurated Tekezze
The potential power production of the country has been estimated to be about 45,000 mw. Of this, only 870 mw has been developed and another 3,270 mw is under-construction.
Another new hydropower station, Beles, will be ready in May this year. It will have a capacity of generating 460 mw of power
Under-construction Gibe IV/V, Beko Abo (Caradobi), Halele Worabesa, Chemoga-Yeda and Genale have a combined generating capacity of 6,000 mw.
A budget of some 12 billion dollars has been earmarked for the nation’s 25 year Power Sector Master Plan of which 70 percent is allocated for generating power.
 

The Ethiopian Electric Power Corporation (EEPCo) has signed a contract accord with the Chinese Gezhouba Group Company (CGGC) for the construction of Genale Dawa 3 Hydropower Project, located on the border of Oromia and Somali regional states.
The project will be constructed at a cost of 408 million dollars. It is expected to generate 254 megawatts of electric power.
A 110 metre high dam will be constructed on the Genale River. The project will increase the current national capacity of 870 mw by 27 percent.
The 254 mw hydroelectric station on the Genale River in Somali State, when completed in 56 months, is projected to generate 1,640 gigawatt-hours annually. The station will help the nation address seasonal power shortages and also contribute to a national program to export electric power while controlling flood damage and providing water for irrigation in Ethiopia.
In April 2009, EEPCo received expressions of interest for financing and building the hydropower project.
EEPCo has recently faced a crisis in power supply after a tunnel in one of its biggest dams collapsed. The tunnel at Gillgel Gibe II collapsed weeks after the inauguration of the hydropower project.
According to sources at the corporation, it is trying its best to repair the damage inflicted on the dam. These sources said that heavy machinery is being transported to the site to repair the collapse that crippled the power supply of the country.
Recently, the corporation has also signed a preliminary agreement with Hydrochina Company for construction of wind power projects in Nazreth and Mesobo Harena areas.
Each wind power project can generate 51 megawatts of electric power in an emergency. The projects will be financed with fund made available by Chinese government through EXIM Bank of China.
The corporation is constructing Beles, Amerti Neshi, Gibe III, and Finchaa hydropower projects at present.
Additional hydropower and wind power projects in the pipeline are expected to generate an additional 500 mw of electric power.
A budget of some 12 billion dollars has been earmarked for the nation’s 25 years Power Sector Master Plan of which 70 percent is allocated for generating power.
EEPCo recently notified high power consuming factories to halt usage of electricity until further notice this week after the corporation faced another round of severe power shortages.
Furthermore, the corporation started its emergency generators in different regions to ease the shortage. Even though the power shedding has not become official and does not have any sequence, the corporation is turning off power at some places when there seems to be a very high load or consumption.    
Many factories, including cement, metal, plastic and other big factories suspended their activities this week after the corporation told them not to use power.
EEPCo is also preparing to strictly control the use of electricity at night and on weekends after reports of high power usage in factories during night time.
Last year, when the shortage of power worsened, the corporation started to monitor electric users at night and weekends and started fining transgressors 35,000 birr and cutting off companies’ electricity supply permanently. Furthermore, the corporation confiscated machinery being used.
After the GG II collapse the corporation failed to fully meet the country’s power demand that stands at over 1,200 mw. EEPCo’s current capacity is almost 1,000 mw of power from its six operational hydropower plants, including the recently inaugurated Tekezze,  although it is currently generating less than half of its 300 mw capacity. However, sources indicate that Tekezze is also being used beyond its generating capacity and it is hoped that it will be fully operational in the next couple of weeks.