Ethiopian Energy^Power Business Portal

(A high Level PPP Development Assessment Outcome)

Public private partnerships have become new normal in today’s business landscape across many countries. If properly managed, governments could benefit in mobilizing financial resources, technical knowhow, innovation and efficiency gains from the private sector in the delivery of public goods and services by effectively partnering with them.

Since 2017, Ethiopia has publicly announced that it would leverage PPPs as one of its strategic tools in its development agenda. The accompanying thesis make an assessment of the theoretical and historical developments of PPPs in general and its stage of development and application in the Ethiopian context. 

In the assessment, it is learned that the government of Ethiopia has committed resources by formulating a PPP policy, enacting a separate PPP law (Proclamation no 1076/2018) and outlining the institutional roles and responsibilities albeit an early development stages demanding further clarity and maturity.

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s2smodern

The Waste to energy conversion facility has 25 MW capacity and will produce 185 Giga Watts Hour (GWh) of electricity per year, crushing 1,400 tons of solid waste on a daily basis (thereporterethiopia, 2018). The facility's successful inauguration has multiple implications and benefits to the country.

The straight forward benefit of the power plant is the additional capacity built at the heart of the main load center pushing the renewable energy resources portfolio reserve of the country in multiple directions. 

The second benefit is that Ethiopia largely depends on hydro power to drive the burgeoning economy and its energy security is often times perceived as at stake in times of drier weather.  Slowly but surely, the energy supply mix or diversity is shifting, Repi being the latest addition to Ethiopian Electric Power's, EEP's,  power capacity to safeguard the economy in such unfavorable circumstances. 

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s2smodern
According to sources, Ethiopia is considering to make changes to the existing electricity tariff. Of course, it was on the table awaiting decision quite for a while even if it has not been passed to date. Why now?
 
The logic is quite simple, to attract investment in the power and energy sector and spur growth in the economy. The nation is at a cross road in providing reliable power supply not just to the emerging industries, small, medium and large scale alike, but also to the general public, the tariff being cost reflective  to the producer and affordable to the consumer.
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s2smodern

This article was first published on  (HUAWEI PEOPLE MEGAZINE/by Tigabu Atalo/Ethiopia Regional Project Manager, OPGW Project , 25 Jan 2018).

 

As Heny Ford once said “Coming together is the beginning, keeping together is progress, working   together is success.”

Had you not been thrilled when someone a few inches away from you sent you a message through espace while it was easier to utter a word directly on to you? About three years ago, soon after I joined Huawei, I was so frustrated and I just believed that it would be hardly easy to close the cultural differences between us. Sooner than I expected, though, it started vanishing to the surprise of my own eyes.

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s2smodern