Program Summary

Capacity Building Program

   Strategies that should be pursued in order to address this issue are: 

Strategy No.1

Implement the Civil Service Reform Program in the shortest possible time and bring about modern management system.

Strategy No.2  

Implement Modern Management Information System through out the corporation including Regions and Districts offices.

Management Information System:

Place modern MIS System through out the corporation

Strategy No.3

Build capacity of local manufacturers and contractors to participate in the power system expansion works.

 Electrical Power Industry Master Plan Program

Strategies that should be pursued in order to address this issue are: 

Strategy No.1

· Perform consecutive updating of the Master Plan by own force.

Results of Power System expansion Master Plan update

 Note: Power demand includes a 20% capacity reserve for maintenance and forced outages.

Projected Supply and Demand Balance – with Target Forecast

Note: Power demand includes a 20% capacity reserve for maintenance and forced outages.

Electric Power Transmission Program

 Strategies that should be pursued in order to address this issue are:

Strategy No.1  

Complete the following committed projects by preventing delays in commissioning:

·        Tekeze Hydro Electric Power Plant, 300MW and 971GWh

·        Gilgel Gibe II, Hydro Electric Power Plant, 420MW and 1600GWh

·        Amerti Neshi 100MW and 215GWh

·        Wind park 120MW

·        Beles 460MW and 1540GWh

·        Gilgel Gibe III    1870 MW

Total 3270MW

Figure 3: Gilgel Gibe 1 completed                                                    Gilgel gibe 2 (420mw under construction)

Beles 460mw under construction                                                     Tekeze 300 mw under

Strategy No.2

  Start building new generating stations in order to avoid possible energy shortfall in the mid term build new smaller power plants with short lead- time like Halele 100MW, Werabesa 340MW, Chemoga Yeda 278MW, Gojeb 150MW, Tekeze II 450MW and Gibe IV 2000MW.

                                      Total 3318 MW.

Strategy No. 3

Developing renewable energy resources, such as wind and geothermal power

Developing Wind 80MW and proven geothermal fields in the rift valley

Strategy No. 4 

Developing non renewable energy from non indigenous resources

Electric Power Transmission Program 

 Strategies that should be pursued in order to address this issue are:

Strategy No.1

Construct & complete Transmission Lines and S/Station in order to connect the grid and transmit the generated power from the newly constructed and under construction power plants.

  Strategy No.2

Complete the construction of new Transmission Line and S/Station projects as per the universal electricity access program.

  Strategy No.3

Strengthen the saturated & over loaded Transmission Line and S/Station.

  Strategy No.4

Complete the construction of National Control Center to utilize effectively and optimally the transmission networks.

  Strategy No.5

Realize the Ethio-Sudan, Ethio-Djibouti and Ethio-Kenya interconnection system in order to expand the Grid.

 Strategic Action Plan

   Power Transmission Lines:

Complete the construction of the National Control Center and start the network controlling operation.

230kv Transmission tower                                                          The possible interconnection

Electric Power Distribution Program

    Expansion of distribution network

Strategies that should be pursued in order to address this issue

  Strategy No.1

Increase the existing distribution network coverage /Rural Electrification

  Strategy No.2        

Encourage communities to construct distribution lines (along with small generation in isolated systems).

Strategy No.3          

Involve IPPS in the construction of localized distribution lines with small generation plants

            Major proposals to over come these barriers for implementation of the strategies are:

Introduce credit - facilities for low income new customers.

Create conducive environment for participation of Communities & IPPS.

Major actions that must be taken over the next 6 years to   implement the   major proposals are: 

v    Increase Number of Electrified towns from 648 – 6000;

v    Increase Number of Customers from 902,928 - 2,600,000;

v    Increase Electricity access from 16% - 50%;

v    Decrease Power loss from 19.5% - 13.5%.

    Reduction of voltage drop

      Strategies that should be pursued in order to address this issue are:

Strategy No.1

Rehabilitate the existing distribution networks according to the engineering standards.

Strategy No.2

Carry out the distribution extension and expansion works with proper design and standards for the new customers.

Strategy No.3

In rural areas upgrade the limitation of medium voltage level from 15 Kv to 33 Kv.

 Reduction of waiting time for service hook-up

  Strategies that should be pursued in order to address this Strategic issue are:

Strategy No.1

Ensure availability of sufficient materials, tools, and equipments to connect additional customers.

Strategy No.2

Review the existing connection process, develop optimum work- flow (Process re-engineering), and prepare an outlined procedures.   

Strategy No.3

Implement the distribution system reform study.

Strategy No.4

Introduce incentive schemes.

Reduction of service of outages     

Strategies that should be pursued in order to address this Strategic issue are:

Strategy No.1

Rehabilitation of the existing distribution networks according to the engineering design and standards.

Strategy No.2

Apply new technology.

Strategy No.3

                  Establish emergency service closer to the customers.

Financial Capacity Building Program   

Strategies that should be pursued in order to address this issue are:

          Strategy No. 1

Boost value of the corporation by increasing the cash flow generating from business operation (operating and investing decisions) and minimizing the cost of capital (financing decisions).

         Strategy   No. 2

Increase EEPCO’s Revenue by revising tariff and sale of all generated electricity to the customer and reduces the operational costs.

Strategy No. 3

Collect long outstanding receivables and implement modern bill collection system that will make easy the collection process.

           Strategy No. 4

Develop and improve customer relationship with local and international financing institutions.

Strategy No. 5

Exercise aggressive market expansion.

Strategy No.6

Increase cash flow through the issuance of bonds to investors at acceptable interest rate and payment conditions.

Strategy No. 7

Increase cash flow by selling obsolete materials and scrap materials that could not give service to the corporation.

Strategy No. 8

Implement modern finance functions to plan, raise & use of funds in an efficient manner to achieve corporate financial objectives.  

Preventive Maintenance Program

             Strategies that should be pursued in order to address this issue are:

Strategy No.1

Perform Preventive maintenance intensively and sustainably.

Strategy No.2

Perform the replacement of those devices that are over aged and characterized by frequent failure with new and latest technology.

            Major actions that must be taken over the next five years are:  

·        Perform preventive maintenance activities in all the power plants and Substations.

·        Undertake preventive maintenance on 30,000 kms of high voltage transmission lines.

·        Undertake preventive maintenance on 9,876 kms of medium and low voltage lines.

·        Rehabilitate 7,946 kms of medium and low voltage lines.

·        Complete the rehabilitation activities at Awash, Koka and Tis Abay I HEPPs.

·        Rehabilitate 238 high voltage transmission line towers.

·        Rehabilitate 15 Substations.