Addis Ababa, May 11, 2009 -- The Daily Monitor/All Africa Global Media


Ethiopia on Friday signed a financing agreement with France amounting to 210 million Euros for the implementation of the Ashegoda Wind Power Project in Tigray State.The agreement was signed between by the Chief Executive Officer of the Ethiopian Electric Power Corporation (EEPCo), Mihret Debebe and ambassador of France to Ethiopia, Jean-Christophe Belliard.

The Ashegoda wind harnessing project, expected to be completed in 3 years-to be the first of its kind for Ethiopia- will have an installed capacity of 120 MW, along with annual energy production of 400 to 450 GWH.

Ambassador Belliard said at the signing ceremony that the project would contribute to ongoing efforts of Ethiopia to distribute electric power service in Africa, while also strengthening the relationship between the two countries Ninety percent of the country's population uses biomass energy such as the burning of wood, crop waste, and animal dung which has led to the continuing destruction of forests, shortages of fuel-wood, and degradation of rural ecosystems.

Already, fuel deficiency has begun affecting some areas. In parts of the Tigray region, there is such a shortage of fuel-wood that households are forced to dig up roots to use as fuel. Also, more and more people are beginning to use agricultural residues such dung as fuel alternatives. This poses the concern that the use of these resources as fuel instead of fertilizer will lead to diminishing of soil fertility which will then result in lower agricultural productivity Ethiopia has crafted a comprehensive energy policy prioritizing the expansion and the development and utilization of hydro power. These energy policy measures in the electric power sub-sector are to build national capacity in engineering, construction, operation, and maintenance and gradually enhance local manufacturing capability of electrical equipment and appliances.

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