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"The Millennium Dam will not only provide benefits to Ethiopia. It will also offer mutually beneficial opportunities to Sudan and to Egypt. Indeed, one might expect these countries to be prepared to share the cost in proportion to the gains that each state will derive. On this calculation, Sudan might offer to cover 30 per cent and Egypt 20 per cent of the costs of the entire project. Unfortunately, the necessary climate for engagement, based on equitable and constructive self-interest, does not exist at the moment. Indeed, the current disposition is to make attempts to undercut Ethiopia’s efforts to secure funding to cover the cost of the project. We have, in fact, been forced to rely on our own savings alone to cover the expense."

Excerpt taken from the speech the late PM Meles Zenawi of Ethiopia gave at the official commencement of the Millennium Dam project. Please click HERE to read the full speech.



Advantages of Electrification

Ethiopia’s aggressive investments in electric generation will alleviate most of the issues relating to the following:

• Increased capacity with interconnected systems will mean that Ethiopia’s power disruptions will be significantly less than 1% which will encourage the modernization through electric sensitive technologies (i.e. banking system computers, and other systems that require ‘real time’ access to information, etc…)

• TRANSPORTATION SYSTEMS can be electrified. For instance, the Addis Ababa Light Rail Transport system is based on electric power, which will reduce by that much the dependence on fossil fuel. Intercity rail can benefit from this electrification. Ethiopia will be able to operate its transportation systems with little hard currency requirements.

• COOKING FUEL– electrification will eliminate the need for gas (butane) which is supplied in gas cylinders. For those in countryside, there will be no need for burning wood or kerosene.

• EXPORTS – Energy is the single most important source of growth and symbol of prosperity. Ethiopia will earn significant hard-currency (or at least bartering leverage) with its neighbors which purchase power from it. The following arrangements have already been made with neighboring countries to supply electricity,

• Djibouti – 200 MW. This may allow Ethiopia to pay for port usage.

• Kenya – 500 MW. This may allow Ethiopia to pay for its port usage at Mombassa.

• Sudan – 200 MW. This may allow Ethiopia to buy fuel oil from Sudan in exchange.