echemi logo
Product
  • Product
  • Supplier
  • Inquiry
    Home > Chemicals Industry > International Chemical > China agreed to invest $1.8 billion in Ethiopia's power grid construction

    China agreed to invest $1.8 billion in Ethiopia's power grid construction

    • Last Update: 2023-01-02
    • Source: Internet
    • Author: User
    Search more information of high quality chemicals, good prices and reliable suppliers, visit www.echemi.com

    According to local media in Ethiopia, the State Grid Corporation of China has announced that it will invest US$1.
    8 billion
    in Ethiopia's transmission and distribution network.

    The agreement came after Ethiopian Prime Minister Abiy Ahmed's visit to Beijing, where he held talks with the China Export and Credit Insurance Corporation (CCIC), which agreed to organize the funds
    .

    Ethiopia has made the development of its estimated 60GW of renewable energy a cornerstone
    of its 15-year growth and transformation plan.
    The country currently has about 4.
    5GW of installed capacity, a population of more than 100 million, and its electricity demand is growing by about 30%
    per year.

    Currently, 30% of the country's population has a stable supply of electricity, while in areas covered by the grid, only 60% of households have access to electricity
    .
    To improve the situation, the government has drawn up plans to
    build 9,000 km of distribution lines and 19,600 km of transmission lines.

    While Ethiopia's economy has grown by more than 10 percent annually since 2006, it is struggling to service its external debt
    .
    During Prime Minister Abiy Ahmed's visit, China agreed to cancel all interest accrued on its debt, estimated at between $12 billion and $20 billion
    .

    However, lack of funding is constraining infrastructure investment
    .
    According to Ethiopia's Ministry of Transport, little progress has been made in the past nine months in the construction of the Ethiopian Electrified Railway between Awash and Hara Gebeya due to lack of funding
    .

    Transport Minister Dagmawit Moges told Ethiopia's parliament that construction on the project stretches from the east to the north of the country, with only 54 percent completed
    in the past five years.

    According to local media in Ethiopia, the State Grid Corporation of China has announced that it will invest US$1.
    8 billion
    in Ethiopia's transmission and distribution network.

    Transmission and distribution

    The agreement came after Ethiopian Prime Minister Abiy Ahmed's visit to Beijing, where he held talks with the China Export and Credit Insurance Corporation (CCIC), which agreed to organize the funds
    .

    Ethiopia has made the development of its estimated 60GW of renewable energy a cornerstone
    of its 15-year growth and transformation plan.
    The country currently has about 4.
    5GW of installed capacity, a population of more than 100 million, and its electricity demand is growing by about 30%
    per year.

    Currently, 30% of the country's population has a stable supply of electricity, while in areas covered by the grid, only 60% of households have access to electricity
    .
    To improve the situation, the government has drawn up plans to
    build 9,000 km of distribution lines and 19,600 km of transmission lines.

    While Ethiopia's economy has grown by more than 10 percent annually since 2006, it is struggling to service its external debt
    .
    During Prime Minister Abiy Ahmed's visit, China agreed to cancel all interest accrued on its debt, estimated at between $12 billion and $20 billion
    .

    However, lack of funding is constraining infrastructure investment
    .
    According to Ethiopia's Ministry of Transport, little progress has been made in the past nine months in the construction of the Ethiopian Electrified Railway between Awash and Hara Gebeya due to lack of funding
    .

    Transport Minister Dagmawit Moges told Ethiopia's parliament that construction on the project stretches from the east to the north of the country, with only 54 percent completed
    in the past five years.

    This article is an English version of an article which is originally in the Chinese language on echemi.com and is provided for information purposes only. This website makes no representation or warranty of any kind, either expressed or implied, as to the accuracy, completeness ownership or reliability of the article or any translations thereof. If you have any concerns or complaints relating to the article, please send an email, providing a detailed description of the concern or complaint, to service@echemi.com. A staff member will contact you within 5 working days. Once verified, infringing content will be removed immediately.

    Contact Us

    The source of this page with content of products and services is from Internet, which doesn't represent ECHEMI's opinion. If you have any queries, please write to service@echemi.com. It will be replied within 5 days.

    Moreover, if you find any instances of plagiarism from the page, please send email to service@echemi.com with relevant evidence.