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EEP Awards Companies to Drill Geothermal Project

Mar 2 , 2019

Ethiopian Electric Power (EEP) signed an agreement with two Chinese and Kenyan companies for a 70MW geothermal energy drilling project. Shandong Kerui Oilfield Service Group, Shandong Kerui Oilfield Service Group Co. Ltd., and the Kenyan Electricity Generating Company are the companies that partnered with EEP. EEP said the three firms are expected to supply drilling materials as well as drill wells for possible geothermal energy sources at the Aluto-Langano geothermal project in central Ethiopia. The companies will drill 22 wells initially to probe the geothermal energy generation potential. The Aluto-Langano geothermal project, which will cost up to 173.2 million dollars, is a part of the government’s plans to generate up to 5,000MW of geothermal energy in the coming years. Currently, Ethiopia produces only 7.3MW of geothermal energy.

Radar

Electricity Bills Get the VAT Jolt

The new Value Added Tax (VAT) has begun implementation on electricity consumption and various service fees affecting customers who use more than 200 kilowatt hours of electricity per month. Based on a directive from the Ministry of Finance, the tax will be applied to the excess amount of electricity consumption above 200 kilowatt hours. The Ethiopian Electric Utility (EEU) began implementing the VAT on bills starting from November though both prepaid and postpaid customers will have to pay V...

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Radar

Gadaa Bank Expands Reach, Faces Lending Constraints

Gadaa Bank closed its first full fiscal year of operations with a net profit of 90.2 million Br. The 18-month-old Bank held its annual general assembly at Millenium Hall on Africa Avenue last week where the board announced that during the year, the Bank opened 15 branches and now has 85 operational branches. “Due to recently enacted policy measures on credit by NBE and unmet resource mobilization during the fiscal year, the Bank was unable to make loan disbursements,” stated Wolde...

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Radar

Oromia Bank's Branch Expansion Weighs on Profits

Oromia Bank reported a 47pc decline in net profit to take in 840.9 million Br for the past fiscal year. Interest income grew by 21pc to reach 7.19 billion Br while personnel expense grew by 36pc to hit 3.16 billion Br. The opening of 72 new branches, bringing the total to 575, led to a four percent growth of deposits to 56.4 billion Br. The profits are “unsatisfactory against our ambitious moves,” said Assefa Seme (PhD), board chairperson. “The deviation is primarily attributed to our aggr...

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