Council approves, power purchase agreement, digital transformation strategy

Addis Ababa, June 15, 2020 (FBC) – Council of Ministers has approved power purchase agreement signed with CORBETTI, draft digital transformation strategy and Ethiopia’s second commercial code today.

The Council has approved the agreement, draft strategy and the commercial code in its virtual meeting held today with, Prime Minister Office indicated.

Prime Minister Dr. Abiy Ahmed said the conclusion of the Power Purchase Agreement with CORBETTI comes after many years work from the Government to create effective legislation such as PPP, Geothermal & Energy Proclamations to support foreign direct investment and private sector participation for investment and technology transfer in Ethiopia, the premier noted.

He said Ministry of Water, Irrigation and Energy’s EEP, EEA on one hand & CORBETTI and TULU MOYE companies on the other will develop total of 300MW Geothermal Power as Public Private Partnership.

The Geothermal sector and skills in Ethiopia are critical to tap green, clean and renewable energy source to increase energy capacity, security and reliability of Ethiopia.

Geothermal provides great baseline constant output power to support our industrialization and continued economic growth, according to the premier.

On Ethiopia’s Digital Transformation Strategy, it is a centerpiece of government’s effort to drive inclusive growth through innovations and digitalization, he stressed.

It will improve interconnectivity of kebele’s to woreda’s, develop digital knowledge, provide support to the tourism sector, and empower the technology sector as a whole.

Moreover, it will support ongoing reform efforts on ease of doing business by increasing the capacity of the public sector to provide digital services that will enable faster growth of the digital economy in our country and modernize the way of doing business across the public and private sector, the Prime Minister added.

The adoption of a draft Commercial Code, half a century after the adoption of the existing Commercial Code is a significant milestone in our endeavor to modernize and reform country’s legal system.

The prime Minister further underscored that the new Commercial Code is geared towards spurring innovation and enterprise which are essential in our aspiration to build a prosperous society.

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