EEP, Korea’s Hyosung Corporation sign electricity grid expansion agreement

Addis Ababa, September 02, 2022 (FBC) – Ethiopian Electric Power (EEP) has signed an agreement with Korean company, Hyosung Corporation to carry out the construction of the Southern Electricity Grid Expansion Project.

The agreement was signed by Chief Executive Officer of Ethiopian Electric Power (EEP), Ashebir Balcha, and representative of Hyosung Corporation, Hyung Soo Yoo, says the statement from EEP.

This agreement is inked with Hyosung Corporation to build new power transmission lines and distribution stations on the Southern Electricity Grid and carry out works to enhance the capacity of distribution stations.

It also includes the construction of a 420KM long electricity transmission line and the design, manufacturing and supply, construction, testing and inspection of three new substations, as well as the capacity building of two substations in South Omo, Wolayta Sodo, Shigdan and Arba-Minch

Mohammed Shikur, EEP’s Transmission Substation Construction Program I Project Management II Manager, stated that the construction of the project is planned to be completed within three years and the project budget will be fully covered by a loan of more than 178 million USD obtained from Korea Exim Bank.

Meanwhile, a Korean company, Byucksan Power Co.Ltd, has also signed the agreement to consult on various works of the project, including the design.

CEO Ashebir urged that the construction of the project should be completed within the allotted budget and time as it aims to provide reliable electricity to the communities in the area where the projects are being carried out and to the sugar factories in the South Omo area.