Post on 10-Oct-2018
10/13/2009 1
INNOVATIVE FINANCING OF GRID CONNECTIONS BY ETHIOPIAN
ELECTRIC POWER CORPORATION
SHIFERAW TELILAEXECUTIVE OFFICER
Ethiopian Electric power Corporation, UEAP
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 2
TOPICS TO BE DISCUSSED
• Overview of the Power Sector in Ethiopia• The Universal Electricity Access program• Delivering better results• Nature of the GPOBA intervention• Expected benefits• Final remarks
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 3
Overview of Power in Ethiopia• Ethiopia is endowed with huge power
potential;- hydro 45GW- wind 10GW- Geothermal 5GW etc
• Currently only about 1.4% of this potential is exploited by the country.
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 4
Overview con’d
• The current installed capacity of the country is about 1503MW( including Tekeze & GG II Power plants which is currently under commissioning)
• 2550MW is under construction( to be commissioned with in 1-3 yrs
• Current electricity access is about 32%• 1.85 million customers –for a population of
73 million. • One national, integrated utility - EEPCo Debre
Zeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 5
Universal Electricity Access program
• Launched in 2005 with objective of increase of electricity access from 17-50% with in 5yrs
• The program is mainly financed by Ethiopian government and multiple donors like IDA, ADB,BADEA, OPEC, Kuwait fund, Line of credit from Indian Govn’t, etc
• Electrification moving at an impressive pace
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 6
Delivering better results
• Despite the fast pace of electrification …• Connections lag behind – “last mile” missing• Cost of connection ranging from US$50 to
100/hh• Some can afford, some not – GDP=US$500/ hh• First year, 20% hh connected, gradually growing
at 10% p.a.• Some indirectly connected (not fraud), but ..
– Sub-standard service – a few hours per day– High cost charged by neighbor (on a per lamp basis)– Not metered – no lifeline tariffs to the poorest
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 7
Paradox of the ‘last mile’• People have willingness to pay• People have ability to pay – vis-à-vis kerosene• Initial modest consumption can fit into the lifeline
tarrif block (50 kWh per month)• Utility spends US$ million upstream• Poles and wires are “in front of houses” …• …But 60% of hh in the dark at the outset• How to break this cycle?
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 8
Any solution?• Cost of connection seems to be a barrier• More so if credit unavailable • We are now testing willingness to pay (see
cover)• Some experiences by EEPCo – 2-5 year
loan did accelerate pace of connection• But very expensive cost of working capital• Any ideas to deal with the problem?• Some utility reluctance to use IDA funds• Discussions with GPOBA …
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 9
GPOBA Engineering (I)• EEPCo provides 5 year loans to cover 80% of
connection costs – customer to pay 20% upfront• GPOBA compensates the utility for the cost of working
capital –assumed 19% p.a.• Equivalent to a payment of US$35 for a US$75
connection• Paid to EEPCo in two tranches – first upon physical
connection, second after three billing cycles• EEPCo has to deliver 2 CFLs -- “connection package”• Customer repays the loan in 60 installment• Amortization and interest rolled into the electricity bill
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 10
GPOBA ENGINEERING (II)
• EEPCo provides 5 year loans to cover 80% of connection costs – customer to pay 20% upfront
• GPOBA compensates the utility for the cost of working capital –assumed 19% p.a.
• Equivalent to a payment of US$35 for a US$75 connection
• Paid to EEPCo in two tranches – first upon physical connection, second after three billing cycles
• EEPCo has to deliver 2 CFLs -- “connection package”• Customer repays the loan in 60 installment• Amortization and interest rolled into the electricity bill
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 11
Some issues and features
• Targeting the poor – one year lag feature – is there a better, simple way?
• A credible monitoring and verification system• Sharing monitoring efforts with other
interventions• Risk and performance allocation• Make it as simple as possible• Limited procurement to deal with• Therefore, low transaction costs
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 12
Expected benefits I faster connection
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7With OBA 40 50 60 70 80 80 80W/OBA 20 30 40 50 60 60 60Net 20 20 20 20 20 20 20
Household Connection (%)
10/13/2009 13
Energy efficiency – reduces bill by 55%
Appliance kW Installed # of Units %
frequencyHours per
day
Monthly consumption
(Wh)
% Usage without CFLs
With CLFs Savings
Lighting 40 2.6 0.97 3.5 10920 73.51% 18.38% 40.95%
Torch 10 1.2 0.53 0.1 36 0.24% 0.24%Radio Cassette 20 1 0.37 1 600 4.04% 4.04%TV 80 1 0.02 1 2400 16.16% 16.16%Small Radio 10 1 0.41 3 900 6.06% 6.06%
14856 100.00% 44.87% 55.13%
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 14
Win-win for the user and Utility and for lifeline tariff increase
Without CFLs
kWh/month Price/Cost (US$/kWh) Months
Total (US$ per
year)
With Tariff increase (20%)
and Cost Increase (10%)
Revenues 15 0.032 12 5.71 6.86Cost to Serve 15 0.046 12 8.28 9.11Service Charge 15 1.95 2.34Mark-Up -0.61 0.09
With CFLs
Revenues 15 0.032 12 2.57 3.09Cost to Serve 15 0.046 12 3.73 4.10Service Charge 15 1.95 2.34Mark-Up 0.80 1.33
Lifeline Tariff Sustainability (Per customer, 15 kWh per month)
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 15
Scaling up GPOBA intervention
• Currently a revolving fund– EEPCo to ring fence proceeds from amortization and
interest– About US$2.7 million per year being recycled– To be used to finance new connections
• If business model proves successful, other funds may be injected into this “pot” to cope with the needs of a higher pace of connections
• Including IDA funds (performance based), as part of the design of the next EAREP
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos
10/13/2009 16
Final Remarks• Scheme about to start – Operations Manual being finalized• Promising mechanism for the “last mile”• Performance based – seems to be a good approach• Energy efficiency is a win-win – for the customer and utility• We are carrying out further surveys to determine
– Willingness to pay for CFLs and connection– Preferred ways to deliver – voucher, financing, terms
• Next intervention – possibly funding internal wiring• Expectations on sustainability with the revolving fund • Model can be replicated in other countries, where cost of “last mile”
is comparable• Taking into account specifics of Ethiopia – “rural” is rural towns and
villages
DebreZeit 1&2
ModjoNazereth
ElalaGeda
Dukem
Amibara
Mesobo Wukro
Gedja
BosetiKoneFantale
Dofan
TulluMoye
Gedemsa
Kemise
Aba
KOKA(HEPP)
AWASH III (HEPP)
2
2
Gashen
Asosa
Mota
NefasMewcha
Aksta
Sawla
Lake Afrra
WERABESA(HEPP)
GENALE2&3
(HEPP)
GEBA 1&2(HEPP)
BARO 1&2(HEPP)
NERI(SHPP)
DEMBI(SHPP)
YADOT(SHPP)
Nuraera
Mendi
AWASH II (HEPP)
3 2
S U
D
A
N
K E N Y A
S O
M
A L
I
A
S O M A L I A
S U
D
A N
GULF OF ADEN
RED SEA
Adigrat
Mekele
EndaSilassie
Adwa
Alamata
Tendaho Graben
Lake Abehe
Danab
Teo
Meteka
CORBETTI
AbayaGOJEB(HEPP)
DelbiMoye
(COAL)
Bonga
Tepi
Mizan
GilgelGibe
Wolkite
AddisAlem
Butajira
Woldiya
Semera
Sekota
Lalibela
Maychew
Tekeze(HEPP)
PaweBitchena
ToPK-12
(Dijbouti)
ToRoseries(Sudan)
Injibara TIS ABAY II(HEPP)
ANDA
E R I T R E A
AddisAbaba
DebreBerhan
Shoa Robit
Fitche
Com
bolc
ha
Dessie
DJIB
OUTI
Muger
ALELTU(HEPP)
2
2
CALUB
Metu
Gambela
DembiDolo SOR
(HEPP)
CHEMOGAYEDA
(HEPP)
BELES(HEPP)
HALELE(HEPP)
ALUTO GEOTHERMAL
Dallol
Dabat
Gonder
BahirDar TIS ABAY I
(HEPP)Dangla
FinoteSelam
FINCHAA(HEPP)
GhimbiNekemte
Gehedo
Woliso
Guder
ABASAMUEL
(Retired)
BunoBedele
Agaro
Jimma
GILGELGIBE
(HEPP)
ARBAMINCH
WelaitaSodo
Shakiso
Dilla
Yirgalem
Hosaina
Alaba
Robe
MELKAWAKANA(HEPP)
Shashamene
ADAMITULU
Asela
Awash 7kilo
Met
eh
ara
Bedessa
Asebe Teferi
Alemaya
DireDawa
Chelenko
HararBabile
Jijiga
NegeleBorena
AgereMariam
Gobesa
Awasa
Wereta
DebreMarkos