A major Italian construction firm, Salini Impregilo has said that it has signed an agreement to construct a new hydroelectric power plant in Ethiopia worth US$3b.
The mega development project which is dubbed the Koysha dam will have an installed capacity of 2,200 MW and will be constructed in the south of Ethiopia on the lower bank of Gibe River.
The project is composed of a 170 meter high rolled compacted concrete (RCC) dam and the reservoir has a volume is 6000 million cubic meters will have an annual power generation capacity of 6,460GWh.
This new contract agreement between Ethiopia and the Italian firm barely comes after the country secured a finance grant with an Italian credit, Servizi Assicuative del Commerce Estero (SACE) firm that is set to finance the hydroelectric power project.
In a recent session in parliament, the Ethiopian Prime Minister, Hailemariam Desalegn, while addressing MPs said that the country’s desire to tap into several rivers for power generation is part of a plan to boost manufacturing and industrialization in the country and transform its agrarian economy.
The project together with GIBE III, which started operations recently and the Grand Renaissance Dam (GERD) will enable Ethiopia to become Africa’s leader in terms of energy production and it will also make their vision a reality of becoming the hub for the renewable energy in the continent.
Ethiopia currently exports hydropower processed electricity to its neighbouring countries like Kenya, Sudan and Djibouti.
Salini Impregilo which is a dynamic Italian company able to compete with leading global players specializes in the construction of major complex projects and operates in over 50 countries.
The base their activities on a strong passion for construction which is reflected on the numerous international projects like dams and hydroelectric plants, hydraulic works, railways and metro systems, airports and motorways, civil and industrial buildings.