The State Grid Corporation of China (SGCC) is going to be the second to invest in Ethiopia in energy development for the generation of electric power, Capital Reported. 

The US –Icelandic Reykjavik Geothermal Ltd, the other energy company, entered an agreement with the government to develop 1000 MW of electric power from geothermal resource in the southern parts of Ethiopia at a cost of USD 4 billion.

As Mr Xiong Feng, Business Division General Manager of SGCC, stated, “We want to work on projects for the government and on our own, in the future. Currently, we are working for the government on the transmission line and on substation projects but we are interested in power generation projects”.

Apart from energy development, SGCC is also interested in investing in renewable energy in Ethiopia more specifically on wind farm projects with the government and on their own. Although details are yet to be known, the General Manager of SGCC has stated that they are currently on preliminary discussions with the government.

In addition to currently constructing the Ethiopian part of the Ethio-Kenya transmission line project, SGCC is a company that completed, not long ago, the largest transmission line and substation for the Ethiopian Grand Renaissance Dam (GERD). The company has also provided electricity grids for substations in the Addis Ababa light rail transit (LRT) power project which began in October last year.