Our impact
In 2017, Meridiam partnered with Reykjavik Geothermal (RG) to co-develop the Tule Moye geothermal prospect located 100 km south-east of Addis Ababa. The Tulu Moye geothermal project consists of the development, design, construction, financing, operation and maintenance of a 150MW geothermal power plant. The project is split into two phases, with Phase 1 corresponding to a 50 MW plant.
In December 2017, the Tulu Moye project company signed a 25-year Power Purchase Agreement (PPA) and Implementation Agreement (IA) with Ethiopian Electric Power (EEP), the national utility, backed by the Government of Ethiopia through the Ministry of Finance. These documents have been amended in March 2020 primarily to adjust the sizing and the allocation of responsibilities between EEP and the Government. This process improved the Government’s commitment to the project.
The project is developed in the context of the Government of Ethiopia seeking to increase the country’s power generation capacity from the current 4.5GW to 17GW by 2030.
Commercial close
Tulu Moye has an up-to-date E&S Risk Assessment as well as the relevant required policies and frameworks to deal with ESG matters arising from all aspects of the Project (civil works, drilling and plant construction). All management plans are prepared in compliance with IFC Performance Standards.
The Project maintains good relations with the local community and the broader Oromia regional authorities. The Project has created more than 300 employment opportunities for locals during civil works and geothermal drilling phases. The $900k, 2020-2023 community investment plan focuses on: (i) supply of potable water, (ii) access to electricity, and (iii) jobs through SME creation and growth. The SME support scheme and training has already commenced. Vocational and technical training scholarships have been awarded and solar energy supply has been installed in the community health centre, alongside a newly constructed office for one of the local communes. A temporary water connection was built to nearby communities. The 15km road to site has improved access, reducing journey times and boosting local economic activity is an indirect benefit.
Learn more about the project:
to Ethiopia power generation diversification
geothermal power plant
Project capacity development
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