Gaia has signed a Memorandum of Understanding with an Ethiopian based company 4R Energy Plc™ to develop a renewable energy solution in Ethiopia on biomethane production and utilization.
4R Energy Plc is working together with stakeholders, Lem-Ethiopia and Addis Ababa Water and Sewage Authority to develop a green business concept at the Kaliti and Akaki Wastewater treatment plants which would upgrade the facilities with a modern biomethane production system. The biomethane can further be utilized as a fuel for industries and in household applications. The project aims to replace LPG (liquid petroleum gas), kerosene, and even charcoal and woody biomass which are traditionally being used for cooking. It is foreseen that biomethane can reduce the household fuel costs while bringing a renewable energy option for the people.
The partnership, in close cooperation with the stakeholders, will develop the carbon market layer of the project and support 4R Energy Plc with technology selection to ensure that selected solutions are on a sustainable basis. In Ethiopia, Gaia works in collaboration with the local partner company Swan Management Plc, which is operated by both Finnish and Ethiopian owners.
“With this pioneering project and the strong local partners, Gaia expects to open up a whole new market sector in Ethiopia. Furthermore, this private–public partnership project aims to create social and economic benefits for the local community and sets a good ground for greening the economy“, says Mr. Alain Schilli, Managing Director of Gaia.
“In Africa, you have to be present. Management by emails or over telephone is not an option. The partnership with Gaia ensures that we can couple world-class experience on energy and climate with presence on the ground and profound understanding of local culture”, states Mr. Mika Turpeinen, owner and manager of Swan Management Plc.
4R Energy Plc is an Ethiopian private energy company focusing on a wide range of areas of renewable energy generation. The company is the first of its kind in the country and has initiated a strategy to develop numerous immediate and future solid and liquid waste-to-energy projects. In addition to energy production, many waste sources can provide valuable by-products, such as organic fertilizers which are much needed in the agriculture based economy of Ethiopia.
“There is a huge demand for affordable renewable energy solutions especially for household cooking needs. Waste-to-energy projects could be a prominent answer. However, the road is long: One of the key barriers in Ethiopia is the lack of experience in biomethane production plants. Therefore, 4R Energy is not only developing the whole value chain of the biomethane production industry but we are also developing quality standards together with Ethiopian Environmental Protection Authority in conformity with ISO standards”, says Mr. Benjamin Sishuh, General Manager of 4R Energy.
Ethiopia is the fastest growing non-oil based economy in Africa. The growing economy, together with expanding population, creates challenges and opportunities for the waste and energy sectors.
Photo: From left Mr Yemane Daniel, CFO, Mr Benjamin Sissuh, CEO of 4R Energy Plc and Mr Mika Turpeinen, CEO of Swan Management Plc (representing Gaia in Ethiopia)
For further information:
- Pasi Rinne, Chairman of the Board, Gaia Group, tel. + 41 79 472 6909, firstname.lastname@gaia.f
- Alain Schilli, Managing Director, Gaia Global SA, tel. +41 793496361, firstname.lastname@gaia.fi
- Mika Turpeinen, CEO, Swan Management Plc, tel. +251 912 603 487, firstname.lastname@swanmanagement.net
