Ethiopia's state-owned utility Ethiopian Electric Power Corp (EEPCO) is to develop a 1870MW hydro project with Italy's Salini Costruttori.

The Gilgel Gibe III project is to be developed in the southwest of the country in the Omo-Gibe river basin at a cost of some US$1.72B and is expected to be operational by 2011.

Together with an associated 550km long, 40 kV transmission project, Gilgel Gibe III will be the largest such plant in Ethiopia with a total development cost of around US$2B.