tA A S ^> 0 ˘ ,-r ~ ~ ~ ~ AI:' nr v j ir 5 g S/a... 0 4 5 n 0* '' C; ~~~~~~~~~~~~~ n Eeg ect', , Joint UNDP/World Bank Ene Sector, Management Assistance Program' ci, 's .2 '2g nagemy ActivitytorrVletion Report . No. 045/85 ' 5 s , 0; 5? - . A, 0~~~~ Country:- ETHIO PI '2 0~~ Thkd(upenTO . dc . wit o ;~ ~~~~~~~~~~~ti)zto tri th GNpnret ofeUD or A3 c-ldqn 3 2' . - 0 -> . ctvt POWflER SYSTEM EYlTIC NCY STUY -.. - . > .. . 4 ~OCTOBER 1985 aoa ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ 55~~~~ .5*, 5 5 5, f ~~o2 -,?\0 rz ~~~o' 41 ' (4g S ~~~~~~~~~~ , O~ 5 2 - , 1, *- o 2 - q n n -0 t12 9 0 9, ~ O Jasa ' , {\,, ^ ' E sag4 Repor't of the JIdnt UNOP/~ World Sak nergy Sector Manargement Assistknc, Piog ram c a . % ot<, Th:is d ft uwnt has d Iistr;hrire t1istho .t tonten,ts ma'i net tie discloesed wvithout '2h*r; aw s mi .h 0..Pn ie t Bhz U P {rs e AVz x ank. 2 o 0 - 5~Q) A .5 5 - . . 5. ENERGY S4CTOR.AN4AGEhENt A$SISTANCE PROGRAM o ~~~~~~~~0 ....... o 0 .........................g The Joint UNDP/WorIt Bank Energy Sector X4anagement Assistance ( Program' (ESMAP), started in Aprilk-1983, agsist4 cout'tries in implementing n' ehe main invest-ent -and policy recommendations of^ the Energy Sector Asz -AesaSent Reports produced uider0 ano0ther-, Jolilt UNSP/World Bank Prfgram.' ESMAP provides staff and consultats assistance ilf rmulating a and *ustifying priority pre-investment "and investment projects. and iLt providing manadement, institutional.. and policy suppq;t. The ,reports r duqed, 'unler this Program provide governmenCs, 4onors amd potential : investdrs with the iafo&1atifononeeded tz speed up,project p'aRaration dnd impiementation. ESMAP activftites can be classifiae broa Y in;o three groupss .,: .a tree Energy Assessmnent Status Reports: these evaluate achieve- 0 o > <-'ments it the year following oissuance Xof tWe origidal assessment report and point out where urgent action is still needed 9' - Project Formulation and Justifnication: work designed to accelekate the, orepaartibn and implementation of.. investInrV -o ; -roject3; Snn . - A n ' . Ins4titutional and PoLicy Support: this work also frequentI v U . O o ~~~~lerds to the id4n'tif tcsition Oof techntical assi.stance packages. -/ The Progkim aims to gupplement, advaer and strennthen the impact of bilateral. and .uL;iIateral resourc0es already available for technical assistance in the _enxirgy sector. . - > < vn ~~~~Fundlpa of the & ogram .0o. e Th e Pogram is a mai6r iaternat&onal effort and, while -the core- fifiance thas been provided by the UNDP and the WorLd gank,i mportaot 0financial oontri*tions to the 2rogr4m have also been inade bysa number of bilatera-J, agencies. > CounFroes whiqh-have 'now xmade or ptedged initial. dontributions CQ che programs through 3he UNDP,Energy'Acco,3nt, or through other cost-snarrig -arrangements .ith tNDP are the .(echerianda, Sweden, Australia, Switzerland, Finlapi, United Kingdom; 9enmark, No-rway, and New Zealand. 4 ,' ,, - ~~ ~~~D ov0 0o. '" ' ' '* 4 Further ;afotmation Foe furchei information oW rhe.TProgtam or.to obtain copies"of comPleted'tSKAP .-norcs, vhich are listed at :the end of tis document, plMse contact: - v Division for Global add OR Energy Assessments Division ' ° n Iterregional Projects * Enqrgy-Department United Mations Devilopment World:Bank - - Program 1818 H Street, N.W. . , One United Nations'Plaza o *oashington, D.C.' 20433 o °- ew York, N.Y.o10Q17 0' "^ '8/ ETHIOPIA POWER SYSTEM EPPICIENCY STUDY OCTOBER 1985 TABLE Of COUTUTS Characteristics of the Power 2yuteu..................... 2 ion Programs.....................6040040........@@@ 3 Justification of tbe Action Programs .................... 5 Investment Program Priorities........................... 6 II. ORGAIIZATION OF THE POWER SECTOR . ................. ... 10 Genecal @*@*.*.*. 6***G*6***4000*040.6O 00.46............ ........ 10 Power System Characteristics............................ 10 I-I. BACXGROUND AND METHODS OF ANALYSIS ........................ 12 IV. OVERALL OPERATIOWS AND COMMON SUPPORT SYSTEMS.............. 13 CGeneral ................................... .................... 13 Power System Operation and Dispath ..................... 14 Data Analysis and System Pl&nnings....................... 15 Distribution Systems . ............................. 16 Support Systems...............oe..............*06....... 19 Billing System. ....... 21 V. EELPA Iyte............. ....................... .... 22 Power System Characteristics ............................. 22 Energy Losses............ ................ 22 Main Findings and Recomm_ndations ....................... 23 Generation .................................................... 23 Awash II and Awash III 8tations....................... 25 Pinchaa ............................................. 26 Transmission ...... 4............................................. 28 Dsrbeo ......................................................... 29 VI* SELPA S8.............................. 30 Power System Characteristics ......................06s04 30 Energy Losses................... .............. .......... 30 Main Findings and Rcommendations......................... 31 Generation ..4.6.0........ .....................*..... ....... 31. Tis Abbay 8tto ...........................31 Mini-Hydro Stations................ ............... 34 DieseL Stations... 34 VIle EtRE"Is............................... 37 Power System Characteristics......... .........*....... 37 Energy Loss e ....... .... . . 38 Main Findings and Recommendations....................... 39 Generation ....... *. ~~~~~39 Distribution .....oo.....*..o.oooo...o.....o..o.eo.......o..e... 4 VIII. EBESA SCs ....................................................... 46 IX. IMPLEMENTATION LOCISTICS ...... ...... ........... ...*... .... 47 TABLES 1.1: Main Characteristics of Ethiopia's Power Systems............ 3 1.2: Summary of Costs and Annual Savings of Action Progras7............................ ....... 7 1.3: Sumary of Action Program Costs for Services, Expanses and Equipment ........... 9 2.1: Estimated System ......... ................................. 11 5.1: Estimated Energy Losset ................................*... 23 5.2: Summary of Plant Impro-ement Costs and Benefits ............. 27 6.1: Breakdown of Energy Us. in SCS Branches for 1982 ............ 30 6.2: EULPA SCS Generating Capacity............................... 33 6*.3: Proposed Tis Abbay Plant Rehabilitation ..................... 34 6.4: Comparison of RAcorded Fuel Consuomption with Results of Efficiency T3st..............................e.. ....... 35 6.5: Summary of Plant Improvement Costis and Benefits for SCS Diesel Plants......... .................... ............ 36 7.1: Generating Capacity of ERESAICS............................ 37 7.2: Breakdown of Energy Use in ERESA ICS for 1983............... 38 7.3: Trends in Peak Load, Gross Generation, Number of Customers, Sales, ard Losses.............................. 39 7.4: Summary of Plant Imrrovement Costs and Benefits............. 45 AMS 1. Factors to Use in Evaluating Improvements in Power Stations, Transmission, and Distribution............................ 48 2. Terms of Reference of Distribution and Transmission Planning and Loss Reduction Activities ..........o......... 51 3. Terms of Reference for Improvement of General Support Serviceso...... ........ .. .... ......... 61 4. Terms of Reference for Improvements in the Efficiency of Diesel Plants loan....oo.o.ooo.o..o.o.oes.ooo.... o....o..o. 70 5. Terms of Reference for Rehabilitation of ESREA ICS Generating PsR nce for Rehabilitationofo 0la nts.....00 71 6. Terms of Reference for Rehabilitation of Hydro Plantsoseo 81 I. W SUARY Introduction 1.1 This report presents the main findings and recommendations arising from a review of the technical and operational efficiency of the Ethiopia Electric Light and Power Authority (SELPA). 1/ The main objective of the review is to identify specific measures which, when implemented, would reduce transmission and distribution system losses to economic levels and improve the efficiency, capacity and availability of generating plants. To facilitate financing and implementation, the measures are packaged as five action programs which will be described later. 1.2 Developments in Ethiopia subsequent to the mission's work indi- cate that the load growth will be lower than expected. Also, generation capacity larger than, required is being added in the interconnected system serving Addis Ababa. The combined effect of these changes is to reduce the anticipated value of capacity and, to a lesser extent, energy savings at the hydroelectric plants. The mission therefore proposes a more modest efficiency improvement program consisting only of projects for which clear benefits still exist, which are necessary to improve EELPA's organization and technical skills, and which are required to prevent anticipated breiakdowns, at the existing generating plants. The remaining projects are cited and should be reviewed periodically to reassess their economic viability as the generation/load balance changes. 2/ 1.3 The total cost of the action programs which are immediately justified is estimated at US$15.9 million. The first phase, lasting about one year and consisting mainly of institutional strengthening and preparatory work for physical improvements, wiil cost about US$3.5 mil- lion. The second phase, which will require about three years for com- pletion and will consist mainly of physical impruvements, is estimated to cost US$12.4 million. If the programs are fully implemented, the annual savings (which have been quantified) based on the marginal cost of energy and capacity are estimated at about US$5.8 million. In addition, significant benefits should accrue as a resuit of improvements in EELPA's operating and organizational efficiency. 1/ The re,view was done by a mission comprised of Messrs. David Hughart (Ecor.omist), Alfred Gulstone (Power Engineer), and Alfred Banks (Geueration Specialist, Consultant), which visi:ed Ethiopia in April 1984. 2/ Most of the deferred projects are in the intercornected hydro- electric system serving Addis Ababa and its environs. Improvements in the oil-fired systems in the North and the isolated diesel systems are still justified. -2- 1.4 The transmission and distribution losses in the hydroelectric- powered interconnected system are not excessive (11.5Z of net generation) but lower levels may be economically justified. 3/ Of more importance is a deterioration of reliability caused mainly by an overloaded and inade- quately designed distribution system and the absence of an adequate man- agement response to remedy the problem. 1.5 Losses in the thermal systems are much higher and more costly since imported oil is used. However, the relative size of these systems should he taken into account when allocating investment priorities. Characteristics of the Power System 1.6 Electricity is generated and distributed in Ethiopia by the Ethiopia Electric Light and Power Authority (EELPA), a parastatal company within the Ministry of Mines and Energy. This report describes four power systems, comprising two grids and two geographical groupings of small, isolated systems: (a) a hydroelectric system (EELPA ICS), with a peak of about 102 MW serving Addis Ababa and the other major towns in the administrative region of Shoa as we?' as main towns in the administrative regions of Harrarghe, Arsi, Sidamo, Wollo, Gamu Goffa and Bale; 4/ (b) a group of 39 small isolated diesel power systems 5/ (EELPA SCS) with a combined peak of about 25 MW serving small towns in the central and southern regions of the country; (c) a thermal system 6/ (ERESA ICS), with a peak of about 19 MW, serving Asmara and surrounding towns in the northern region of the country; and (d) a group of small isolated diesel power systems (ERESA SCS) serving small towns in the notthern region. 3/ Four discrete systems are described in this report: the hydro- electric-powered interconnected system (102 MW); a thermal inter- connected system (19 MW); and two groups of isolated, diesel-powered systems. 4/ Ethiopia has 14 administrative regions. 5/ One of these systems is hydroelectric-powered and seven others have mini-hydro plants to augment the diesel generation. 6/ Steam and diesel plants. -3- The main characteristics of the power systems are summarized in Table 1.1. Table 1.1: MAIN CHARACTERISTICS OF EThIOPIA'S POWER SYSTEMS (Fiscal Year 1982) EELPA EELPA ERESA ERESA ICS SCS ECS SCS Gross Generation (GWh) 541.0 115.1 101.1 - Station Service (GWh) 3.2 3.5 1.8 - Station Service (% of gross generation) 0.6 3.0 1.8 - Net Generation (GWh) 537.8 112.1 99.3 - sles (GWh) 485.0 88.0 85.9 09 Losses (GWMh) 52.8 24.1 13.5 - Losses (% of net generation) 9.8 21.5 13.6 - Number of customers 185,000 - 44,000 - Peak Load (MN) 102 - 19 - Installed Capacity (MN) 213 34 52 - Load Factor (M) 60 - 61 - Type of generation 10 1OO14 77%D.23%H 70OD,30%S 1OOD Frequency (Hz) 50 50 50 c/ S0 Transmission Voltages (kY) 230,132 - 50 - Subtransmission Voltages (kV) 66,45 - - - Primary Distribution Voltage (kV) 1S 15 3.2,5.5,15 15 Soecondary Oistribution Voltage (volts) 415/240 415/240 220/127 220/127 a/ The losses for 1982 are distorted by adjustments of the sales figures: 11.5%, the average over four years, is more realistic. b/ H a Hydra, 0 - Diesel, S * Steam. cl There is a small 60 Hz distribution system at a silitary base. Action Programs 1.7 EELPA appears to be a utility which was well run but is now deteriorating, mainly due to a shortage of experienced professional staff, an organizational structure which does not utilize the availaL'.e manpower resource effectively, and a shortage of foreign exchange to purchase the spare parts and services required to maintain the system. Individual staff members at all leveLs appear competent, honest and dedicated but the few engineers on staff are kept too busy with day-to- day operations to perform any planning function. These problems result in a failure of the utility to analyze system data, produce meaningful -4- management reports and plan future operations effectively. As a result, the action programs emphasize measures which will strengthen the organ;ation and provide the training which will help the utility to recover. 1.8 To ensure the success of each action program, all of its com- ponent measurcs should be fully implemented and coordinated within the program. Partial implementation is likely to be ineffective and wasteful of resources. The five programs are: (a) improvement of the analysis and planning capability leading to specific loss reduction activities; (b) improvement of general support services; (c) improvement of the operation and maintenance of isolated diesel plants (SELPA SCS); (d) rehabilitation of plants in the ERESA ICS; and (e) rehabilitation of some hydroelectric plants. 1.9 The program to improve EELPA's analysis and planning capa- bilities will be implemented in two phases. Phase I consists of (a) technical assistance to reorganize end train the planning staff; (b) assisting the planning staff to prepare a least-cost transmission plan; (c) assisting the planning staff to prepare distribution standards, a distribution expansicr. plan and loss studies in order to defima specific improvements; and (d) assisting the planning staff in studying the protective system (fuse and relay coordination) and in preparing specific projects to improve the reliability of the distribution system. 1.10 The cost of Phase I of this activity is estimated at US$968,000. It is expected to generate additional projects consisting of specific loss reduction measures. The benefits have not been quantified, but include a more orderly and thus less expensive expansion of the power systems, and, most important, improved reliability. 1.11 The program to improve general support services includes (a) upgrading the vehicle fleet and improving its maintenance; (b) re- organizing and training distribution line crews; and (c) investigating the feasibility of producing concrete poles to supplement the wood poles used at present. The first phase of this program will consist of identifying the equipment, tools and vehicles required by distribution crews, assessing the need for vehicles and spare parts and studying the feasibility of producing concrete poles. These three activities are closely interrelated. The cost of the Phase I activities is US$372,000. The benefits have not been quantified but trained, well equipped distribution crews are required to implement any loss reduction work. Also, wood poles are in short supply. The mission estimates that Phase II will consist of investments totalling about US$7.1 million, consisting of about US$4.0 million in vehicles, tools, equipment and training, US$2.0 million to establish concrete polc plants if the use of concrete poles is shown to be feasible, and US$1.1 million in distri- bution training and equipment. 1.12 The program to improve the maintenance and operation of isolated diesel plants is directed at improving the extremely poor fuel consumption figures, improving availability and recovering capacity, especially by improving engine cooling systems. The cost of the program is estimated at US$1.6 million for the 39 EELPA SCS plants. Once the program is implemented, direct annual savings are expected to be in excess of US$0.7 million. 1.13 The program to rehabilitate plants in the ERESA systems will produce significant benefits since they are thermal systems. The program consists of improvements to the diesel plants at the Cherar, Belesa, Kagnew and Gaggiret stations. In addition, it includes the rehab- ilitation of the water treatment plant serving the two small steam units at Belesa. Another study, performed at the same time as this one, concluded that, based on economic analysis, the Belesa steam plant should be shut down. The mission believes that the present shortage of capital will preclude the purchase of replacement diesel plant and therefore has attached a high priority to rehabilitation of the water treatment plant. 7/ 1.14 The total cost of these activities is estimated at US$3.1 mil- lion. Direct annual savings are estimated to be in excess of US$2.4 mil- lion. 1.15 The program to rehabilitate some hydroelectric plants is somewhat more modest than was previously envisaged. As a result of revised estimates of LRMC, it now includes only essential work, without which the integrity of the existing system is threatened. The work con- sists of repairs to the intake at the Koka plant, treatment of the floating islands (vegetation) at the Finchaa reservoir and repairs to electromechanical parts in all the major hydropower plants. The estimated cost is US$2.8 million. Justification of the Action Programs 1.16 The costs and estimated annual savings of the action programs which are immediately justified are shown in Table 1.2. The costs of the 71 The study entitled "ERESA Power Supply Options" by Gerhard Hermann (Consultant) compared che feasibility of interconnecting the ERESA ICS system with the EELPA ICS with various scenarios for expanding the ERESA system without the interconnection. -6- action programs are separated into their components (professional ser- vices, travel, etc.) in Table 1.3. Most of the proposed projects are divided into two phases. Phase I, which includes detailed study and specification, and Phase II consisting of implementation. In some cases, it was possible to estimate the cost ot the entire project but in others the required work in Phase II cannot be defined until Phase I is com- pleted. For these cases, an order of magnitude estimate is provided. 1.17 Capacity savings are valued at the long run marginal cost of capacity while energy savings are valued at the marginal cost of energy. Savings arising from improvements in system operations are valued as the difference in the economic value of fuels being substituted or the eco- nomic value of fuel being saved through increased efficiency. Investment Program Priorities 1.18 The set of programs recommended will be a major undertaking for ELLPA. Effective implementation of the programs will cause significant changes in the management and opexational practices of the utility. Since the simultaneous implementation of all programs is likely to strain the managerial resources of EELPA and since there may be a limited amount of financing available, it is important to set priorities for the implementation schedule. 1.19 The programs deserving the highest priorities include the improvement of the analysis and planning capability of the utility, improvement of the general support services and the rehabilitation of some hydroelectric plants in EELPA ICS. The first is urgently required to enable the utility to manage its development, the second is required to enable it to function on a day-to-day basis, and the third to avert possible serious damage at some of the plants. -7- Table 1.2: SlIWARY OF COSTS AND ANNUAL SAVINGS Of ACTION PRORAMS (USS 1000) a/ Annual Cost Savings Remarks (a) improvemwnt of Analysis and Planning Capability (i) Rgoanize and train planning 465 Ng b/ 27 man-mnths of engineering staff and data processing services along with a minicomputer, software and referonce mate- rial. (11) Distribution planning study 255 NO 18 man-months of engineering service. Study is expected to yield significant loss reduc- tion opportun.tles. (iII) Protective relay and fuse 176 NO 12 man-months of engineering coordination study services. Study is required to reduce the extent and duration of outages. It will Improve the quality of service considerably. (Iv) Transmission planning study 72 NO 4 man-months of engineering services. this planning study is required to ensure that transmission additions are mide .at the correct voltage level and at the correct time to minimize system expansion cost. Subtotal 98 (b) Improvement of GeneraI Support Serv"Ics (I) Upgrading of vehicle fleet and 4,268 NO 27 man-months of consulting improvement of Its maintenance services. The emphasis here is on standardizing the transport fleet to reduce spare part inventory and to establish maintenance management. (1i) Reorganization and training for 1,140 No This is required to ensure distribution department that the Distribution Departmnent has the capacity to implement the loss reduction activities. Emphasis will be on on-the-Job training. (Iii) Study of the feasibility of 2,032 NQ Wood poles of the correct producing concrete poles size and quality are in short supply. Local l y made concrete poles may be an lIternative. Subtotal 1.440 Table 1,2 continued: Annual Cost Savings Remarks (c) Improvement of Operatlon and IAS60 660 Spare parts, fuel oil Maintenance of Isolated meters, efficiency program. fOesel Plants (d) Rehabilitatlon of Plants In ERESA ICS (1) Gherar 407 483 Spare parts, cooling system rehabilitation, fuel flow meters, (11) Gaggiret 608 312 Spare parts, fuel oil meters, (Ill) Kagnew 1,374 1,353 Spare parts, recovery of lost capacity, fuel oil meters, (Iv) Belesa Diesel 195 110 Fuel oil centrifuges, flow meters, upgraded exhaust valves, (v) Belese Steum 520 141 Rehabilitation of water treatment plant, acid cleaning of boiler. Subtotal 3,104 2.3g9 (e) Ronabilitation of Soe Hydroelectric Plants (!) Tis Abbay 1,262 605 Redesign lubricating system and raise the diversion weir. iIt) Koka (Awash 1) 776 499 Repair trash removal system, Improve generator coo I ng. (111) Finchaa 835 1,615 Replace governors, apply protective paint for penstock, remove grass from reservoir. Subtotal 2,973 2,t19 TOTAL 15,945 5,78 a/ Costs are In 1984 USS. b/ Not quanitifled. . Table I.Ss 9UISIA OF ACTICOI P0t0A COSTS FMO SERFVICES, EIPEUSES AID ECUIPSE (USS '0001) S oase I Pba" 2 Protessioatl Trveol en 5uln an" ToreS Pofasstaml Telooend ftlw t en TO" l Strvice Suhelatco Soft", Phase I Sorvi os Sublste2arofo 5ety Pae 2 Total (e) luproweant of Analyst* end Plaonlna Cap ity 537 S28 83 9g - - - -68 Reorpalse and trnS. pleantIng staff 247 t S5 U 465 - - 463 Olestrhtlon pleanlag study 165 90 -- 25 5 -5 Prtoetl etve laye fute coodInatIon stuid7 It o - 176 -- - - 176 Tnsallssbon leanlag study 35 -2 - n - - 2 to) lrovemot of Banai Support Selylcas 230 142 312 5$7 481 6,070 7,040 7,440 upg4ilng ot abict. fleet and Sapnwient of Its eolntaornca 54 99 - 255 53 5.905 4,015 4.268 Rsogpalteiocn ead tnlalag for dIstributwI dwertment is 29 87 440 448 163 1.053 1.140 0 Study of fasilbllltv of produclng concrete DOIes t 14 - 32 - - 2,00 2.000 2,032 I Ic) lepre_arnt of Osanmtme a" Iiletanc of Isolated oieseol Plants 15 40 1,570 6,560 - -- - 1, 60 (di RPaliltatlos of Plents ta ERESA ICS - - 311 - - 2,71 3,StO4 Q&oinr -- - - 41 - -- - 366 407 GMt - -- -- 61 - -- - 547 we Legne -_ _ 137 - - 1,237 1,374 Bales Otesel - --- 20 - - 175 195 belo"e Stem -- -- -- 52 - - - 46 520 tel RihaboSltetlea of S Ifydrcnlectrlc Plants - - -- 280 - - 2,593 2.873 rIs Aby -- - 126 - - 1,156 1.262 o Aatash 1 - - 70 - - -6 176 flcea- - - 84 - - 7t 835 107*8. 3.491 12,454 t5,945 uosts em to 1984 USS. - 10 - II. ORGANIZATION OF THE POWER SECTOR General 2.1 This section of the report reviews the organization of Ethiopia's power sector and the main characteristics of its power sys- tems. 2.2 Electricity is generated in Ethiopia under the authority of the Ethiopia Electric Light and Power Authority (EELPA), formed in 1956 as an autonomous authority under the overall direction of a board of directors. At present it is a parastatal company within the Ministry of Mines and Energy. While EELPA maintains overall responsibility throughout the country for public power generation, transmission and distribution, the supply of power to the northern region, including the major centers of Asmara and Massawa, is provided by its unconsolidated subsidiary, the Eritrea Region Electricity Supply Agency (ERESA). The reason for this arrangement is to facilitate discrete accounting as ERESA consumers are heavily subsidized. 8/ 2.3 The country is served by two main interconnected power systems (ICS) and two groups of small, self-contained power systems (SCS) whose characteristics and requirements are significantly different. Power System Characteristics 2.4 The four power system groups operated by EELPA are: (a) a hydroelectric system (EELPA ICS), with a peak of about 105 KW, serving Addis Ababa and the surrounding major towns; (b) a group of 39 small isolated diesel power systems (EELPA SCS), with a combined peak of about 25 MW, serving small towns in the central and southern regions of the country; 9/ 8/ EELPA has uniform tariff structures in the main EELPA ICS and EELPA SCS systems. The domestic rates are the same in both systems. Rates for other tariff categories are slightly higher for the EELPA SCS but the EELPA ICS subsidizes the EELPA SCS. ERESA has slightly different structures and different rates for both its ICS and SCS systems. Because of low rates, the Government subsidizes ERESA's operations and expansion. 9/ One of these systems is hydroelectric-powered and seven others have mini-hydro plants to augment the diesel generation. - 11 - (c) a thermal system (ERESA ICS), with a peak of about 19 M4W, serving Asmara and surrounding towns in the northern region of the country; 10/ and (d) a group of small, isolated, diesel-powered systems (ERESA SCS) serving small towns in the northern region. 2.5 In the remainder of this report, references to EELPA imply the authority as a whole. The separate systems are referred to as EELPA ICS, ERESA ICS, eec. Table 2.1 shows the estimated energy and peak los.ses on the power systems. rable 2.1: ESTIMATEO SYSTEM LOSSES Peak System Losses Losses Losses a/ (i of net gen.) (GWh) (kW) EELPA ICS 11.5 62 18,000 EELPA SCS 21.5 24 7,000 EiESA ICS 13.5 14 4,000 ERESA SCS 15-24 - - a/ Peak losses are derived from energy losses using a loss factor of 0.39 whIch Is derIved from the daily load shape. Source: EELPA and mission estimates. 10/ This system consists of steam pLants and diesel plants. - 12 - III. BACK=OUDD AND nTDODS OF ANALYSIS 3.1 Economic lone run marginal costs (LRMC) are used to value the energy and capacity savings achieved by applying loss reduction measures. The LRMC is the present value of the economic cost of supplying an incre- mental unit of demand on the power system. It is estimated as a two-part cost: an incremental capacity related cost and an incremental energy- related cost. 3.2 Energy and capacity value factors for the four power system ';roups are derived in Annex 1. Those for the EELPA ICS depend upon the commissioning time of the loss reduction measures, and reflect the uncer- tainty in the load forecast and generation expansion program for the system. 3.3 Throughout thir exercise, we assume that the present demand forecast is to be satistied and that the current expansion plan is the ieast-cost solution to satisfy the demand forecast. Thus, loss reduction activities identified by the mission reflect marginal savings in the con- text of a least-cost expansion solution. 3.4 All costs are in early 1984 constant currency. A shadow exchange rate of 2.73 Birr a US$1.00 reflects the scarcity of foreign exchange. Unskilled labor is valued at one half the rates paid by EELPA. rn cases where alternative methods of loss reduction are avail- able, the method with the highest net economic benefit is chosen. If a single loss reduction method is available, the equalizing iiscount rate or payback period of the project is used to decide whether or not it should be recommended. - 13 - IV. OVERALL OP8RhONS AND COMM SUPPORT SYSTMIS General 4.1 This section of the report reviews EELPA's overall operations and common support systems, and presents recommendations for their improvement. 4.2 Although individual members of the professional and technical staff at EELPA appear to be competent and highly motivated, the utility is not functioning efficiently. This inefficiency is characterized by the failure to analyze system data, the absence of management reports that would enable quick identification of any developing problems, and the lack of planning. It is noteworthy that an annual stotistical report combining financial and technical data was produced until financial year 1978-79 but has since been discontinued.- 4.3 The mission believes that the problems identified above are caused, in part, by the following: (a) a shortage of professional staff, especially engineers, causing the existing staff to be overloaded and to be confined to solving urgent, day-to-day problems. The reason for the shortage appears to-be the relatively low salaries and the lack of facilities for professional development; (b) a problem in the structure of the organization. The duties of some members of staff seem to be poorly defined; (c) meticulous data c:llection by various departments but apparently no person or department responsible for analyzing the data and interpreting them for use by management; and (d) a shortage of technical journals, magazines and reference books required to inform the staff of current developments in technology, apparently because of the shortage of foreign exchange. 4.4 The lack of analysis and planning of the distribution systems already has created serious problems. Distribution feeders in the Addis Ababa area are now loaded to the point that it is difficult to off load a feeder onto adjacent feeders for emergency or planned maintenance. One result is outages that affect more customers than normally would be necessary. A more tangible result has been the explosion of a 15 kV minimum oil breaker at the Kalite substation, which was not maintained because of reluctance to interrupt the supply. - 14 - 4.5 The organizational deficiencies and the the need for training and manpower development are discussed in a recent ILO report. 11/ The main reco_uendations of the ILO mission are that EELPA: (a) establish an integrated training system; (b) execuite a management systems audit; and (c) study the training needs in data processing. 4.6 EM&LPA should immediately take steps to correct the organiza- tional problems and to create a working environment that will attract new graduate engineers.. Power System 0peration and Dispatch 4.7 The efficiency of all the.pover systems could be improved by paying closer attention to the operation and dispatch of plants. Two levels of awareness are required: (a) At the system control level, a merit order linked to the cost of operating each plant (including the cost of transmission losses) should be established. The merit order should then be used to dispatch the available plants to the load. (b) At the individual unit level, especially in the case of the- steam plant at Belesa, operators should be aware of the con- sequences of their actions on unit efficiency. farticular attention should be paid to maintaining the correct vacuum, steam temperature and pressure, excess air ratios, etc. 4.8 The benefits of improving the dispatch of plants are especially high in the self contained systems (SCS) which rely on thermal generation. The mission found that operators at the branches 12/ routinely run two or three engines to meet a load that could be taken by one engine because they are concerned about the possibility of sudden load increases. This type of operation contributes to the very poor fuel efficiency recorded for these plants. A 5X improvement in fuel efficiency, which is easily attainable, is worth in excess of US$230,000 per year in fuel savings. This problem and proposals for its solution are discussed in more detail in Chapter VI. 11/ Ethiopia: Assessment of Manpower and Training Requirements in the Electric Power Sector, August 1984. 12/ The isolated, self-contained generating systems are called branches. - 15 - 4.9 The control of voltage and frequency needs improvement. In the SCS this could be achieved by operator training. In both the SELPA ICS and EDZSA ICS, standard crystal-driven clocks, coupled with frequency- driven clocks, should be installed at the station, acting as the control center to enable the correction of frequency drifts. This will become more important as the use of sophisticated computer and communication equipment increases. The mission found that voltage control in the ICS was good except that at the Gafarsa substation an automatic tapch-';er was inoperative, causing significant voltage swings with load. Thc p- changer should be repaired. Data Analysis and System Planning 4.10 The most notable deficiencies found in the EELPA operation were the lack of data analysis and the absence of routine system planning. There is an urgent need for an entity with the authority to analyze both engineering and finan.ial data and to produce regular reports for the use of management. The system planning section, at present, commissions and collects studies by consultants but does not appear to fit these into an overall least-cost development plan or to do short-term planning. 4.11 The mission proposes that the system planning department be reorganized and given the requisite training and computer facilities to correct the above deficiencies. The existing statistical section would be incorporated in the proposed reorganizeid planning group. 4.12 The duties of the analysis and planning group would include: (a) analysis of generation data to determine the operating efficiency, operating cost, maintenance cost, station service usage and thus the merit order of each generating unit; (b) analysis of transmission and distribution energy flows to determine the magnitude and sources of losses; (c) analysis of line loadings to determine the need for reinforce- ment or new feeders; (d) analysis of line loadings, customer billing data, and customer service applications to prepare area load forecasts for use in distribution and transmission planning; (e) overall system load forecasting; (f) transformer load management; (g) preparation of monthly and annual summary reports showing trends of efficiency and cost; - 16 - (h) preparation of estimates for line extensions; (i) analysis of customer requirements; (j) preparation and maintenance of long-term, least-cost generation and transmission plans; (v) preparation of distribution system standards and proce. ares; (t) analysis of outages to determine causes and methods of improving service; and (m) preparation and monitoring of settings for protective relays and fuses. 4.13 It would be necessary to establish clear lines of communication with the various departments providing monthly data, and to define the reporting requirements of the planning department. The mission estimates that the services of two engineers would be required for one year to work with EELPA staff to establish the new planning department. The responsi- bilities of the engineers should include coordinating the various loss reduction projects. The new planning department should be provided with a minicomputer and software to perform engineering analyses, and should have access to the Authority's main computer. The services of a data processing consultant would be required for about three months to establish the required computing facilities. 4.14 The estimated cost of the technical assistance described above is US$465,000. Terms of Reference for these services are provided in Annex 2. 4.15 The economic benefits of the above work are spread over many aspects of the Authority's operation. As an example of the value of improved analysis, a 12 MW boiler was recently connected to the system at 15 kV. If this extension had been property analyzed, with losses as one of the criteria, the boiler would have been connected at 45 kV with a lifetime net economic benefit of US$670,000. Distribution Systems 4.16 The distribution systemb share the following problems: (a) a lack of systematic distribution planning; (b) construction standards are not based on loss reduction criteria; (c) distribution feeders are not adequately fused, and fuse relay coordination is faulty; - 17 - (d) work methods for line construction and maintenance are outdated; dn (e) there is a shortage of good quality wood poles. The following technical assistance is required to deal with the problems outlined above: (a) A distribution planning study. This would specify the conductor size, voltage level and type of construction for future feeders. The study should use economic loss levels and economic reliability levels as planning criteria. It should have a horizon of 20 years and should be detailed for the first five years. The study should include the following major elements: - analysis of the existing feeders to determine economic loss reduction measures that may be applied immediately; - forecasting of area loads; - determination of economic distribution voltage levels and conductor sizes; - comparison of the economics of using single-phase trans- formers and single-phase secondary distribution (where three phase is not required) with the present use of three-phase secondary distribution; 13/ and - a plan for the future requirements of distribution substations and distribution feeders. The output of the study should include: - a year-by-year description of specific substation construc- tion requirements, line extensions and line modifications, including costs and implementation pLans; and - a comprehensive set of distribution construction standards and equipment specifications. The cost of the study, which should be completed in about six months, is estimated to be US$255,000. Terms of Reference are included in Annex 2. 13/ An example of the successful use of single-phase secondary distribu- tion is the South Korean system. *- 18 - (b) A protective relay and fuse coordination study. This study should emphasize the fusing of spur lines and the use of auto- reclosers to reduce the extent and duration of outages caused by line faults. It should also specify appropriately rated cutouts to replace the existing inefficient method of trans- former fusing, which utilizes an isolator in series with a liquid or HRC fuse. The output of the study should include: - a listing of the fault levels at various points of the dis- tribution systems; - guidelines for the application of fuses (size, type and interrupting capacity); - relay setting letters for each substation; and - coordination curves. The study should be completed in six months and is estimated to cost US$176,000. Terms of Reference are included in Annex 2. (c) The production of concrete poles. There is a shortage of good quality, locally-grown wood poles, but there appears to be an over-capacity of cement production in the country. The first phase of the exercise would be to determine the feasibility of establishing plants to produce concrete poles. If this is feasible, the second phase would be to procure the necessary equipment and start production. The feasibility study should consider: - a forecast of the requirement for poles at least 20 years into the future; - the logistics of producing and distributing concrete poles; and - alternative supplies of poles, e.g., local wood, imported wood, imported concrete and imported steel. The mission estimates that the first phase of this project, the feasibility study, would cost US$32,000, and it could be com- pleted in two months. The cost of three concrete pole plants and the associated transport fleet is estimated at US$2.0 million. 141 Terms of Reference for the feasibility study are included in Annex 3. 14/ This is a rough, "order of magnitude" estimate and is provided only to indicate the approximate cost of the overall project to interested financing agencies. - 19 - (d) Reorganization and Training for the Distribution Department. New line construction and maintenance methods are required to enable the Distribution Department to cope with the reconstruc- tion and expansion work required to reduce losses and expand the system. The extent of this technical assistance package would be determined by the year-by-year construction program and the construction standards defined by the distribution planning study. The main tasks would be to: - restructure the organization of the Distribution Department; - determine, specify and assist in procuring the required tools and equipment; - train the line crews locally, using instructors from overseas; and - train potential supervisors overseas. The mission estimates that the cost of the required techni- cal assistance (excluding the cost of special tools and vehi- cles) 15/ would be US$1.4 million. The project could be completed in two years. Terms of Reference are included in Annex 3. Support Systems 4.17 The mission briefly reviewed the operation of four major sup- port systems: (a) the distribution workshops (transforme: repairs, etc.); (b) the communications workshops; (c) the meter test and repair labs; and (d) the motor vehicle dispatch and repair facilities (EELPA's fleet consists of about 500 vehicles). 4.18 The first three facilities were clean and the staff appeared knowledgeable and highly motivated. The meter test lab, in particular, is well laid out and appears to function very efficiently. No major changes are required in these areas. 15/ The cost of vehicles and special toois would be included in a transport package discussed later in this report. - 20 - 4.19 Although the motor vehicle maintenance workshops are neat and the staff appear to be making the best of the available materials, the fleet is in poor condition and this is inhibiting the smooth and efficient operation of the utility. The mission believes that the main reasons for the poor performance of the fleet are: (a) too many different makes and models of vehicles, requiring the stocking of too many spare parts; (b) many vehicles are past normal retirement age and are expensive to maintain; (c) spare parts are in short supply mainly because of the country's shortage of foreign exchange; and (d) inadequate management of the fleet. 4.20 The fleet manager does not receive regular reports on the oper- ating and maintenance cost of each vehicle. The operating cost is kept by one department and the maintenance cost by another, and the numbers are seldom combined and analyzed. 16/ 4.21 The mission recommends that a public utility, which operates a large fleet efficiently, should be contracted to provide the necessary technical assistance. The exercise should consist of two phases. First, the utility should be contracted to: (a) Determine KELPA's total vehicle requirements for the next year. 17/ (b) Determine which vehicles of the existing fleet should be disposed of, based on an economic analysis. (c) Prepare specification and bid documents for the required vehicles from a single manufacturer. The specifications should 16/ The lack of coordination between fleet dispatch and fleet main- tenance also shows up in the fact that new vehicles are often put on the road and used without the knowledge of the maintenance depart- ment. The first time it sees the vehicle is when it breaks down and requires repair. 17/ This should include auy special mechanical or hydraulic tools identified during the work to reorganize and train the distribution department. - 21 - include a large quantity of spare parts with the new fleet (e.g. five years of spare parts). 18/ (d) Design and implement computerized fleet dispatch and main- tenance systems, and train EELPA staff in their use. 4.22 In the second phase, the utility should assist EELPA with the evaluation of bids for the required vehicles, assist in the negotiations and supervise the integration of the new vehicles into the fleet. 4.23 The cost of the services required for Phase I is approximately US$253,000. The mission believes that the cost of Phase II would be about US$4.0 million, consisting of US$77,000 in services and the remainder in vehicles and spare parts. The exact cost would be determined after the studies in Phase I are completed. Terms of Reference for the services are included in Annex 3. Billing System 4.24 The billing system was reviewed briefly to determine if its structure and operation contributed to non-technical losses. There appeared to be two serious problems with the present billing system: (a) a large backlog of billing in the data processing department; and (b) the slow, cumbersome processing of bills in the remote branches. 4.25 The backlog of billing affects the cash flow of the utility and makes it almost impossible to determine the trend in system losses. 4.26 Bills for branches are prepared in Addis Ababa, with a turn- around time of about 45 days from meter reading to bill delivery. A system employing satellite billing computers with a periodic data trans- fer to the central billing system would be more efficient. 4.27 Both of the above problems are being studied by a consultant to EELPA in a current review of EELPA's accounting and data processing depar'ments. 19/ 18/ This does not solve the problem of spare parts but ensures that there are adequate parts for each vehicle for most of its economic life. 191 The consultant is Coopers & Lybrand Associates. - 24 - during the flooding season. In addition since large tree branches and other debris often enter the penstocks and damage the turbines, it appears that some of the trash bars are broken. The toss of capacity and energy has an annual economic value of US$362,000. 22/ The cost of replacing the trash bars with a modern trash control system, repairing the penstock shut-off valves and cleaning the penstocks is estimated at US$543,000. 5.6 The turbine runner casing rings on all three units are worn, causing water to bypass the runner. The resulting loss of capacity of each unit is 110 kW. Three replacement rings, one for each unit, would cost approximately US$59,000. The capacity and energy recovered by replacing the rings has an estimated value of US$16,000 per year. 5.7 The output of the generators could be increased by 500 kW if the cooling system is rehabilitated. The filters and some of the cooler elements should be replaced. The cost of the necessary repairs is estimated at US$24,000. The annual economic benefit would be about US$113,000. 5.8 A matter which is of major concern is the silt build-up in the Koka reservoir. The reservoir, originally designed to store 1,850 mil- lion cubic meters of water, has had its volume reduced by silt deposition to 1,500 million cubic meters. An eartier report estimates that the silt is being deposited at a rate of 25 million cubic meters per year. 5.9 The Koka dam is fitted with a deep sluice gate which has been inoperative for over 20 years. This has contributed materially to the plant's inability to control or stabilize the silt problem. The gate should be repaired or replaced. 23/ A means of fluidizing or reen- training the silt in the water should be devised to assist in sluicing the silt through the gate after it is repaired. 5.10 The installation of a new deep sluice gate and flushing the silt downstream through the gate, estimated to cost US$1.67 million, would preserve a storage volume valued at US$1.35 million per year. This figure includes the additional energy that could be generated by Awash II and Awash III downstream. However, the mission recommends deferring this activity until the electricity demand growth warrants its implementation. 22/ The estimates of the value of improvements are based on marginal costs determined at the time of the mission. These have changed in some of the systems. The recommended work is now limited to essen- tial repairs such as this case. 23/ It would be necessary to isolate the gate with a coffer dam, remove the silt over-burden and repair the mechanism. - 25 - 5.11 The mission recommends that an in-depth engineering study be made to determine alternative means of permanently stabilizing the silt deposition. This should include an assessment of the impact of the existing reforestation programs in the Koka reservoir drainage basin. Alternatives available for removing the silt should also be evaluated both for engineering feasibility and for economics. 24/ Awash II and Awash III Stations 5.12 The Awash II station consists of two 16 MW units, and the Awash III station consists of two 17.3 MW units. All of the units are of the same design. 5.13 The Awash II station, which is immediately downstream of Koka, is also affected by a silt build-up. Its forebay reservoir, originally 2.6 million cubic meters, has been reduced to 0.35 million cubic meters despite periodic low-level flushing. 5.14 There are three additional problems at the Awash II plant which have an impact on the smooth and efficient operation of this station: (a) first, the BELPA system-wide need for spare parts should be addressed and corrected. Based on discussions with the plant personnel, approximately US$150,000 in spare parts would be adequate to meet plant needs; (b) second, the generator cooling system on each unit is a once- through system with six radiators that suffer from silt deposi- tion. The cooling system should be rehabilitated by replacing the filters and some of the cooler elements. Overheating of the generator reduces capacity by about 500 kW per unit. The annual capacity value is US$76,000. The cost of the modification would be about US$16,000, The payback period would be about six months; and (c) third, one of the Awash II units requires the installation of a stabilizer, costing US$5,000, in the turbine draft tube as is installed in its sister unit. It is estimated that this would increase unit efficiency by 0.251, with an annual value of US$2,000. The payback period would be about 30 months. The stabilizer could be locally furnished. 5.15 The Awash III units are the same as Awash II except for the additional head. Spare parts can be used in Awash II and Awash III interchangeably. 24/ A study being carried out by the Water Resources Commission in Ethiopia may provide the answers to this problem. EELPA should assess the results of this study before initiating further action. - 26 - 5.16 Awash III also requires rehabilitation of the generator cooling system based on the same criteria as Awash II, although the mission recommends deferring the work on both stations until demand growth shows clear signs of recovery. Annex 6 includes the Terms of Reference and estimates for work on both stations. Finchaa Station 5.17 The Finchaa station is the largest generation plant. in Ethiopia, consisting of three 34.4 MW units. It operates in a load fol- lowing mode while the Koka and Awash stations act as base load units. The finchaa units require spare parts and suffer several operating problems. 5.18 The Finchaa turbine governors are operating with worn parts and have been a source of instability for some time. Since the governor design is now obsolete, spare parts are not readily available. 25/ Three new governors would cost US$371,000. The payback period for installing new governors to avoid one outage would be only three months. 5.19 The turbine nozzle block and deflector supports are badly cor- roded and some are broken, causing unit forced outages. Special epoxy- type paint is urgently needed to protect the penstock, turbine nozzle block and deflector supports, and the turbine casing. The paint re- quired, the preparation of the surfaces, and the application are estimated to cost US$34,000. The cost of the paint would be returned by avoiding the outage of one unit for 48 hours.. 5.20 The grass (or sedge) growth in the intake area of the Finchaa reservoir is rapidly becoming a major threat to the future availability and firm capacity status of the entire Finchaa station. 5.21 The grass is growing in a very rich silt mass which varies in depth from one-half to two meters. A barrier made up of linked floating barrels has been ineffective. The grass has now passed under the barrels and is growing toward the penstock inlet and spillway section of the dam. 5.22 The Amarti diversion, scheduled for completion by 1985, is designed to raise the reservoir level two meters. When it does, it may free the grass from its anchor along the shoreline, thus allowing it to float toward the inlet. The existing trash bar and rake device are not capable of handling this mass of material and immediate remedial steps are required, along with a long-term program to either permanently elimi- nate or control the problem. 25/ As an example of the seriousness of the problem, in 1983, Unit 2 was out of service for seven months awaiting governor spare parts. The economic value of the lost energy due to that outage is about US$1.5 million. - 27 - 5.23 The cost of physically removing the grass and silt with local labor is estimated at US$25,000. The cost of the research to determine a long-term solution is estimated at US$41,000. Both estimates assume the use of local resources. 5.24 Some spare parts are required for the switch yard, generators and transformers. The required parts are estimated to cost US$346,000. 5.25 Terms of Reference for the work on the hydroelectric plants are included in Annex 6.2 Table 5.2 summarises the costs and benefits asso- ciated with the hydroelectric plant rehabilitation activities. Table 5.2: SU4RY OF PLANtT IMPROVEMENT COSTS AND SENEFITS Station Work Element Cost Annual Savings o/ (USS) (USS) Koka Trash removal system (Awash I) rehabilitation and penstock repair and cleanout work 543,000 362,000 Turbine runner casing rings replaced 59,000 16,500 Generator cool Ing system rehabilitatIon 24,000 113,000 Deep sluice gate replace- ment 1,067,000 1,351,000 Spare parts 150,000 Miscellaneous repairs 11,500 8,000 Reservoir managiment study 45,000 - Ethiopian labor & materials 47500 - Total Awash I 1,947,000 ,850,500 (Awash 11) Generator cooling system rehabailItatlon 16,000 76,000 Turbine draft tube stabilizer and other miscellaneous repairs 5,200 - Ethiopian labor and materials 11,500 2,000 - 28 - Table 5.2 contInued: Station Work Element Cost Annual Savings a/ (USS) (USS) (Awash II Spoare parts for two plants & III) (four units) 150,000 25,000 (Awash 111) Generator cooling system rehabilitation 16,000 76,000 EthIoplan lawor & materIlss 3.800 - Total Awash II and I I 202,500 179,000 Flnchas Thre now turbine governors 371,300 1,585,000 Spare parts 345,600 (see above) Painting penstock and turbine 33,700 30,000 Rensrvoir grass problem - (se above) Ethiopian labor and materlals 84.400 - Total of Finchaa 835,000 1,615,000 Grand Total 2,830,000 3,644,500 a SWings are based on LMC derive frco the least-cost plan available at tIde of mission. Only work elements related to the safety and Integrity of the Plants we recm.nded for Immdiate implemtation. Transmission 5.26 The mission found the existing transmission system to be well constructed and maintained. liowever, there appear to be opportunities for efficiency improvement in the selection of voltage levels and power - 29 - transformer types for future extensions. 26/ Some of the existing transformers have forced-oil/forced-air cooling. Although the replacement of existing installations does not appear economic, any new installation should be carefully analyzed for losses. 5.27 The most pressing need is for a consistent, least-cost trans- mission expansion plan, especially as it relates to serving the growing load in Addis Ababa. Such a plan would follow a distribution expansion plan which would define the size and location of step-down substations. The cost of preparing a least-cost transmission plan is approximately US$72,000. Terms of Reference are included in Annex 2. Distribution 5.28 The losses in the primary distribution lines, some of which are 60 km long, are about 2.01 of net generation and in the secondary lines about 4.5Z of net generation. The major problems common to all the dis- tribution systems in Ethiopia are: (a) an inadequate protective system; (b) inadequate planning; and (e) high secondary losses. 5.29 Some reduction of losses is possible on the existing system. The mission recommends the following loss reduction projects be implemented as soon as the system reverts to a "least-cost" development: (a) The installation of 3.6 MVAR of capacitors on the 15 kV lines. The cost of the capacitors (installed) would be approximately US$29,000. The losses would be reduced by about 0.4% of net generation with a net economic benefit of US$47,000, and a payback period of 2.5 years. 27/ (b) The reconductoring of about 31 km of 15 kV tines. Losses would be reduced by about 0.6% of net generation. The cost of recon- ductoring (rebuilding in some areas) would be US$365,000. The net economic benefit would be US$278,000 and the payback period would be about four years. These are projects identified by the mission's work in the field. Further similar measures will be defined bv the analyses specified in the Terms of Reference for improving EELPA's analysis and planning capability (Annex 2). 26/ Existing losses are about 2.51 of net genevation. 27/ Savings are based on the LRMC used by the mission. - 30 - VI. K A SCS Power System Characteristics 6.1 Th. EELPA SCS comprises about 39 branches serving isolated load centres. The total installed capacity of about 34 MW consists of 26 MW of diesel plant and 8 MW of hydroelectric plant. 28/ Thts branches range in size from about 66 kW to 6 MW. Most of the branches have a small dis- tribution system with 15 kV primary and 400 V secondary. Energy Losses 6.2 The mission estimates the average system losses to be 21.51 of net generation. Table 6.1 shows how the energy generated in the SCS branches in 1982 was used. 29/ Table 6,1: SAREKDOWN OF ENERGY USE IN SCS BRANCHES FOR 1982 GWh Gross generation 115.6 Station service and utility's own use 3.5 a/ Net generation 112.1 Sales 8e.O Losses 24.1 a/ Station service and the utility's own use are assumed to be 3% of gross generation. Source: Mission estimates. 6.3 The mission believes that the bulk of the energy losses on the SCS system are non-technical, caused by inadequate Letering and poor bil- ling and accounting. It was difficult to obtain reliable figures for sales and generation. As for the technical Losses, an analysis of the 28/ Source of data: EELPA and UNDP/WorLd Bank Energy Assessment Report, 1984. 29/ Source of datas: EELPA (some of the data do not agree with published reports e.g. Coopers & Lybrand Associates: "Tariff Study and Assets Revaluation," June 1983). - 31 - high-tension distribution at Chion suggests that the losses in the high tension are less than 12 of net generation. Losses in the secondary dis- tribution system are probably higher than for the 8ELPA ICS since the secondary distribution system is extensive and employs relatively small conductors. Main Findings and Recommendations Generation 6.4 The mission visited four of the 39 self-contained systems (SCS) to obtain an overview of how these systems are operated and maintained. Table 6.2 lists the SCS branches, with their respective hydro and thermal generating capacities. The visits included the Tis Abbay Station of the all-hydro BaDar Dar System, the Shambu station (all diesel) and the Debre Birbam and Chion stations (diesel and mini-hydro). The findings and recommendations are based on these visits and on discussions with SCS local office managers and engineers. Tis Abbay Station 6.5 This station consists of two 3.8 MW run-of-river hydro units with a third identical unit under construction and scheduled for comple- tion in June, 1984. 6.6 The main bearing lubricating system on the existing units is poorly designed. The turbine shaft seal is inside a lubricating oil container serving the main bearing. The shaft seal is leaking and is replacing the oil in the container with raw river water. The output of each unit has been reduced to 2.5 MW and its reliability is questionable as a result of poor lubrication. 6.7 A new design seal and lube oil container arrangement, similar to that furnished on Unit 3, is urgently required. The cost of the modi- fication is estimated at US$742,000, and it would increase the firm capa- city of the station by 2.6 MW. The annual savings from the modification are estimated at US$300,000. The payback period would be about two years. 30/ 6.8 The level of Lake Tana, source of the Tis Abbay water, is being raised. However, the raising of the small existing diversion weir just 30/ A less permanent solution to this problem would be to enlarge the turbine cover drainage discharge pipe and replace the carbon seals frequently (at a cost of about US$50,000). This approach can be used if there is a shortage of financing to effect the solution recommended by the revision. - 32 - upstream of the inlet to the Tis Abbay canal has been excluded from the work. This weir should also be raised to maximize the benefits of the present project. The cost of the required work is estimated at US$65,000. The added annual savings accruing by raising the weir are estimated at US$29,000. The payback period is approximately three years. 6.9 The Tis Abbay spare part inventory should be brought up to requirements to improve the plant's availability. The cost of the required spare parts is estimated at US$250,000. The expenaiture is justified since the loss of one unit for 34 days has an economic value of US$200,000. Past performance shows that the lack of a vital spare part has kept a unit unavailable for up to six months. 6.10 The rock obstruction at the tail-race discharge area of the plant, which curtails outputs during the high river flow season, should be removed. The cost of removing this obstruction is estimated at US$90,000. The mission estimates that this will reduce the tail-race water level by five feet, thus increasing unit efficiency by 3.2% or increasing the plant output by 237 kI. The annual savings from the improvement is estimated at US$76,000, based on a three-month annual energy generating period for the increased capacity. The cost would be recovered in two rainy seasons, but the mission recommends deferring this project until demand increases. - 33 - Table 6.2: EELPA SCS GEERATINS CAPACITY Branch Branch Instal led Cpaclity Number Ne pRdro Tharil Total kVA IkVA JIVA (kV at 0.8 Plant factor I JIAma 175 3,713 3,868 3,110 2 DasseI - 2,985 2,965 2,388 3 Awbo - 865 65 692 4 0. Blrhan 125 2,253 2,363 1,906 5 Ghlon 185 375 560 448 6 Gonder - 2,501 2,501 2,000 7 0.N arko 230 1,563 1,793 1,434 8 JIJI9a - 1,045 1,045 836 9 N. Bore6s - S26 526 421 10 Assab - 3,125 3,125 2,500 11 Nekeate - 1,126 1,126 906 12 Axur - 679 679 543 13 V. Sodo - 1,046 - 1,046 837 14 0. Dollo 230 186 418 334 i5 Mekele - 1,564 1,564 1,251 16 A. Tefori - 673 673 538 17 A* Minch - J00 600 640 i8 Agaro - 712 712 570 19 Godle 320 320 640 512 20 a. Gobo - 980 980 784 21 8. Boole 145 274 419 335 22 ChitabI - 338 338 270 23 KXIbnlst - 274 274 219 24 0. Tabore - 296 296 238 23 K. DOhar - 82 82 66 26 Shamba - 274 274 219 27 Adigart - 435 435 348 26 Fltehe - 486 466 390 29 S. Hura - 544 544 435 30 songs - 16 168 150 31 Mett - 338 338 270 32 Woldlya - 338 338 270 33 attl - 337 337 270 34 Housn - 486 488 390 35 Golamso - 338 338 270 36 Gacco-Chedo - 435 435 348 37 P4oblt-0. Sine - 242 242 348 38 Dobark - 242 242 194 39 Bahar DOr 9600 - 9.600 Total 11,010 33,190 42,200 33,760 Source: EELPA. - 34 - 6.11 Annex 6 contains the Terms of Reference to perform the above work. The costs and benefits associated with the Tis Abbay rehabilitation activities are shown in Table 6.3. Table 6.3: PROWOSED TIS ASSAY PLANT tEw4ILITrATION Work E I ent Cost Annual Benef it (USS) (USS) Turbine Shaft seal/lube oi l bearing redesign 742,000 300,000 Raise diversion weir discharge leel 65,000 29,000 Spare parts 250,000 200,000 Removal of river obstruction 115,000 76,000 Ethiopian labor and materials 90 0(0 - Total 1,262,000 605,000 Mini- ydro Stations 6.12 The mission visited the 185 kV hydro station at Chion and the 125 kW station at Debre Birhan. The Ghion unit was leaking water through a flange at the turbine discharge. The lost energy was perhaps 20-25% of its full load output. The cost of the required repairs is estimated to be US$3,200. The payback period would be approximately one month. 6.13 The mission recommends that six mini-hydro plants be surveyed to assess their condition and the cost/benefit of repairing them to replace expensive diesel generation. The survey is estimated to cost US$3,000. It is recommended that EELPA undertake this survey. Diesel Stations 6.14 The mission found that the fuel consumption recorded for the diesel stations was high, especially for the stations with medium-speed units. The system-wide average fuel consumption was recorded as 310 grams/kWh during the period July 1982 to June 1983. Ghion's fuel con- sumption was 376 grams/kWh, and Debre Birhan's was 305 grams/kWh. 6.15 The fuel consumption of the Chion and Debre airhan units was checked. The test figures reflect only the fuel consumed by each unit and not that charged against the branch diesel plant, which is the case with the annual figures. The results are shown in Table 6.4. - 35 - Table 6.4: COWARISON OF RECORDE0 FUEL CONStUPTION WITH RESULTS OF EFFICIENCY TEST Annual Total Fuel Test Unit Station ConsutptlonAkWh Consuwtlon a/ Remarks (gAkWh) (gAkWh) Oebre Blrhan 305 255 two test runs Ghlne 367 211 20S added as margin of error a/ Tests were done at full load. However, the fuel consumption of a dlesel engine is fairly flat over a wide load range. Source: MIssion estImates. A rather large discrepancy, which could not be fully explained, exists between the test runs and annual fuel consumption figures. Part of the discrepancy is caused by poor operating procedures. The operators do not keep a load profile and appear unable to anticipate the time and magni- tude of load changes. In order to cope with this, they adopt one of the following procedures. One procedure is to keep two or three units in service at very low loads in the event of a load increase. Most of the time the load could be carried by one unit at a much more efficient operating point. An alternate procedure is to run one unit on load and a second unit at no load in anticipation of a sudden load increase. 6.16 If load profiles were available, they would minimize the need to operate in this inefficient manner, especially since diesel units can be brought into service very quickly. Another shortcoming is the lack of integrator fuel oil flow meters on most of the generating units. This precludes establishing an order of merit within each system by which the most efficient units are operated first and are kept in service as long as practical during low demand periods. EELPA is currently evaluating tenders for 175 of these meters. It is estimated that these meters will cost US$70,000 installed. Approval for purchase has not been made and it is recommended that these meters be included in the proposed improvements program. The mission further recommends that EELPA investigate the dis- crepancy between the test figures and the annually recorded figures. It should pay special attention to monitoring the quantity of fuel delivered at the stations and check for fuel leaks at the stations. 6.17 A shortage of spare parts causes inefficient operation and affects the quality of service delivered to the consumers at the various branches. The mission recommends the purchase of an adequate stock of spare parts. The cost is estimated to be US$1.3 million. 6.18 Timely maintenance and servicing of many of the SCS units is prevented by a lack of spare capacity. Spare capacity can readiLy be - 36 - provided by using mobile generators which can be trucked to various SCS plants for operation while the stationary units are serviced. EELPA has recently purchased twenty-six 150 kW and thirty-one 500 kW diesel units. Two or three of these units could be used as mobile generators. 6.19 Another system-wide problem is the large number of units which are derated. This is not only due to lack of parts but also to deficiencies in the engine cooling systems. A program should be imple- mented to provide expert training in the field to a team of three Ethiopian engineers: a diesel engineer, sn electrical generation engineer, and a water treatment engineer. The team would be responsible for rehabilitating the diesel units' cooling systems, improving engine efficiency and maintaining the plant electrical apparatus. The overall aim would be to restore all the SCS generation systems to acceptable operating efficiency and capacity levels. 6.20 The team would also instruct the station operators in plotting and updating their system load profiles, in keeping accurate records on individual unit performance, and in using the order of merit system for load dispatch. 6.21 The technical assistance (excluding spare parts) to train the ESLPA team of engineers would extend over a yetr and is estimated to cost US$190,000. The total rehabilitation cost is estimated at US$1.6 mil- lion. The mission estimates that continuous application of the rehabili- tation and operator training program could reduce the average fuel con- sumption by about 25 grams/kWh. The value of this reduction in fuel use is US$340,000 per year. The difference between the installed capacity rating and the actual maximum continuous rating of the SCS is 12,775 k. Assuming that about 80Z of this can be recovered as a result of the rehabilitation program, the economic value of the additional available capacity is about US$320,000 per year, giving a total savings of US$660,000 per year. 6.22 Annex 4 contains the Terms of Reference to implement the above work. Table 6.5 sumarizes the cost and benefits of the rehabilitation program. Table 6.5: SiMMARY OF PLANT IRMOVEMENT COSTS AND 8ENEFITS FOR SCS DIESEL PLANTS Work Elsment Cost Annual Benefits (USS) (USS) Spare parts 1,300,000 660,000 Fuel oil meters 70,000 Efficiency program 90,000 Ethiopian labor and materials 45,000 Total 1,505,000 660,000 Source: Mission estimates. - 37 - VII. *B9& Ja Power System Characteristics 7.1 The ERESA ICS serves approximately 44,000 customers in Asmara and the surrounding major towns. Unlike the SELPA ICS, its generation is entirely thermal, utilizing diesel plants and small steam plants with a total installed capacity of 52 MW. Table 7.1 shows the installed capa- city and actual continuous rating of the various stations comprising the ERESA ICS. The generation is by diesel plant with the exception of the Belesa Station where there is one 10 MW and one 5 MW steam plant. Table 7e1: GENERATING CAPACITY OF ERESA ICS Max Imum Plant Location Rated Capacity Centfnuous Rating (kW) (kW) haer StatIon Massa 11,600 8,550 Gaggiret Station Asmara 10,344 9,OOG Kagnw Statlon Amara 4,50 (50 Hz) 2,800 (50 Hz) 5,400 (60 Hz) 5,200 (60 Hz) boles Station Asmars 5,600 4,000 (stem plant) 15,000 9 *W X2,444 39,050 Source: ERESA, 7.2 The system frequency is 50 Hz, but there is some 60 -Hz distri- bution within a military base at Kagnew. The transmission voltage is 50 kV, the longest line being the single circuit 83 km link from Asmara to Lhe Gherar station at Massawa. This link was out of service for some time and was being restored at the time of the mission. Most of the primary distribution is at 5.5 kV. Some areas are served with 3.2 kY and the town of Ghinda is supplied at 15 kV. The secondary distribution is 127/220 volt. -38- 7.3 The system is limited at present by a shortage of generation and load shedding is frequent. 31/ In 1983, the peak load supplied was 19 MM and the gross generation was 101 CGh, 32/ giving a load factor of about 611. Energy Losses 7.4 Table 7.2 shows how the 101 GWh generated in 1983 were used. Table I.2s 87ŁAKXO0N OF ENERGY USE IN ERESA ICS FOR 1963 Energy (GWh) arsms eneration 101.16 Statlon servic and utility's own use 1.83 - Net eneratIoan 99.23 Sales 85.65 Loses 13.58 Losse as S of net geration 13.50 a/ The statIon servico and utilIty's own use appears low (1.8% of gross ganeratlon). The normal value tor a systm ofthis typo Is about 3. Soa of tho Internal use my be unfiwtered and wIll appear as system losses. Source: ERESA and miselon estimaftes. 7.5 The mission did not have enough time to do a detailed analysis of the breakdown of system losses, but wal Able to make some estimates based on the available data. Table 7.3 shows the trends in peak load, number of customers, grss generation, sales and losses for the period 1979 to 1983. 7.6 The mission found no evidence of widespread theft of service, and meters are very well maintained. Most of the 13.5 losses appear to be technical losses. The analysis of a feeder in Asmara suggests that losses in the high-voltage Lines are about 22 of net generation. The 31/ The available capacity is much less than the installed capacity for various reasons discussed Later in the report. 32/ Source of data - EResA. The system data in the ERESA area are much better documented than those in the SELPA area. - 39 - major source of losses is probably the secondary distribution system, which is extensive and uses very small conductors but the data required for detailed anlysis were not available. This opinion is reinforced by the linkage of the increase in losses to sales rather than to peak load. Since this system uses high-cost thermal generation, the reduction bringing losses down to economic levels is a high priority. Table 7.3: TRENDS IN PEAK LOAD, GIMS GENERATION, NUJ4ER Of CUSTCMERS, SALES, AND LOSSES 1979 1980 1981 1982 1983 Peak Load (MM) 12.2 16.3 20.5 20.4 19.0 % increase 33.6 25.8 -0.5 -6.9 No. of Customers 34,940 36.709 37,990 40,920 44,076 % Increase 5.1 3.5 7.7 7.7 Gross Generation (GWh) 48.81 78.85 89.09 97.07 101.06 % Increase 61.5 13.0 9.0 3.7 Sales (GWh) 43.75 67.60 78.56 82.81 85.85 % increase 54.5 16.2 5.4 3.7 Losses (S of Net 8.7 12.7 102 13.1 13.S Generation) Source: ERESA and mission estimates. Main Findings and Recommendations Generation 7.7 A requirement common to all of the stations in the ERESA ICS is the installation of integrator-type, fuel-flow meters on each diesel unit. This would enable ERESA to establish an order of merit for each unit and thus to apply the principles of economic dispatch. Furthermore, the fuel meter would provide early warning of the maintenance require- ments of the units. Specific problems and suggested solutions are detailed for each station in the sections below. 7.8 Cherar Station, Wassawa. This station consists of four 1,300 kW, 237 rpm Deutz units installed in 1960-61 and one 6,400 kW, 500 rpm Pielstick unit. The Deutz units burn a mixture qf heavy and light oil referred to by EELPA as "fuel oil". The Piestick unit burn Bunker 'C' (no. 6) oil, referred to by EELPA as "furnace oil". 7.9 Despite being overhauled last year (1983), the Deutz units have been derated from 1,300 kW to 900 kW. At the time of the mission, one of * the four units had been out of service for two months awaiting governor parts. The units all suffer from vibration, voltage regulator, governor, piston liner, engine valve and cylinder head problems. The mission - 40 - recommends that the units be inspected by the manufacturer to determine the cost of rehabilitation and expected life. After inspection, a final decision could be made as to whether the units should be rehabilitated or replaced with new heavy fuel fired units. 7.10 The 6,400 kW Piestick PC-2 unit was overhauled five months before the mission visited but EELPA was awaiting the energizing of the Massawa-Assmara interconnection, scheduled for May, 1984, before placing it in service. The unit was too large to match the existing Massawa load demand. 7.11 Deposits from sea water foul the cooling water heat exchangers. This is one of the major causes of the derating of the Cherar Station and should be corrected as soon as possible, especially in light of the new Asmara interconnection. 7.12 The heat exchangers should be retubed with a material resistant to marine fouling. Possible materials are copper, nickel, stainless steel and titanium. The mission estimates the rehabilitation of the entire plant cooling system would cost US$78,000. 7.13 If the Cherar units are restored to their design capacity (a 3,O5O kW increase in plant capacity) through a rehabilitation progrAmme the annual capacity benefit is US$133t000. The annual energy savings by generating at Gherar, for example, rather than at Gaggiret, is US$350,000, resulting in a total annual benefit of US$483,000. 33/ 7.14 The estimated investment in spare parts, cooling water system rehabilitation and fuel oil meters to achieve this savings is US$407,000. The packback time would be less than one year. Annex 5 contains the * Terms of Reference associated with the Gherar improvement program. 7.15 Gaggiret Station, Asmara. This station consists of ten 580 kW, 1,000 rpm Caterpillar units and 8,568 kI, 750 rpm Mirrlees units. The units are all operated with a maximum continuous rating of 500 kW. 7.16 The average fuel consumption of the Caterpillar units is 316 gm/kWh and they are in need of an overhaul. However, due to the shortage of spare parts they are not being kept in good condition and are unable to operate efficiently or at rated capacity. The units are experiencing exhaust valve, turbocharger, bearing and other problems. They average seventeen hours per day operation which is far in excess of the intended eight hours per day rating for which they were purchased. 7.17 The Hirrlees units have an average fuel consumption of 247 gms/kWh but also need parts and service. They operate approximately 331 These figures are based on a rehabilitated Caggiret plant with a much improved fuel consumption. - 41 - nine hours per day. These units, although they are more efficient and rotate at slower speeds than the Caterpiller units, are not used during off-peak periods. The reason for this was not determined. 7.18 It is expected that both these groups of units will see reduced service with the Massawa interconnection and potential upgrading of the Gherar plant. The order of merit for the units at Gag8iret should be determined as soon as possible with the use of new fuel oil flow meters, at an estimated installed cost of US$54,000. 7.19 The required spare parts for this station, including the fuel meters, are estimated to cost US$540,000. The 1,344 kW loss in the plant's capacity is valued at US$57,000. The mission estimated that the fuel consumption of the Caterpillars could be improved by at least 50 grams/kWh. Energy savings with a 266 gms/kWh fuel consumption are valued at US$255,000 for a total annual saving of US$312,000. The net economic benefit of upgrading this plant is estimated to be US$1.6 million. The payback period would be about two years although, with rehabilitation of the Cherar, Belesa and Kagnew plants, it is expected that Caggiret would be placed in the lowest position in the order of merit listing. The addition of three major load increases anticipated by ERESA for 1984 will probably increase the number of hours per day that these units will be required. 7.20 Kagnew Station, Asmara. There are two 2,250 kW, 50 Hz, 300 rpm, and two 2,700 kW, 60 Hz, 360 rpm Enterprise diesel units installed inside the Kagnew military base at Asmara. The first two units have been customized by EELPA to operate at either 60 Hz or 50 Hz by changing speed from 360 rpm to 300 r'm. The maximum continuous rating changes from 2,700 kW to 1,500 ki when this is done. It could not be established why the rating was 1,500 kW and not 2,250 kiW, as would be expected with a 60 kW to 50 Hz frequency adjustment. Both the engine and generator manufacturers have advised that the conversion from 60 Hz to 50 Hz should not result in a 1,200 ki derating. 7.21 The reason for the excessive derating should be investigated. If it can be corrected, an additional 1,500 kW in capacity (two units) would be available from the two converted units with an economic benefit of US$100,000 per year. 7.22 Unit 3 has been out of service for two years awaiting parts, especially a new connecting rod and associated parts. When the correct- ing rod arrived, it was discovered that it was of a new design and required a new bearing assembly which was not delivered. This problem is being corrected by the supplier. 7.23 The mission checked with the manufacturer on the feasibility of converting the Enterprise units to heavy fuel operation. He has recom- mended against it. - 42 - i.24 The main recommendation for the station is that adequate spare parts be purchased. The necessary parts are estimated to cost US$1.3 million. The loss of one of these units for a year due to the lack of spare parts is worth (using the LRMC of capacity and energy) US$1.3 million. With the current lead time on spare parts acquisition, the loss of a unit for a year is possible and the stocking of spare parts is justified. 7.25 Belesa Station, Asmara. This station consists of one 5,600 kW, 500 rpm Pielstick diesel unit, one 10 MW Steam unit and one 5 MW steam unit. 7.26 The Pielstick PC-2 unit is identical to the furnace oil fired unit at Cherar except that it is derated due to the elevation of the Belesa plant (2,400 meters above sea level). The unit, with a maximum continuous rating of 4,000 kW, has been out of service since January, 1982 due to foundation problems. It was undergoing a major overhaul and was scheduled to return to service in July, 1984. 7.27 A sample of the heavy fuel burned in this plant was analyzed for the mission and found to contain sodium (66 ppm) and vandium (100 ppm). The high sodium content may be the result of sea water contami- nation of the oil. Sodium acts to lower the melting point of vanadium salts formed during combustion. The molten vanadium salts are highly corrosive and cause exhaust valve failure. 34/ Centrifuges should be installed in the fuel line to the diesel unit to remove water and sludge. A flow meter should also be installed. The cost of these additions is estimated at $90,000. Replacement power costs from Gaggiret for a three week period would equal this investment. 7.28 In addition to improving the fuel treatment, the existing water-cooled valves which have been troublesome in operation should be replaced with standard valves and water-cooled valve cages. Rotocaps should also be fitted. These improvements would reduce valve failures. The cost of these modifi..ations is estimated at US$99,000 (using stellite valves) and they would increase unit availability by about 2.5X. It is assumed that the increased availability would avoid some operation of the Gaggiret Catepillar units at a fuel cost differential of US$43,500 resulting in a payback of about two years. 7.29 A World Bank study entitled Energy Assessment: Ethiopia, Northern Region Electricity Supply Options was made in parallel with this loss reduction/efficiency improvement study. It concludes that for the next decade additional power generation requirements in this region would best be met by installing heavy fuel-fired diesel units and placing the 34/ For a discussion of the effect of fuel qualicy on diesel plant operation see: Energy Department Paper No. 9 -- Guidelines for Diesel 5enerating Plant Specification and Bid Evaluation. - 43 - steam units on standby service. If this course of action is adopted, no efficiency improvement investment is warranted. However, if EELPA elects to continue to use the steam plants for other reasons, the following problems and suggested solutions are identified. 7.30 The 10 MW steam unit is undergoing a major overhaul and is scheduled to return to service in June, 1984. This unit had been derated to 4.5 MW before the outage due to plugged condenser tubes (mud), the low cooling water level in the lake, and poor boiler and turbine efficiency. There are no fuel oil flow meters on any of the existing Belesa units, and accurate data on unit performance is therefore not available. 7.31 Up to the time of the mission's visit, 298 of the 415 tubes in the Unit 2 boiler had been replaced due to fouling by heavy calcium car- bonate deposits. A sample sent by the mission for analysis showed depo- sits of 1.08 grams/sq cm (2.2 lbs/sq ft). The water treatment consultant who performed the analysis advised that the resins in the treatment plant are probably completely fouled and should be replaced immediately to pre- vent further damage. To correct this problem, a water treatment consul- tant should be engaged to rehabilitate the treatment plant and to train EELPA's staff in its correct operation. The estimated cost of these services is US$62,000. 7.32 It would be necessary to remove the remaining deposits in the boiler tubes by acid cleaning. If the two boilers are acid cleaned, the plant efficiency would increase by about 2X, saving US$96,000 annually. The cost of acid cleaning would be approximately US$102,000. 7.33 Thq condenser cooling water system is contributing to the inefficient operation of both steam units and, to a lesser degree, the PC-2 diesel unit. The muddy water taken from the lake and the plant site altitude act together to create poor operating conditions for the cooling system. In addition, a low lake water level has caused a cooling water recirculation flow, further reducing the efficiency of the cooling system. It is likely that the heat load created by two new diesel units being installed will result in the entire plant's being derated due to inadequate cooling. 7.34 The installation of a cooling tower would result in about a 2.5 cm improvement in condenser vacuum, which would lead to a 2.5% improvement in heat rate. At a 15 MW total steam plant capacity, this would achieve a 375 kW increase in capacity. 7.35 A two-cell, mechanical draft cooling tower with two 75 kW fan drives would achieve a net' additional steam plant output of 225 1W. Annual energy and capacity benefits would be US$45,000. The installed tower would cost an estimated US$235,000, yielding a net economic benefit of US$45,000, and a payback period of five years. The existing high-head circulating water pumps appear adequate to serve the new system. It should be noted that the tower is sized to cool the existing 5 MW PC-2 and two new 5 MW MirrLess diesel units which are being installed as well. The payback period will be much less than five years if, as is - 44 - feared, the lake is thermally overloaded when the new engines are installed. 7.36 Additional spare parts for the steam plant are estimated at US$63,000 based on earlier quotations to the Belesa plant management. 7.37 Plant operating procedures should be reviewed, especially regarding start up and shutdown. General instruction procedures prepared by the original designers of the boiler and turbine have been sent to the plant superintendent. 7.38 The Terms of Reference for all of the above work are included in Annex 5. Table 7.4 sumaarizes the SEESA plant improvement costs and benefits. Distribution 7.39 The mission believes that the losses in the primary and secon- dary distribution system can be reduced by changing the construction standards. In the case of the ERESA ICS, there appears to be scope for increasing the primary distribution voltage. These increases are dealt with in the system-wide studies outlined in Section IV. - 45 - Table 7,4: SU1W.14Y Of PLANT IMPROVEMENT COSTS AND SENEF ITS Station Work Element Cost Annual Senefit ~~~~~~ ~~~~USS US Ghgrar Spare parts 300,000 483,000 Cooling water system rehabilltation 78,000 Fuel oIl flow meters 23,000 Ethiopian labo and materials 6.000 407,000 483,00 Gaalret Spare parts 540,000 312,000 Fuel oil meters 60,000 Ethiopian labor and materials 8.000 0m8,000 312,000 KaIn"w Spare Parts 1,260,000 1,233,000 Frequency conversion power recovery 87,000 100,000 Fuel oil mtors 18,000 Ethioplan labor and materalls 9 000 - 1,374,000 1,353,000 Beleso Diesel Fuel oll water separator, flow meter and analyzer 90,000 67,500 *iesel exhaust system uogiading 99,000 43,000 Ethiopian labor and materlals 6.000 - 195,000 110,000 Selesa Steam Water treating plant rehabIlitatlon 62,000 oiler acid cleaning 102,000 96,000 Coollng tower Installation 245,000 45,000 Spare ports 63,00 Ethioplan labor and materials 48 000 - S20,QOM 141,000 Souret Mlsslon estlmates, . - 46 - VIll. UB4SA 8Cs 8.1 The MRSA SCS are very similar to the ZELPA SCS-small stations serving remote towns. The total sales during 1982 were about 0.9 CWh. System losses appear to be about 152 of net operation according to EUeSAts technical report. The Joint UNDP/Bank Energy Assessment Report suggests that these losses may be 242 of net generation. The mission was unable to collect detailed data for the ERESA SCS because of military activity in the area. The military activity also prevents MESA from adequately servicing some of the self-contained systems. The mission believes that the procedures developed for the EELPA 8C9 can be directly applied to the ZEBSA SCS plants as soon as they become accessible. - 47 - II. P o LOGISTCS 9.1 The efficiency improvement projects identified by the mission have been shown as discrete activities for economic analysis and for the convenience of financing/donor agencies. For maximum effectiveness, how- ever, the efficiency improvement program must be implemented as a coor- dinated activity. To this end, the mission recommends that EELPA appoint two senior engineers, one to coordinate the generation efficiency improvement activities, and another to coordinate the transmission and distribution loss reduction activities. They should be attached to the reorganized planning department and should be relieved of other duties to enable them to devote their full attention to the efficiency improvement activities. -48 - Annez 1 Page 1 of 3 FACTORS TO USE IN EVALUATING IMPROVEMENTS IN POWER STATIONS, TRANSMISSION, AND DISTRIBUTION Figures in this note are in Birr 1. Use a shadow exchange rate of 2.73 Birr/$ or $0.366/Birr. This is 1.33 times the official rate of 2.05 Birr/$. 2. Use constant prices with an early 1984 base. In other words, prices of equipenlt and other inputs should be estimated in terms of what they would cost in early 1984, regardless of when the investment would actually be made. 3. If construction/installation times are significant (i.e., if expenditures would have to be made significantly before an item would be put into service), then add interest-during-construction at a rate of 12Z/yr or 0.95%/month up to the time the improvement is put in service. 4. Figure unskilled labor at one-half what EELPA pays. 5. Value factors are for capacity and energy on three systems: the EELPA ICS, the ERESA ICS ("Asmara"), and the SCS (both EELPA-SCS and ERESA-SCS which have the same value). 6. Value factors are also figured separately at three levels: generation, high voltage and low voltage. 7. Capacity value factors are as follows: EELPA ICS ERESA ICS scs CG a Generation 'X" .1,210 885 CH - High Voltage 285 190 215 CL - Low Voltage 355 355 355 8. The total value of capacity savings in the transmission and distribution system depends on losses as well as the above factors, because the higher the loss rate is, the more generating capacity is saved by a 1.0 kW saving in the distribution system. Four loss factors are needed, corresponding to losses at high and low voltages and at peak as opposed to average. Coopers & Lybrand's estimates are: 1/ 11 Coopers & Lybrand Associates: Tariff Study and Assets Revaluation - June 1983. - 49 - Annex 1 Page 2 of 3 SELPA ICS ERESA ICS SCS HVP High voltage, peak 0.11 0.12 n.a. LVP X Low voltage, peak 0.15 0.13 0.23 EVA = High voltage, average 0.08 0.075 n.ea. LVA - Low voltage, average 0.10 0.085 0.16 9. A "life" factor F is also needed to account for the fact that equipment will not last forever. Life in years: 5 10 15 20 25 30 40 S0 F Factor .43 .74 .82 .94 .94 .97 .99 1.00 10. To calculate F for some other life L, use the formula: F - 1 -(1.12 ). Capacity improvements should be evaluated as follows: Additional kW added to firm capacity at the generating plant level should be valued at F x Cc. A 1.0 iW reduction in losses at high voltage at peak hours should be valued at F x (CH+CG)/(1-HVP). A 1.0 kW reduction in losses at low voltage at peak hours should be valued at F x (CL + ((CH+CG)/(1-HVP))/(1-LVP). Energy savings (and increases in hydro output) should be valued at rates that take into account the same life factor F as above and the average (as opposed to peak) losses. An additional kWh/yr produced should be valued as follows: EELPA ICS ERESA ICS SCS EG a Euergy at generator level 0.41 x F 2.71 x F 3.13 x F 11. These are capitalized factors. That is, they correspond to the value at the time an improvement is put into service of a stream of energy savings over the life of the improvement. 12. These factors correspond to 5, 33, and 38 Ethiopian cents per kWh discounted at 12X, respectively. 13. An annual kWh saved at high tension should be valued at EG/(l-HVA). An annual kWh saved at low voltage should be valued at EG/((1-LVA) x (1-HVA)). - 50 - Annex I Page3 of 3 14. The "X" factor for the value of generating capacity in the SELPA rcs is based on the assumption that new hydro plants are brought on stream at three year intervals and cost about 2,205 Birr per kW (including Coopers & Lybrand's estimates of 0 & M costs and ACRE's figure of 101 as the minimum generating capacity margin). Quarter I II III IV 1984 1,675 1,730 1985 1,780 1,835 1,885 1,940 1986 1,995 2,045 2,100 2,150 1987 2,205 1,620 1,675 1,730 1988 (same as 1985) 1989 (same as 1986) Approximate payback time may be obtained using the relationship. Payback = Cost/[(Benefits x 0.12)/F] - 51 - Annex 2 Page 1 of 10 TERMS OF REFEUERCE FOR DISTRIBUTION AND TRANSMISSION PLANNING AND LOS REDUCTION ACTIVITIES Summary of Requirements The Ethiopian Electric Light and Power Authority (EELPA) is soliciting proposals from a consulting firm to strengthen its analysis and planning capability and to assist with specific technical analyses. The work, which must be implemented as a coordinated program, has the following main components: (a) improvement of the analysis and planning capability. This involves reorganizing and expanding the planning department, providing on-the-job training for Ethiopian engineers, and a computer with appropriate software for engineering analysis and the collection and analysis of management information; (b) assistancet to EELPA in preparing Mi) a distribution expansion plan to analyze losses in the existing system, (ii) a work program to reduce losses 'and (iii) a set of distribution construction standards with economic loss levels as an objec- tive. Part of the work should be done by EELPA engineers under the supervision of the firm's personnel to maximize the train- ing effect; (c) assist EELPA to improve the protection on the distribution system. The output should include relay setting letters, fuse correction curves and fuse sizing recommendations; and (d) assist EELPA to prepare a comprehensive transmission expansion plan with at least a 20-year horizon. The work will be done in two phases. Phase I will include familiarization with the system, the provision of a computer system and software to facilitate analysis of the transmission and distribution system training and assisting EELPA engineers to establish the necessary data bass to perform analyses, plan the system expansion and prepare the constructior and protection standards. Phase II will include the procurement of material and the management of specific loss reduction projects identified in Phase I. It will also include the training of EELPA personnel in project management. The overall cost of the program excluding local staff and faci- lities, is estimated to be about US$968,000. The cost consists of about US$557,000 in professional services, US$83,000 in equipment and software, and the remainder in expenses. The program is financed by _ The executing agency is _ In the following discussion, the - 52 - Annex 2 Page 2 of 10 consulting firm submitting a proposal to do the work is referred to as the "firm" and the work is referred to as the "programs'. Background The Ethiopian Electric Light and Power Authority (SELPA) is a statutory government corporation responsible for the generation, trans- mission and distribution of electricity in Ethiopia. This program to improve distribution planning and prepare loss reduction activities is one of a group recommended by a World Bank/UNDP Power Loss Reduction mission. The mission's report, which describes the power system and outlines the work to be done, is a part of these Terms of Reference. Scope of Work The work includes everything that is necessary to achieve the objectives listed in the Summary of Requirements. Some of the specific tasks ares Phase I (a) Advise RETPA on the quantity and qualification of engineers and technicians and on the physical facilities required for the planning department. (b) Train and assist KELPA personnel in the following: - The representation of the existing distribution system by suitable nodes and line sections for the purpose of cor- puterized systems study. - Development of suitable study models. - Determination of existing system characteristics and loss levels. - Application of suitable load forecasting techniques. - Study of alternative system development proposals. - Application of economic optimization techniques particularly in the context of system losses. - Determination of the least-cost system expansion plans. - 53 - Annez 2 Page 3 of 10 (C) Supply a suitable mini-computer system including a CRT ter- minal, a printer, a digitizer for data entry of maps and drawings, and a plotter for obtaining output in the form of maps and circuit diagrams. (d) Supply a package of system analysis software (the software must be proven and be in use elsewhere in a developing co'aatry) consisting but not necessarily restricted to the followings - Load Forecasting Program This program should be capable of using basic data such as land use classifications, population growth rates, etc. in order to develop future load forecasts. The capabilities should include analysis of past data and regression tech- niques. - Distribution System Study Program The output of these studies should provide load flows, volt- age profiles, sectional and total losses. Programs are also required for transformer load management, single-phase and three-phase short circuit studies and (optionally) for traw- sient stability studies. The load flow programs should be capable of quick repetition fer modifications (particularly in the case of capacitor installations) or should include optimization methods built into the programs. Programs are also required for interfacing wit - omp* erized billing process for the collection of con. t-: ta and also for interfacing with cassette recordev or ocuer types-of output that may be obtained from special instruments (such as demand profile recorders) installed in the field. The various programs supplied should be capable of comaunicating with each other operating as a complete, integrated package. - Installation and Training The firm shall be responsible for the complete installation in satisfactory working order of all the hardware and soft- ware. The offer should also indicate the period of main- tenance guaranteed and other follow-up services offered. The firm should also be responsible for the training of the staff of EWLPA for undertaking the related studies. Such training facilities should include advice on data collection such as special metering devices to be used in the field, organization and validation of input data, operation of the programmes and the analysis and interpretation of results. (e) Prepare a comprehensive five-year distribution plan for the major distribution centers, using a twenty year horizon for conceptual planning. This plan should be complete with - 54 - Annex 2 Page 4 of 10 budgetary estimates and should be suitable for presentation to financing agencies to ensure that the use of aid funds is directed to achieve the overall least-cost development of the distribution system. (f) Prepare a protective system study. The output of this study should include a listing of the fault levels at various points of the distribution systems and guidelines for the application of fuses (size, type and interrupting capacity). List the existing protective equipment (relays, etc.) and instrumentation. Perform the necessary short circuit studies and any other studies required for protective system coordi- nation. Prepare relay setting letters and fusing schedules (back up coordination curves must be provided). (g) Prepare a comprehensive set of distribution standards and guidelines, with special emphasis on the customer voltage level. Benefit/cost analysis should be done to determine what type of distribution system should be used, for example, three- wire three phase or four-wire three phase with single phase sections. (h) Prepare and specify the equipment and work program to effect specific loss reduction projects in the existing system. i) Prepare a "least-cost" transmission expansion plan for the BELPA ICS and the ERESA ICS. The plan should be detailed for the next five years but should have a twenty year horizon. Phase 2 (a) Provide procurement services and project management to implement specific projects developed in Phase I. Division of Labor and Responsibilities The firm will be fully responsible for the implementation of the program. It will provide all of the services required to ensure the success of the project. BELPA will provide the following: (a) access to plants, substations and to documents or any data required to carry out the work; (b) all transportation in Ethiopia; (c) counterpart staff as required and at the educational level specified by the consultant to ensure success of the training; - 55 - Annex 2 PageS of 10 (d) office space, standard office equipment and supplies; (e) secretarial services; and (f) translation services if required. Guidelines for Proposal A complete proposal should be provided for Phase I of the program and unit rates should be provided for Phase tI. The proposal should provide comprehensive details of the following: (a) a work plan in accordance with these Terms of Reference; (b) a preliminary estimation of the hours per person required for the work and the place in which the work will be carried out; (c) the nature of the organization and previous experience in the related work in developing countries; (d) curricula vitae of staff who will be assigned for the study as well as Curricula Vitae of support staff at Headquarters; ge) details of hardware offered or arranged for supply; (f) complete details of any software package offered. This should inelude a description of each program, form of input data, sample of output and details of where the package has been used to date; and (g) staff and period to be assigned for establishment of the systems and training of tELPA personnel inclusive of full Curriculum Vitae and previous experience. A seled envelope should be enclosed with the proposal, indi- ca':ing the cost estimate of this work based on a system of fixed profes- stonal fees which should also be determined in relation to the actual hours of work. The firm may suggest alternative schemes for attaining the objectives outlined in the Sunmary of Requirements. Any alternative scheme should be clearly identified as such, and separate work schedules and costs should be provided for each. The firm should also provide a schedule of fees for Phase II of the work which should be defined by the end of Phase I.- Once the proposals have been evaluated, PELPA will proceed to negotiate the contract with the most qualified firm and if they are unable to reach agreement during the negotiations, proceed to negotiate with the second best qualified firm. EELPA may reject any or all of the offers received if none of them is satisfactory. - 56 - Annex 2 Page 6 of 10 Form of Contract The contract which will be awarded te the successful firm will be based on t'ae International Model Form of A4teement Between Client and Consulting Engineer No. IGRA 1979 P.I. - ptoduced and issued by the International Federation of Consulting Enginesrs (FIDIC). Schedule of Payxaets The schedule of payments wiil be negotiated and the firm is invited to propose a schedule. Howevw,r, EELPA will tie payments to clear performance targets, some of which may be: (a) a report of the analysis for the existing system; (b) a detailed system expansion plan; (c) a detailed set of distribution standards; (d) completion of Phase I; and (a) completion of Phase II. - 57 - Annex 2 Page 7 of 10 Prolect: Technical Assistanceo to Improve Analysis and Planning Capab I IIty Oblectives To enable EELPA to analyze pow system data, to produce useful mnagemt rporfts and to plan and direct ta expansion of the pour system effectlvely. Scoos of Services/Eulpment: A sstem xpnslon planning eWt and a distribution planning engineer would be rquired for on yr. A data procemsing consultant experlenced with mini- computers and associted engineering analysis software would be rquired for three months. The data processing consultant would estabiish the computing facilities. The planning and distribution engineers would asaist EELPA In reorganizing thu planning departsnet, train EELPA's engineers and coo dinate the efficiency lmprovemnt progra. Estimate of Cost (1984 USS): Peofessional Travl and Services Subsistence Equlpment (USS) (US) (USS) Professional services of two engineers for one yer 200,000 Professional services of date processlng consultant for three mnths 25,000 Trovl (five round trips) 20,000 Subsistence 103,000 Cmaputer and Softwar 75,000 Contingency 105 22,000 12.000 0,00 Subtotal 247,000 135,000 63,000 Total 463.00 - 58 - Annex 2 Page 8 of 10 Project: Oistributlon System Planning Study Obectlwe: To prepare a forecast of the size and location of substatlons, lines, etc., to stisfy future domand. Scope of Services/Equipment: A consulting engineering firm would be required to analyze the existing distribution systems with respect to losses and plan their expansion. The following would be Included In the output of the study: - loss reduction projects for Immediate application; - a year by year description of specific substatlon and distribution line requirements; and - a comprehensive set of distributlon construction standards and equipment specifications. EstImate of Cost (1984 USS): Profosslonal Travel and Services Subsistence (USS) (USS) Services of three distribution ngineers for six months 150,000 Travel (four roundtrlps) 16,000 Subsistence 56,000 Miscellaneous expenses 10,000 Contingency (10%) 15.000 8.000 Subtotal 165000 90,000 Total 255.000 ___ _ . _ ........... A_ ____ - _ ~ ~ ~ ~ ~ ~ 59 - Annex 2 Page 9 of 10 Project: Protective Relay and Fuse Coowdination Study Objective: ro lIprove the quality of service by providing relay settings for substations, providing guidelines for the application of fuses and reactors, and improving the fus Ing of transformers and spur lines. Scope of Services/Eguipment: Two protection engineers would be required for six months, one to work In the South and one In the North, They would do the neessary fault analysis, prepare setting letter and advise on fuse location and sizes. The types of fuses to be used would also be an output of his study. An lmportont part of their responsibility would be the training of EELPA engineers and setting relay and fuse coordinatlon. Estlmate of Cost (1984 USS): Professional Travel and Services Subsistence (USS) (USS) Servicos of two protection engineers for six months 100,000 Travel (three roundtrips) 12,000 Subsistence 36,000 Miscellaneaus expenses 10,000 Contingency (105) 10,000 6.000 Subtotal 110,000 66.000 Total 176,000 .44iIJiXti I ! II, ii 15 1|.. 1 .. . I~~~~~~~~~~~~~~~ I - 61 - Annex 3 Page 1 of 9 TEm OP REFERENCE FOR IMPROVEMENT OF GENERAL SUPPORT SERVICES Summary of Requirements The Ethiopia Electric Light and Power Authority (EELPA) is soliciting proposals from a consulting firm or public utility to assist with improving its general support services. The work consists of three projects: (a) organizing and strengthening its transport fleet operations; (b) restructuring the Distribution Department; equip and train distribution construction and maintenance crews; and (c) evaluating the feasibility of producing concrete poles to supplement the wood poles used at present. The activity is financed by . The executing agency is _ In the following discussion the consulting firm or public utility is referred to as the "firm" and the work is referred to as the "program." Background The Ethiopia Electric Light and Power Authority (EELPA) is a statutory government corporation responsible for the generation, trans- mission and distribution of electricity in Ethiopia. EELPA reports directly to the Ministry of Energy and Mines. This project to improve the general support services is one of a group recommended by a World Bank/UNDP Power Loss Reduction mission. The mission's report, which describes the power system and outlines the work to be done, is a part of these Terms of Reference. Scope of Work The firm should do everything that is necessary to achieve the objectives outlined in the Summary of Requirements. Some of the specific tasks are: Transport Fleet (a) To design and implement a computerized vehicle maintenance system. - 62 - Annex 3 Page 2 of 9 (b) To determine the needs for additional or replacement vehicles and procure the necessary vehicles and spares parts. The work will be done in two phases. Phase I will include the definition of the scope and functions of a vehicle maintenance management system, an assessment of the numbers and types of vehicles and spare parts required and the preparation of specifications for the management system, the vehicles, and the spare parts. Phase II will include the procurement, installation and commissioning of the management system and vehicles, the implementation of operating procedures and final training of EELPA staff. The overall cost of the prograi,, excluding the cost of local staff and facilities, is estimated to be about US$4.3 million. The Phase I cost is estimated at US$253,000 consisting of about US$154,000 in professional services' and US$99,000 in expenses. The Phase II cost is expected to be about US$4.0 million, consisting of about US$77,000 in professional services, about US$3.9 million in equipment and the remainder in expenses. The following items are included: Phase 1 (a) Review the present condition of the transport fleet. (b) Prepare specifications for a system to achieve good transport fleet management control and produce regular management re- ports. The system should be based on a software package which is in use successfully elsewhere. The extent of customization should be minimal. (c) Prepare the requirements for staffing and training in the transport department. (d) Review the condition and procedures used for maintaining the existing transport fleet, and propose a system of vehicle maintenance. (e) Determine to what extent vehicle maintenance should be done by EELPA and to what intent it should be contracted. (f) Prepare specifications for the vehicles required to replace or supplement the existing fleet. Phase II (a) Purchase and install the maintenance management system, vehicles and spare parts. (b) Provide training for EELPA employees and ensure that they are technically competent to operate the vehicle maintenance system. - 63 - Annex 3 Page 3 of 9 Improvement of Distribution Operations The work which should be implemented as a complete coordinated program is. intended to: (a) restructure the Distribution Department; and (b) equip and train distribution line. construction/maintenance crews locally, using instructors from overseas, and train local supervisors overseas. The line crew training is required to ensure that proposals for improving che distribution system can be implemented. The entire program should be completed in two years. The line crew training should' be'done in a way to enable MELPA to continue to form and train new crews. The work will be done in two phases. Phase I will include a review of the present structure of the Distribution Department and the size and composition of the line construction/maintenance crews. The required changes in the organization, the required equipment and tools and any changes in the crew size and structure should be determined. The main output of. this phase should be a set of specifications .for the required equipment and tools and a proposed training schedule. Phase II will include procurement, installation and commission- ing of the equipment and implementation of the required training acti- vities. A set of operating procedures should also be established. The overall cost of the program excluding local staff and facilities, is estimated to be about US$1.1 million. The Phase I cost is estimated at US$79,000, including about US$58,000 in professional services. The Phase II cost is expected to cost about US$1.05 million, consisting of about US$440,000 in professional services, US$165,000 in equipment, and the remainder in expenses. The following items are included: Phase I (a) Review the way the Distribution Department operates and suggest changes where required. (b) Review existing line crew structure, work methods and equip- ment. (c) Prepare specifications, detailed cost estimates and an imple- mentation schedule for the line trucks, equipment and training required to form the required line crews. - 64 - Annex 3 Page 4 of 9 Phase II (a) Procure, expedite, manage the installation, and commission any equipment and tools required to form or upgrade the line crews. (b) Provide personnel to train the line crews in Ethiopia up to the standard of linesmen in a developed country. (c) Arrange training for Ethiopia supervisors in a utility in a developed country (actual hands-on training, not superficial classroom instruction). (d) Supervise the handover of the new line crews to the trained supervisors on their return. Feasibility of Concrete Poles The firm should make a comprehensive economic and financial evaluation of the feasibility of producing concrete poles to be used in the distribution system. The study should include, but not necessarily be lidmted to, the following aspects: (a) size and geographical distribution of demand for distribution poles during the next 20 years; (b) technology, optimum size and location of plants to produce concrete poles; (c) economic and financial cost of producing concrete poles, including transportation to the demand centers; (d) economic and financial cost of other types of poles (wood, steel), including transportation to the demand centers; and (e) evaluation of the various alternatives, taking into account the relative life of poles, security of supply (in the case of wood poles), and the cost of installation and maintenance. Division of Labor and Responsibilities The firm will be fully responsible for the implementation of the program. It will provide all of the services required to ensure the success of the program. - 65 - Annex 3 Page S-of 9 KELPA will provide the followings (a) access to the plants, to documents and to any data required to carry out the work; (b) all transportation in Ethiopia; (c) counterpart staff as required; (d) office space, standard office equipment and supplies; (e) secretarial services; and (f) translation services if required. Guidelines for Proposal The proposal should provide comprehensive details of the following (Phase I and Phase II work must be shown separately): (a) a work plan in accordance with these Terms of Reference; (b) a preliminary estimation of the hours per person required for the work and the place in which the work will be carried out; (c) the nature of the organization and previous experience in the related work in developing countries; (d) curricula vitae of staff who will be assigned for the study as well as curricula vitae of support staff at Headquarters; (e) details of hardware offered or arranged for supply; (f) complete details of any software packages offered. This should include a description of each program, form of input data, sample of output and details of where such programs have been used to date; and (g) staff and period to be assigned for establishment of the system and training of SELPA personnel inclusive *of full curricula vitae and previous experience. A sealed envelope should be enclosed with the proposal, indi- cating the cost estimate of this work based on a system of fixed profes- sional fees which should also be determined in relation to the actual hours of work. The firm may suggest alternative schemes for attaining the objectives outlined in the Summary of Requirements. Any alternative scheme should be clearly identified as such and separate work schedules and costs should be provided for each. - 66 - Annex 3 Page 6 of 9 Once the proposals have been evaluated, EELPA will proceed to negotiate the contract with the most qualified firm and if they are unable to reach agreement during the negotiations, proceed to negotiate with the second best qualified firm. EELPA may reject any or all of the offers received if none of them is satisfactory. Form of Contract The contract that will be awarded to the successful firm will be based on the International Model Form of Agreement Between Client and Consulting Engineer No. IGRA 1575 P.I. - produced and issued by the International Federation of Consulting Engineers (FIDIC). Schedule of Payments The schedule of payments will be negotiated and the firm is invited to propose a schedule. However, EELPA will tie payments to clearly defined and measurable performance targets. - 67 - Annex 3 Page i of 9 Cost Estimate tReplacement of Part of Transport Fleet and Installation of a Computerized Fleet Maintenance System S ective: To replace the vehicles In the existing fleet which are past economic repair; to supply new vehicles; to Install and train EELPA personnel In the use of a computerized fleet management system. Scope of Services/Equipllent: This project would be done in two phases. First, a consultant or an overseas public utilIty that operates a large fleet eff IceIntly would be engaged to asse4s EELPA*s requirements for replacement vehicles, new vehicles and spare parts. The firm woul d aIso design and install a computerized fleet managment system. In the second phase the firm would assist EEUPA In procuring the necessary vehicles and provide traIning wIth the fleet managsment system. Estimeate of Cost (1984 USS): Professional Travel and Services Subsistence Equlpent Phase I Consultant services to defIne vehicle and management system needs (eighteen manmonths) 140,000 Travel (five round trips) and subsistence 75,000 M Iscal Ianeous expenses 15,000 Contingency (10%) 14,000 9.000 Subtotal 154,000 99,000 Phase II Consulting services to procure vehicles and software and provide training (nine manmonths) 70,000 Travel (two roundtrips) and subsistence 30,000 Vehicles, spares and software 3,550,000 Contingency (10%) 7.0(0 3.0Q0 355.000 Subtotal 77,000 33,000 3,905,000 Phase 1: 253,000 Phase 11: 4,015,000 Total ProJects: 4,268,000 - 68 - Annex 3 Page 8 of 9 Cost Estimat Project: Reorganization and Training for the Distribution Department Oblective: To Improve the productivity of the line constructIon and lIno maIntenance crews by restructuring them, and by training them in the use of modern equipment and work methods. Scope of SwervIessEqui oent: A two-stage approach is ncessary for this project, In the fIrst stage, a consultanJ would review the present structure of the line crews and the organization of the Distributlon Department, and Identify the required changs. He would also prepare specifications for the required tools and equipment, In the secawd stage, the crews would be reorganized, linesmen would be brought In to train the crews, ond Ethiopian supervisors wr4uld be snt overseas for training in an electric utility. Estimate of Cost (1984 USS): Professional Travel and Services Subsistence Equipment Phase -Determine requirements for training and equipment (six menomnths) 53,000 Travel (two round trlps) and subsistence 26.000 Contingency (10%) 50003.000 Subtotal 56,000 29,000 Phase "i Services of four linesmen for one yer 300,000 Traeol (eight roundtrips) and subsistence 207,000 Training overseas for four supervisors 100,000 Travel and subsistance 200,000 Tools and "uipment (excluding lIne trucks which would be included In transport project) 150,000 Contingency (IO%) 40.000 41.000 15 000 Subtotal 440,000 448,000 '65,000 Phase 1: 87,000 Phase II: 1,053,000 Total Project: 1,140,000 - 69 - Annes 3 Pogs 9 of 9 i'roLects Study of the Feasibility of Producing Concrete Poles Oblective: To study the economics of producing spun concrete poles as an alternative to wood poles for use In the distribution system, If the production of conerete poles Is economic, the study should also define the optimum size and location of plants, and the transportatIon of handlIng facilitIes required to distri bute the poles to work sites. Scope of SorvlcesEaqulpwwnt: The consultant would be required to determine the quality of poles required for the distribution system and evaluate the supply alternatives (e.g., local wood, Imported wood, Imported stel , etc.). Some of the factors that should be taken Into account are the relative life of poles and the cost of Installation and maintenance. Estimate of Cost (1984 USS): Professional Travel and ServIceAs Subsistence Services of a consulting engineer (two manmonths) 16,000 Travel (one round trip) 4,000 Subsistence 6,000 Miscellaneous expenses 3,000 Contgency (10%) 2 000 1 000 Subtotal 18,000 14,000 Total S32,000 - 70 - Annex 4 Page 1 of 5 TERMS OF REFERENCE FOR IMPROVEMENTS IN THE EFFICIENCY OF DIESEL PLANTS Summary of Requirements The Ethiopia Electric Light and Power Authority (EELPA) is soliciting proposals from a consulting firm to prepare and implement a project to rehabilitate and improve the fuel consumption and reliability of the EELPA Self Contained System (SCS) diesel power plants in its 39 branches. The work will include training two Ethiopian engineers and a chemist.in diesel plant rehabilitation. Their training should be com- pleted by supervising and assisting them in rehabilitating the first four plants. The overall cost of the program including local staff and facilities, is estimated to be about US$1.6 million. The program is financed by . The executing agency is _ _ _ _ _ . In the following discussion, the consulting firm submitting a proposal to do the work is referred to as the "firm" and the work is referred to as the "programs'. Background The Ethiopia Electric Light and Power Authority (EELPA) is a statutory government corporation responsible for the generation, trans- mission and distribution of electricity in Ethiopia. The EELPA reports directly to the Ministry of Energy and Mines. This project to improve operating efficiency in diesel plants is ore of a group recommended by a World Bank/UNDP Power Loss Reduction mission. The mission's report which describes the power system and out- lines the work to be done is a part of these Terms of Reference. Scope of Work The work includes everything that is necessary to achieve the objectives listed in the Summary of Requirements. Some of the specific tasks are outlined as follows: (a) Arrange an intensive training program for two EELPA engineers and a chemist in the areas of plant instrumentation and - 71 - Annex 4 Page 2 of 5 controls, diesel engines, engine cooling systems, electric power generation, water treating for diesel engine cooling systems and the general operation and maintenance of diesel plants. The purpose of the training is to qualify these engineers to inspect, test, evaluate, and implement diesel plant rehabilitation programs for the 38 diesel generating plants in the EELPA isolated power systems (EELPA-SCS). (b) The program shall also include the retention of two or three engineers from the Engineer's office to return with the trainees for a period of approximately two months to partic- ipate in the inauguration of this program in four EWPA selected stations to further train and familiarize the EELPA engineers in implementing this program. (c) The diesel engineer training shall include the indepth tech- nical aspects of diesel engine design, control, preservation, operation and maintenance, the means to evaluate the per- formance and critical engine data which must be monitored and controlled to protect the equipment. The program should also instruct the engineer in training plant personnel in the opera- tion and maintenance of a plant as well as teaching them to maintain records and reports. (d) The electrical engineer training shall include the tecinicat aspects of electric generating equipment, controls, protection, and operation and maintenance. The course shall also include the means of evaluating the electric plant performance and critical equipment data which must be monitored and controlled to protect the equipment. The program should also instruct the engineer in training plant personnel in the operation and main- tenance of this equipment including record keeping and report- ing. (e) The water treatment chemist is to be trained in the technical aspects of maintaining the water quality required for properly cooling diesel-electric generating equipment. There is a wide variety of cooling systems used throughout the EELPA self- contained system. Improper cooling of the engines has led to the derating of many diesel units. The objective of this portion of the program is to enable a tra.'ned chemist and diesel engineer to assess the causes of improper cooling and to implement means of correcting the problem through complete rehabilitation or even conversion of the cooling system if necessary. (f) There is also a need to determine the individual engine fuel consumption rate in order to operate the units in proper sequence and to monitor the performance of each engine. The firm shall specify, procure and install the fuel oil meters as required. -72 - Annex 4 Page 3 of S (g) The firm shall establish standardized operating and maintenance procedures. (h) The firm shall establish procedures and train SELPA in techniques to evaluate engine performance. Division of Labor and Responsibilities The firm will be fully responsible for the implementation of the program. It will provide all of the services required to ensure the success of the project. EgLPA will provide the following: (a) access to the plants, to documents and to any data required to carry out the work; (b) all transportation in Ethiopia; (c) counterpart staff as required; (d) office space, standard office equipment and supplies; (e) secretarial services; and (f) translation services if required. Guidelines for Proposal The proposal should provide comprehensive details of the following: (a) a work plan in accordance with these Terms of Reference; (b) a preliminary estimation of the hours per person required for the work and the place in which the work will be carried out; (c) the nature of the organization and previous experience in related work in developing countries; (d) curricula vitae of staff who will be assigned for the study as well as Curricula Vitae of support staff at Headquarters; and (e) details of equipment offered or arranged for supply. A sealed envelope should be enclosed with the proposal, indi- cating the cost estimate of this work based on a system of fixed profes- - 73 - Annex 4 Page 4 of 5 sional fees which should also be determined in relation to the actual hours of work. The firm may suggest alternative schemes for attaining the objectives outlined in the Summary of Requirements. Any alternative scheme should be clearly identified as such and separate work schedules and costs should be provided for each. Once the proposals have been evaluated, EELPA will proceed to negotiate the contract with the most qualified firm and if they are unable to reach agreement during the negotiations, proceed to negotiate with the second best qualified firm. EELPA may reject ary or all of the offers received if none of them is satisfactory. Form of Contract The contract which will be awarded to the successful firm will be based on the International Model Form of Agreement Between Client and Consulting Engineer No. IGRA 1979 - D&S - produced and issued by the Internationai Federation of Consulting Engineers (FIDIC). Schedule of Pa]ments The schedule of payments will be negotiated and the firm is invited to propose a schedule. However, EELPA will tie payment to clearly identified performance targets. - 74 - Annex 4 Page S of 5 Project: Improvement of Efficiency of Diesel Plants ObJective: To train EELPA anginees In diesel plant rehabilitation to enable them to rehabilitate and improve the efficiency of the SCS diesel plants. Scooe of Servlce/EquiPm.nt: (a) To provide training for three engineers. (b) To suervise and assist In the rehabilitation of four plant". Professional Travel and Estimated of Cost (1984 USS)s Services Subsistence EquliMent Training of engineers and field work 136,000 Travel and subsistence 36,000 SWPare Prts 1,182,000 Fuel 011 Meters 64,000 Contingency (10%) 14,000 4.000 124.000 150,000 40,000 1,370,000 Subtotel 1,6S0,000 Local iLar and MaterIals 45,000 Tota1 1,605,000 - 75 - Annex 5 Page 1 of 6 TERMS OF REFERENCE FOR RMIABILITATION OF EBESA ICS GENERATION PLANTS Summary of Requirements The Ethiopia Electric Light and Power Authority (EELPA) is soliciting proposals from a consulting firm to prepare and implement a program to rehabilitate four generating stations in the EaESA inter- connected system. The work will be done in two phases. Phase I will include familiarization with the system, detailed assessment of the cost and benefits of various measures, preparation of equipment and training specifications, and some immediate training activities. Phase II will include the procurement, installation and commissioning of equipment, the implementation of operating procedures and final training of EELPA operating and maintenance staff. The overall cost of the program, excluding local staff and facilities, is estimated to be about US$3.1 million. The program is financed by . The executing agency is _ In the following discussion the consulting firm submitting a proposal to do the work is referred to as the "firm" and the work is referred to as the "program'. Program The Ethiopia Electric Light and Power Authority (EELPA) is a statutory government corporation responsible for the generation, trans- mission and distribution of electricity in Ethiopia. This project to rehabilitate four generating stations is one of a group recoimended by a World Bank/UNDP Power Loss Reduction mission. The mission's report which describes the power system and outlines the work to be done is a part of these Terms of Reference. Scope of Work The work includes everything that is necessary to achieve the objectives listed in the Summary of Requirements. Some of the specific tasks ares - 76 - Annex 5 Page 2 of 6 Phase I (a) The four Klockner, Humboldt and Deutz Company diesel units should be inspected by factory representatives to establish the cost of the spare parts and professional services that would be required to return the units to a good operating condition. The factory representative should also report on the life expectancy and expected recurrent cost of maintaining the units. Based on this information, the firm should perform an economic analysis to determine whether the units should be repaired or whether it would be more economical to retire them and replace their capacity with a new diesel plant. (b) The firm should inspect the Pielstick PC unit (with its Cie. Electro Necanique generator) and should establish whether the stock of spare parts is adequate. It should be noted that a similar unit is installed at the Belesa station and there should be a common inventory of spare parts. (c) The firm should inspect the existing cooling water systems which frequently are fouled by marine growth causing derating of the generating units. The firm should evaluate alternative solutions to the problem (e.g. use of different heat exchange metals; use of inhibiting chemicals) and should recommend the least-cost solution. Phase II (a) The firm should prepare and issue specifications, and invite tenders for the work justified in Phase I. It should then assist HELPA with the evaltation of tenders, procure and expe- dite the required equipment on behalf of LELPA and manage its installation and commissioning. Gasgiret Station This station consists of ten Caterpillar diesel engines fitted with UN Wilson of Northern Ireland generators and with Nir"lees diesel engines fitted with Hitzinger generators. Phase I (a) The firm should inspect the units, determine their present and recurrent need for spare parts, and for any special service by the manufacturer. (b) The firm should specify appropriate fuel oil meters so that each unit can be fitted with a meter to monitor performance. - 77 - Annex 5 Page 3 of 6 (c) The firm should assess the need for and specify any other improvements which are economically justified to improve the operating of the plant. Phase II (a) The firm should issue requests for tenders, for the equipment and services justified in Phase I. It should then assist SELPA to evaluate the tenders, to procure and expedite the necessary parts and services and to manage their installation and commis- sioniw.g. The Firm should also train EELPA engineers in improved maintenance practices. Kagnew Station This station consists of four Enterprise diesel engines fitted with AC Schoovmaker generators. Phase I (a) The firm should review the operation and maintenance practices at this plant and determine the present and recurrent need for spare. parts. It should then prepare a list of the required spare parts. (b) The firm should study the excessive derating associated with the conversion of two of the units from 60 liz operation to 50 Hz operation. Units 1 and 2 have been customized by E2LPA to operate at 50 or 60 Hertz based on system requirements. They also are planning to convert units 3 and 4 to operate in the same manner. The EELPA conversion of units 1 and 2 has resulted in derating the unit to 55% when changing from 60 to 50 Us, whereas an 83% derating would be expected. The units operate at 360 rpm at 60 Hz and 300 rpm at 50 Hz. The firm is to study this condition and establish the steps and costs necessary to regain the lost capacity on units I and 2 and the costs of converting units 3 and 4. It is required that all four units retain the n.apability to operate at either frequency in order to meet demand requirements on the ERESCA ICS and at the military base. (c) The firm should specify suitable fuel oil meters for monitoring the fuel input to the four units. (d) The firm should evaluate the costs and benefits of any further potential improvement and submit its findings to EELPA for approval. - 78 - Annex S Page 4 of 6 Phase II (a) The firm should issue requests for tenders for the equipment and services justified in Phase I. It should then assist EELPA to evaluate the tenders, to procure and expedite the required parts and services and manage their installation and commissioning. Belesa Station This station consists of two small steam units and a Pieletick PC unit. The two steam units have been overhauled recently and spare parts were used to enhaice the units' operation. The entire steam plant was furnished by Franco Tosi of Italy. The boiler design is taken from the Combustion Engineering Company whereas the turbine generator set is based on Westinghouse Electric Co. design. Phase I (a) The firm should assess the present and recurrert need for spare parts. (b) The PC unit has been overhauled after being out of service for two and a half years, partially due to spare parts problems. One aspect of the overhaul work, which was not incorporated, was a modification of the exhaust valve cooling system and the addition of roto caps. The firm should specify these devices to enhance the operation and availability of this unit. (c) A spot sample of the heavy oil being burned in the Belesa station has been analyzed. The test results indicate vanadium and a high sodium content, probably from salt water. Vanadium in the presence of sodium forms molten salts during combustion of the oil, which are highly corrosive to diesel engines, espe- cially the exhaust system. The firm should specify a water separator for the fuel line to the PC unit to remOve salt water and minimize this problem. (d) The firm should specify the fuel meters required to monitor the fuel input to the three units. (e) The high rate of deposition of calcium carbonate on the boiler tubes (2.2 pounds per square foot) indicates a major operating fault in the plant water treating plant. The firm should inspect, test and specify corrective measures for this problem on a first priority basis upon award of contract. -. 79 - Annex 5 Page S of 6 (f) The firm should study and evaluate the merit of installing a cooling tower to service the two steam and three diesel units (two are being installed) at this station. The study is to consider the technical and economic gains associated with the installation, including increased auxiliary power consump- tion. In the event that the installation of the tower is not justified, the firm should assess the need for a closed cooling water system for the three diesel units. The firm should specify the appropriate system. (g) The firm should evaluate the efficiency of the existing boiler fuel oil burners against that of low excess air oil burner units. If the new low-excess air burners are justified, the firm should specify the new units. (h) There is evidence of a need to improve steam plant operating procedurest especially during start up and shut down. The firm should work with the plant operations group to compose procedures which would minimize over-stressing the plant equipment on start up and shut down and also during normal operation. Wet and dry cold storage and wet standby procedures should also be written and introduced to plant operation by the firm. (i) The firm should submit and, with EELPA's approval, specify other additional plant elements found which require repair, rehabilitation and upgrading. Phase II The firm should issue requests for tenders for the equipment and services justified in Phase I. It should then assist EELPA to evaluate the tenders, to procure and expedite the necessary parts and services and to manage their installation and commissioning. Division of Labor and Responsibilities The firm will be fully responsible for the implementation of the program. It will provide all of the services required to ensure the success of the project. EELPA will provide the following: (a) access to the plants, to documents and to any data required to carry out the work; (b) all transportation in Ethiopia; (c) counterpart staff as required; - 80 - Annex 5 Page 6 of 6 (d) office space as required; (e) secretarial services in Ethiopia; and (f) translation services if required. Guidelines for Proposal The proposal should provide comprehensive details of the following: (a) a work plan in accordance with these Terms of Reference; (b) a preliminary estimation of the hours per person required for the work and the place in which the work will be carried out; (c) the nature of the organization and previous experience in related work in developing countries; (d) curricula vitae of staff who will be assigned for the work as well as curricula vitae of support staff at Headquarters; and (e) details of equipment offered or arranged for supply. A sealed envelope should be enclosed with the proposal, indicating the cost estimate of this work based on a system of fixed professional fees which should also be determined in relation to the actual hours of work. The firm may suggest alternative schemes for attaining the objectives outlined in the Summary of Requirements. Any alternative scheme should be clearl;. identified as such and separate work schedules and costs should be provided for each. Form of Contract The contract which will be awerded to the successful firm will be based on the tnternational Model Form of Agreement Between Client and Consulting Engineer No. ICRA 1979 - D&S - produced and issued by the International Federation of Consulting Engineers (rrDIC). Schedule of Payments Ths schedule of payments will be negotiated and the firm is invited to propose a schedule. However, the EELPA will tie payment to clearly identified performance targets. - 81 - Annex 6 Page 1 of 7 TERMS OF REFERENCE FOR HREABILITATION OF HYDRO PLANTS Summary of Requirements The Ethiopia Electric Light and Power Authority (EELPA) is soliciting proposals from a consulting firm to prepare and implement a rehabilitation program for three of its hydroelectric plants. The following paragraphs outline the existing conditions and rehabilitation requirements of the EELPA hydro-electric plants. The work consists mainly of repairs or modifications needed to improve the reliability of the plants and protect them from future damage. It should be done In two phases. In the first phase, the firm should review and clarify the details of the necessary work, verify the expected benefits and submit its findings to EELPA for approval. When the project is approved, the firm should prepare datailed specifications and issue requests for proposals on behalf to EELPA. When the bids are received, the firm should assist EELPA in their evaluation, and then manage the ir~callation and commissioning of the necessary equipment. The overall cost of the program, excluding local staff and facilities, is estimated to be about US$ million. The program is financed by . The executing agency is _ In the following discussion, the consulting firm submitting a proposal to do the work is referred to as the "firm" and the work is referred to as the "program". Background The Ethiopia Electric Light and Power Authority (EELPA) is a statutory government corporation responsible for the generation, trans- mission and distribution of electricity in Ethiopia. EELPA reports directly to the Ministry of Energy. This project to rehabilitate the hydro plants is one of a group recommended by a UNDP/World Bank Power Loss Reduction mission. The mission's report, which describes the power system and outlines the work to be done, is a part of these Terms of. Reference. - 82 - Annex 6 Page 2 of 7 scope of Work The work includes everything that is necessary to achieve the objectives listed in the Summary of Requirements. Some of the specific tasks are: Tis Abbay Station Turbine Shaft Seal/Bearing Conversion The unit 1 and 2 turbines, manufactured by Titovi Zavodi of Yugoslavia, are installed with a shaft seal located inside a bearing lubricating oil container. The seal leaks and displaces the oil, forcing the bearing to run on raw river water. The firm shall arrange to have the seal and the bearing configuration converted to a design similar to that used with unit 3. Raising the Diversion Weir The Laka Tana level raising project does not include raising the diversion weir in the vicinity of the plant intake .anal. The firm shall design and supervise the construction of an extension to the weir to accommodate the new lake level. In the event adjustments are required at the plant intake, these shall also be designed and supervised by the firm. Spare Parts The firm shall review the existing supply of parts for the station and assess the need for new or additional parts based on the three unit installation and future forecast operation of the plant. The list shall be submitted to SELPA for review and purchasing. It is noted that the generators were supplied by Rade Koncar of Yugoslavia. miscellaneous The Engineer shall, with EELPA's approval, submit and implement other additional work elements found which require repair, rehabilita- tion, or upgrading. Optional Work Elements to be Contemplated in the Future The Engineer shall submit quotations or estimates for the following future work elements: Removal of River Obstruction. There is a rock configuration in the stream at the discharge of the plant tail race which con- stricts river floe and reduces unit capacity during the rainy - 83 - Annex 6 Page 3 of 7 season. The firm should quote the cost of removing the ob- struction. it is to be assumed that the debris is to be relo- cated, after demolition, to a point no more than 500 meters from its present location. Upgrading Turbine Design. The present day design of hydraulic turbines is more efficient than the designs used 20 years ago, about the time the Tis Abbay units were installed. The firm should have the existing unit configuration studied by a manu- facturer skilled in this type of design and report as to the costs and benefits associated with upgrading these units. Koka Station Trash Handling System The existing trash handling system is inoperative and in need of replacement. The trash bars are believed to be broken and silt, branches, and other debris have settled in the two penstocks. The firm should inspect the trash bars and determine the work required to replace the bars. It shall also replace the two trash rakes either with a single. rake serving the two intakes, or with a rake for each intake. Penstock System The inlet gate frames on the two penstocks are in need of repair or replacqment as the gates cannot seal the penstock for inspec- tion and maintenance. The firm shall inspect the inlet gates and their frames to assess the amount of repair work required to rehabilitate the equipment. Upon determining the need for repairs, it shall then specify and manage the necessary work. Once completed, the firm shall have the penstock inspected and cleaned out if necessary. It shall also restore the penstock to good working order if repair work is required. Turbine Runner Ring Casing The three Riva Calsone (Italy) turbine units' runner ring cas- ing clearances are increasing due to the wear caused by the silt in the water. These rings are to be inspected and replaced if necessary by the firm. Generator Cooling System These Karelli (It.ly) generators have a once-through cooling system which at times plug the strainers because of the reservoir silt. This individual cooling unit system is to be rehabilitated. - 84 - Annex 6 Page 4 of 7 Spare Parts The firm shall renew the existing store's supply of parts for the station and assess the need for new or additional parts based on the three-unit installation, and future forecast operation of the plant. The list shall be submitted to EELPA for review and purchase. Miscellaneous The firm shall, with EELPA's approval, submit, and implement other additional work elements found which require repair, rehabilita- tion, or upgrading. Optional Work Elements The firm shall inspect and then submit a quotation or estimate for the following future work elements: Deep Sluice Gate. It is going to become necessary to repair the existing deep sluice gate which is presently under 13 meters of silt. It will be necessary to remove the silt to repair the gate. The Engineer shall also study the potential of reentraining the silt back into the reservoir water for sluicing the material through the gate. It is estimated that it will be necessary to sluice 25 million cubic meters of silt per year to stabilize the silt buildup. Dredging the Koka Reservoir. The 25 million cubic meter per year silt buildup in the Koka reservoir can be reduced by dredging. However, this is considered to be only a temporary expedient as a means of maintaining reservoir storage volume. It is possible that this had been done in conjunction with the deep sluicing of silt, it may stabilize the silt de-osition problem. Reforestation of the reservoir drainage basin should also contribute to controlling this problem. The Engineer is to study the potential costs and practicality of dredging approximately 80 million cubic meters and of silt advise of a procedure which could stabilize this condition. He shall also investigate the effects of the existing reforeetation program on' the retention of silt in the Kcka drainage basin. - 85 - Annex 6 Page 5 of 7 Finchaa Turbine Governors The three Eascher Wyss turbine units. have a govenor design which is unstable and obsolete. The Engineer is to change the present govenor to the present supplier's design. Paint Certain sections of the turbine system and the plant penstock require a speciaL evoxy-type paint to protect the surface from corro- sion. The Engineer shall arrange for the procurement of the paint, and have these surfaces painted. Reservoir Grass Problem The grass/silt growth in the intake channel is growing and rapidly approaching the penstock inlet area. The silt depth varies from one-half to two meters in depth and almost completely covers the inlet channel. The Finchaa reservoir is scheduled to be raised two meters in 1985, which will raise the grass/silt lifting it from its anchor along the shoreline, thus freeing it up to float towards the penstock inlet. The Engineer, upon award of the contract, is to immediately begin to organize and mobilize the forces necessary to begin the physical removal of this growth. Penstock Pipe Seal There is a section of unstable ground supporting the penctock alnost at the end of its run to the power plant. ENTUA has repLaced a large section of this dirt with a more stable material. They have also installed two pumps to drain any run-off water from the mountain during the rainy season. If the above steps do not eliminate the ground swell problem, the Engineer shall study and take additional steps to eliminate this problem. Spare Parts The Engineer shall review the existing system store's supply of parts for the station and assess the need for new or additional parts based on the three-unit installation and future forecast operation of the plant. The list shall be submitted to EELPA for review and purchase. - 86 - Annex 6 Page 6 of 7 Miscellaneous The Engineer shall submit, and with EELPA's approval, impLement other additional work elements found which require repair, rehabilitation or upgrading. After the cost estimates are prepared, a benefit/cost analysis should be performed using economic principles to determine whether or not the work to allow Khulna to be two-shifted is justified (the economic cost of fuel and long-run marginal costs for energy and capacity and/or willingness to pay should be used for the analysis, as appropriate). Division of Labor and Responsibilities The firm will be fully responsible for the im:,.ementation of the program. It will provide all of the services required to ensure the success of the project. EELPA will provide the foll.owing: (a) access to -the plants, to documents and to any data required to carry out the w.rk; (b) all transportation in Ethiopia; tc) counterpart staff as required; (d) office space, standard office equipment and suppLies; (e) secretarial services; and (f) translation services, if required. Guidelines for Proposal The proposal should provide -comprehensive details of the following: (a) a work plan in accordance with these Terms of Reference; (b) a preliminary estimation of the hours per person required for the work and the place in which the work will be carried out; (c) the nature of the organization and pre-ious experience in relate work in developing countries; and - 87 - Annex 6 Page 7 of 7 (d) curricula vitae of staff who will be assigned for the study as well as curricula vitae of support staff at Headquarters. A sealed envelope should be enclosed with the proposal, indi- cating the cost estimate of this work based on a system of fixed profes- sional fees which should also be determined in relation to the actual hours of work. The firm may suggest alternat.ve schemes fot attaining the objectives outlined in the Summary of Requirements. Any alternative scheme should be identified clearly as such and separate work schedules and costs should be provided for each. Once the proposals have been evaluated, EELPA will proceed to negotiate the contract with the most qualified firm and if they are unable to reach agreement during the negotiations, proceed to negotiate with the second best qualified firm. EELPA may reject any or all of the offers received if none of them is satisfactory. Form of Contract The contract, which will be awarded to the successful firm, will be based on the International Model Form of Agreement Between Client and Consulting Engineer No. IGRA 1979 - D&S - produced and issued by the International Federation of Consulting Engineers (FIDIC). Schedule of Payments The schedule of payments will be negotiated and the firm is invited to propose a schedule. However, EELPA will tie payment to clearly identified performance targets which may include among others: - the completion of analysis; - the production of specifications; and - the completion of the project. 3~~~~~ ~ ~~~~~~~~~~~ , o3 ,(. MUM St SgCTLS MfACF "AGOMt ASSISTAfCI PMGIMAM Actiities cOmplete4, Date Completed ' Energy .4asesment Status Report Papua New Guinea 3, . July, 1983 Mauritius ., Octoher, 1983 Sri Lanka , January', 1984 * Malawi . 5 (^ ~~~~~~~JanuarEy, 1984 Burundi February, 1984 Bangladesh AprI.l,o1984 Kenya' May c 1984 Rwanda. v, * May, 1984 Zi'mbabwe < Auaiust,. 1984 Uganda 1 . August,. '1984 Indonesia - Septemher, 1984 Senegal . Octobir,f 1984 . Sudan. :, 4ovemher, 1984 .epal January1" 1985 Zambia " . 0 August, 1985. Peru . . . - August;, 1985 iaiti - August, 1985 Paraguaya ,- September, 1985 Project Formulation and Justification 73~~~~~~~3. Panama Poowe. Los" Rediic'tion Study- : June,-.8983 ,*. Zimbabwe Power Loss Reduction( Study Jud , 14)33 Sri Lanka Powerlosios - eductior, Scud- - G July, 1943 r' Malawi . Technical,.Asslstanige 'o tq ptove )^ . . ., < the Effictency of Fuelwood ". Knya , -.P . - -Use. in Td$acco tndvsti. Novemher, 1983 > > Kenya - P6er Loss Reduq.ion Study March, 19,840.' .. o Sudan Poer RedU on Study June, 1984 Seychelles Pfower Ldss 'geduction Study August, t984 The GambiaK Solariacte'rHeating Retrofit Projectc February1 1985 ' " Banglade"h. Power System efficiency Study. Februarj 1985 .'" The Gambia Solar Photov4ltaig Applicactions March', 1985 ' ' Sen.igat Industrial Energy. Conservation June, 1985 Burundi Improved"Charcoal Cookstove Strategy' September, k985 Thailand Rural Energy tssues and Opet'ons September, 1985 , <' > tnstItutional and PoLicy Su2port i . ea' oSudan Management Assistanee to the i' . CO Ot; . > (. Miniit.ry of .pergy & Mi-ning ' May, J193 * Burundi Petroleum Supply Management Study Deeember, 1982 o uatia New Proposals for Strengt#ening the Guiinea bepar~ment of M4nvrals and EnerSW . Ocodber, i98 9> * ˘ *^ ~~Papua, New *p Guinea Po4er Tariff Study Oetober`G1' Ic4 % o3 -Costa Rica- Recomm4nded'Tech. Asst'. Projects * November, 6984,'@ . Energy Setcor. ' -anuar°' i985 °°0"00 Recommended,TechnW'al Assistance ' 0 " BI3 08ssadz °Q Projects ° " ^ -° April,,`%31985 '.Lmbabae -?-ove'Sctor Manaiement G a" lAprli, 19&t; o 0 < The Gambia Petruleup 'Supply Management Assisrance April, 1985 Butundi fresentat.on"of-Energy Projects for tfe *,, 9 , _ oa O'° K Fourth Five Year-Plan. 1M9y-L9* O -~ 0 'Liberi-a- * Recommendedrechnical Assijtnee Yrpj. June",W85 .-* a . .~~ .~ 0 . ' ' A00 O~~~~~~ , . 2"' 0 a .5 , , ' s " " . . °)4 ° Q o i . v i