Addis Fortune (Addis Ababa)

Ethiopia: Italian Consta JV Subcontracts Railway Rehab to Mesfin Industrial

Wudineh Zenebe

25 February 2008


Consta Joint Venture (JV), a subsidiary of Italian Consta Consortium, subcontracted Mesfin Industrial Engineering, a subsidiary of EFFORT, to construct bridges on the Ethio-Djibouti Railway with a cost of 40 million Br. Consta has earlier taken the rehabilitation project of the Railway that is to be carried out in two phases.

Consta is slated to repair almost 103Km of damaged line on the Djibouti-Dire Dawa section and 12Km on the Dire Dawa-Addis Abeba line.

It will also repair 65 steel bridges treating them against corrosion and replace 25 bridges with new concrete models. Seven of the bridges are in Djibouti, the remaining 83 within Ethiopia.

"This project is advantageous for Mesfin Industrial as it will gain valuable experience," Getachew Belay, general manager of EFFORT, told Fortune. "We hope that we will work together with Consta on other projects too."

The European Union (EU) provides 50 million dollars for the project. Seven European companies contended in the construction bid while only Sur Construction participated from local contractors.

Consta is one of the top contractor groups in Italy with specialisation in civil works, infrastructure, rail works and residential buildings. With a turnover of almost 400 million dollars per year, Consta Consortium is able to provide, through its companies, Mattioli SpA (civil and railway works), STE (electrical and hydraulic plants, power supply and infrastructure and renewable energies) and Solar SpA (residential building and geotechnical works).

Long Track Behind

Swedish advisor of Emperor Menelik, Alfred Elg, and his French partner, Liyena Shefne, took a 99-year concession in 1886 to create it the 781Kms Railway

Imperial Ethiopian Railway Company established in June 1896

Railway entered Dire Dawa in 1902, 15 years before it had reached Addis Abeba

Railway reached Addis Abeba in May 1909, starting from six metres above sea level to an altitude of 2,480m

Railway was by Ethiopia and France jointly owned Railway after their respective governments signed a treaty on November 12, 1959. The 4.3 million Br capital was equally raised from both governments to run a company that had 34 diesel locomotives, and three railcars with 16 coaches, transporting close to half a million passengers

Limited rehabilitation works of rails and bridges damaged as a result of Ethio-Somalian war in the early 1970s

Consta has established and inaugurated a 110 million Br sleeper factory on February 16, 2008, in the Railway Enterprise's premises in Dire Dawa, 501Km east of Addis Abeba, in accordance with its agreement with the Railway Enterprise.

Te'um Teke, general manager of the Enterprise, disclosed to Fortune that the Enterprise has rented offices, residential houses and the plot where the factory lies with one million Birr.

According to the technical proposal offered by Consta, the rehabilitation of the Railway depends on the sleeper factory in Dire Dawa, which produces 15,000 concrete monoblock sleepers monthly.

According to Te'um, the price of steel is increasing globally, which makes the sleeper factory crucial.

Carli Guido, project manager of Consta JV, told Fortune that the factory is among the newest in the world.

According to Mr. Guido there is a plan to produce concrete for electric poles and prefabricated houses changing with different moulds.

The Ethio-Djibouti Railway, which is over 100 years, has deteriorated immensely over the years as its cross bars, which should weigh 40Kg per metre are now less than 30Kg. This forces the reduction of permissible loads.

Junedin Sado, minister of Transport and Communication, told Fortune that the government has focused on enhancing the railway network, a vision in which the sleeper factory is integral.

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