Leading Companies in the Ethiopian Construction Sector
Addis Block Production Share Company, Addis Ababa
The Addis Block Production Share Company is located in Addis Ababa Woreda 19, Kebele 47. Its land holding is 55,030m2. Formerly known as Building Materials Research Center, Addis Block was established as a pilot plant in 1976, under the supervision of the former Ethiopian Building Construction Authority (EBCA). The Research Center was established as a result of the agreement between the Ethiopian Government and the Swedish International Development Agency (SIDA) and grew up into a production unit in 1981. Consequent to the liquidation of EBCA in 1992, the Center was established as an independent enterprise in March 1993 with a paid-up capital of Birr 8 million and was incorporated as Addis Block Production Share Company on December 1, 1999 in view of its privatization. The Share Company's capital as at the date of transformation is 14,245,000 divided into 12,245 ordinary shares of 1000 Birr each, all currently held as government shares. The average annual turnover of Addis Block production share company is Birr 7,159,214.
Awash Construction Enterprise, Addis Ababa
Awash Construction Enterprise (ACE) is located in Addis Ababa Woreda 19, Kebele 47. It is a state-owned construction enterprise, established in January, 1993 with first grade general contractor license, (GC-1), which enables it to undertake construction projects worth Birr 25 million or more. This license allows it to undertake the construction of:
ACE's head office is located in Addis Ababa on an area of 83,000m2 with the following facilities:
Two branch offices have been established to help expand its market share in Awassa, southern Ethiopia, and in Mekelle, northern Ethiopia. The enterprise operates, for its own use, 32,000m2 of stone quarry in Addis Ababa not far away from its head office. The quarry produces crushed aggregate for concrete, asphalt works, and various concrete products like cement pipes, hollow blocks, etc. ACE has different types of light and heavy construction equipment. Some of the major types of equipment include earth moving machinery such as dozers, graders, rollers, excavators and dump trucks; light construction equipment including pumps, mixers, vibrators, drilling machines and compressors; transport equipment; mobile cranes; workshop facilities; quarry equipment; and laboratory facilities.
The enterprise has so far secured 16 contracts for various types of projects. Of these, 14 projects have already been completed and handed over to the respective clients. The projects mainly consist of social and industrial buildings. ACE has an annual building capacity of Birr 60 million, and, at present, operates at 80% of its building capacity. In the coming five years, it intends to expand its building capacity from an annual turnover of Birr 60 million to Birr 80 million. It also intends to gradually move from building construction activities to equipment intensive construction activities such as roads, bridges, and water works.
Batu Construction Enterprise, Addis Ababa
Batu Construction Enterprise is located in Addis Ababa Woreda 26, Kebele 14. It was established in 1983. So far, the Enterprise has undertaken the following major construction works:
The total value of works executed by the enterprise amounts to Birr 250 million. The enterprise has both road and building construction projects at hand whose total value amounts to Birr 150 million.
Blue Nile Construction Enterprise
Blue Nile Construction Enterprise (BNCE) was established in December 1982 as an independent public enterprise. Its authorized capital is Birr 75 million of which Birr 30 million is paid up. Today BNCE is one of the major construction companies in the country. The enterprise has staff of more than 400 experienced managers, engineers, accountants, technicians, equipment operators, craftsmen and others. The equipment and fleet owned by the enterprise include over 200 pieces of various construction equipment, transport vehicles, and auxiliaries. BNCE had built thousands of Kilometers of roads asphalt & gravel, a major irrigation project, factory buildings, and residential and non-residential building in projects mostly financed by international lending agencies.
Brick Product Share Company, Addis Ababa
The Brick Product Share Company is located in Addis Ababa, with two branches, Ethio-Brick Product and Burayu Brick Products. The company has a total area of 186,780 m2 of land at Burayu and 170,250 m2 at Ethio-Brick's. The company was established in 1952 to produce bricks, and re-established as a share company since Dec. 1,1999 with a paid up capital of Birr 10.097 million. It has a capacity of producing 20,000,000 pcs of bricks, while its attained capacity is 17,600,000. Brick Product Share Company has an average annual turnover of Birr 7-9 million and has been operating profitably. The average profit before tax over of the past five years was Birr 659,200.
Building Design Enterprise (BDE), Addis Ababa
The Building Design Enterprise (BDE) is located in Addis Ababa Woreda 19 Kebele 47. The enterprise is an architectural and engineering consulting firm which has been rendering a wide range of services to the building sector (Design, Contracts Administration & Materials Testing) since 1986. It has expanded its service range to road and water sectors since 1995. The enterprise is organized in three operational departments: Design, Contract Administration, and Materials Testing. The major asset of the enterprise is its manpower. It is managed and staffed by Ethiopian nationals who are professionally qualified in a wide range of engineering disciplines. It is also staffed with about 300 technical professionals, the bulk of which hold university degrees.
One of the services rendered by the enterprise is design. It coordinates and controls the overall function of design works. The enterprise has three Building Studios, one Road Studio and one Water Works Studio. The three building design studios render design services for buildings of any kind. The Road Design Studio provides services to highway, bridge, railway, airport and harbor structures. The studio is staffed with well-qualified highway engineers, surveyors, photogrammetrists, bridge engineers and other professionals. The Water Works Design Studio is engaged in the design, supervision and research & development activities related to the water and environment sectors. It is also involved in infrastructure planning and design of master plans for small and medium size towns. Its hydrogeologists, sanitary engineers and technicians are well qualified and have attended specialized training programmes in the water sector abroad. The enterprise owns seven rotary core-drilling machines of different capacity and a well-equipped computerized laboratory. It has accomplished a wide range of geo-technical & laboratory studies for various industrial and social buildings, roads, bridge sites, dam sites and irrigation projects.
The enterprise has a decentralized structure with seven regional offices, well organized both in manpower and facilities. It has plans to open further regional offices. The objectives of the enterprise are as follows:
The Building Design Enterprise has a revised authorized capital of Eth. Birr 16,324.000.
National Engineers and Contractors Enterprise
National Engineers and Contractors Enterprise (NECE) was founded in 1968 when there was no native construction company in Ethiopia. NECE was established by Ethiopian engineers as a private limited company with a capital of Birr 20,000. Its major purposes were to render engineering services, particularly civil construction works, to supply materials and equipment necessary for construction works and other related activities. In addition, it also rents its form works, machinery, equipment and dump trucks when they are not in use.
Other materials and equipment include an aggregate crushing plant, a concrete batching plant, rock drilling equipment, tower and mobile cranes, fully equipped workshop equipment, soil laboratory equipment, camp equipment, thousands of form works and various materials. The enterprise's head office with an area of more than 14250 sq. meters is located in a very attractive area near Region 14 Road Transport Office. The facility consists of well-furnished office buildings, three big stores, a clinic, a library, metal and wood workshops as well as a fully equipped garage facility. The enterprise also possesses two quarry sites on lease basis. The first quarry site (meri Kebele Gebere Mahiber) with an area of 75,212 m2 on which have been set a quarry, a crusher, and other construction materials production centers as well as stores for supplies, construction materials from works. The second and largest quarry site, (Loke Kebele Gebere Mahiber) with an area of 175,948 sq. meters produces aggregates.
Prefabricated Building Parts Production Enterprise
Prefabricated Building Parts Production Enterprise (P.B.P.PE) was established in 1986 with the initial capital of Birr 11,000,000. The enterprise was established by an agreement made between Ethiopia and the Yugoslav Government to alleviate housing problems and decrease deforestation that is the cut of eucalyptus trees used for construction purposes. The enterprise is located on the main road to Assab, 20 kms from the center of Addis Ababa in Woreda 27, Kebele 11. The enterprise produces and erects different building parts of reinforced concrete for residential and public buildings. Manholes, concrete pavement, fence pole and fresh concrete selling are its additional products. PBPPE rests on a land of 111,350 sq. meters of which 8,777 sq. meters are occupied by the building. Roads take 13,220 sq. meters while the gardens lie on 2,880 sq. meters.
Transport Construction Design, Addis Ababa
The Transport Construction Design Enterprise (TCDE) is located in Addis Ababa Woreda 21 Kebele 04. It is a consulting firm that deals mainly with the design and supervision of roads, bridges and airports. TCDE has its head office in Addis Ababa and branches in the major cities of the country. The enterprise was formerly a division under the Ethiopian Roads Authority (ERA) during the time when ERA was responsible for the Design, Construction and Supervision of the works. TCDE was established as an enterprise on August 26, 1987, with an authorized capital of Birr 19,197,000 under the Building and Transport Construction and Design Authority to:
TCDE has 520 employees of whom 370 are qualified professionals. The staff includes civil, structural and geo-technical engineers, geologists, hydrologists, photogrammetrists, chemists, economists, surveyors, laboratory technicians, specialists in construction management and preparation of specifications and contract documents, computer programmers, and other support staff. The enterprise has over the years attained considerable experience particularly in photogrametry, surveying, design, materials investigation and testing, and construction supervision as applied to roads, bridges and airports. TCDE is registered as an independent consulting firm by the following financing institutions:
The enterprise owns well-organized library, computer facilities, modern surveying, and laboratory equipment; TCDE has been providing professional services for several hundred projects throughout Ethiopia for clients such as government agencies, international financing institutions, public organizations and commercial firms. The African Development Bank (ADB), the World Bank and the European Economic Commission (EEC) financed many of the large-scale projects it handled. The enterprise is thoroughly familiar with the requirements of the domestic and international financial institutions and clients for the preparation of project studies, design and implementation.
Water Well Drilling Enterprise
The Water Well Drilling Enterprise (WWDE), previously known as Under Ground Water Resources Development Project, was established in 1974 as a Project operation unit under the Agricultural and Industrial Development Bank (AIDB) with a loan of Birr 16,093,000.00 (Yen 2, 155,000,000) obtained from the government of Japan. It is located in Addis Ababa in woreda 18, Kebele 26. The initial target of the project was to provide reliable ground water supply for agricultural, industrial and domestic use by drilling a total of 280 wells, 100 in the vicinity of Addis Ababa and 180 in other regions of Ethiopia.
Up to 1987 the enterprise operated under overall control and guidance of Aid Bank in financial aspects and the Water Resources Commission in administrative and technical matters. Pursuant to the decision made by the Council of Ministers in march 1987, Water Well Drilling Enterprise which was until then known as Water Well Drilling Agency, came under the Water Resource Commission as an autonomous organization. From August 1992 until February 94 WWDE was under the Ministry of Public Works and Urban Development. On 12 February, 1994 WWDE became Public Enterprise with a paid up capital of Birr 12.48 million paid in cash and in kind. The enterprise soon obtained Japanese Grant Assistance and has now capital of Birr 52.41 million.
The enterprise's Warehouses and workshop hold 24,933m2 of land and Wolonkomi crollel sieving solution has a size of 9,000m2.
Water Works Construction Enterprise, Addis Ababa
Water Works Construction Enterprise (WWCE) is located in Addis Ababa Woreda 17, Kebele 14, principally established to carry out construction of civil works. The main activities of the enterprise include the construction of dams, irrigation & drainage networks, water supply & sewerage system, river diversions, roads & buildings, land reclamation’s, boreholes, and hydropower plants.
WWCE is well equipped and has rich experience particularly in the construction of hydraulic structures mainly dams, water supply & drainage system. It is the leading water works construction company in the country and has been undertaking large and big projects throughout the country. To mention just a few-Alwero Dam having a reservoir capacity of 75,000,000m3 as well as water supply projects for Jimma and Dire Dawa towns which included large and complicated intake structures. It has also completed a hydropower plant at Dembi and a large-scale drainage network for Amibara Irrigation System. With its experienced engineers, other professionals and technicians and a large fleet of construction equipment, the enterprises currently undertaking construction works of five water supply projects, one road project and one large weir on Wabi Shebele River. The construction capacity of the enterprise is Birr 140 million per year.