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INTRODUCTION
The metric-gauge line stretches 780 km, of which 681 are located within
Ethiopia and approximately 99 km are in Djibouti. The Project’s service area covers
30 percent of Ethiopia’s cultivated lands, as well 30 and 70 percent of the
populations of Ethiopia and Djibouti, respectively. Additionally, the Ethiopian
industrial center of Dire Dawa, Awash, Metehara, Modjo, Debre Zeit, Akaki, and
Addis Ababa are located along the line. Consequently, the railway has the potential
to become an important transportation link and export/import route for Ethiopia’s
industry.
Stations
Along the line Djibouti has a total of four railway stations:
Ali Sabieh passenger and freight railway station, a single 300m long boarding
platform and a station building for passenger handling( ticketing,
refreshments)
Holhol passenger and freight railway station, a single 200m long boarding
platform and station building for passenger handling( ticketing, refreshments)
Nagad passenger and freight railway station, a single 300 m long boarding
platform and station building for passenger handling( ticketing, refreshments)
Djibouti port station freight yard without passenger services in the non-
electrified railway section, for collecting and assembling freight trains
All trains stations have at least three tracks and could serve as passing loops on
single-track railway line. In addition, depots and maintenance facilities are located at
the stations. The traction power for the overhead catenaries is delivered through
three substations which are directly connected to the Ethiopian national grid.
Stations inside Ethiopia Three types of railway stations exist:
open,
abandoned and
Defunct.
The latter still exist while the status of abandoned railway stations is uncertain.
Maybe they were totally demolished, maybe not. There are also some open railway
stations, as the meter-gauge railway still operates in 2018 with passenger services.
Main stations
Station Built Status
Deridawa 1902-1910 Open
Addis-Ababa 1917-1929 defunct
Objectives of railway
To Strong political will and commitment from the government
To increase growing freight and passenger volumes in all the corridors
Railway projects are technically feasible and economically viable
To increase rapid growth of the economy (can shoulder part of the financing of
the projects)
Regional connectivity - enhancing trade
The positive response from development partners regarding the financing of the
projects
Green development strategy (environmentally friendly)
Technical Features
The railway runs from Djibouti at sea level to Addis Ababa, with an elevation of
2,800 meters above sea level. According to the results of the rehabilitation pre-
feasibility study, sections of the railway are laid at steep gradients and have
curvatures that require modification in order to use upgraded locomotives at full
capacity.
The railway is divided into two sections, each with a gauge of one meter and
comprising rails ranging from a low 20 kg/m to 36 kg/m, as outlined below. The 20
kg/m rails are able to carry traffic with only a maximum axle load of 12tons,
compared to 14 tons for 30 kg/m rails and 17 tons for 36 kg/m rails.
Economic Rationale
Unique Features of the Djibouti-Ethiopia Rail
As the only railway connecting the Ethiopian capital of Addis Ababa to Djibouti
Port, the railway has the potential of becoming a key import/export route.
Djibouti is strategically located on the Red Sea’s international shipping routes and is
well placed in relation to the East African hinterland, with the potential of becoming
a regional transport hub. The pre-feasibility study consultants estimate that, with the
required number of railway stock, more efficient services, and an aggressive
marketing policy, railway traffic could increase dramatically: by the sixth year of
operations, traffic could increase from its present level of 250,000 tons per year to
1,500,000 tons per year or more. The Addis Assab road (via Dikhil and Galafi, with
a connection to the Djibouti port), has, however, superseded the CDE as the primary
transportation provider between Djibouti and Ethiopia.4 Freight traffic on the
railway has declined from 450,000 tons per year in 1975 to 215,000 tons per year,
with passenger traffic likewise dropping from 1.4 million passengers per year to
650,000 passengers per year.5 At the same time, there has been a sharp increase in
transit traffic since the designation of Djibouti as Ethiopia’s gate port, most recently
spurred by increased demand resulting from the private concession of Djibouti’s port
and airport. Although the operating cost per ton kilometer and the total distance (780
km by train versus 918 km by road) to be travelled are lower by train than by truck,
the railway represents only 5 percent of total traffic. This is partly due to both a lack
of locomotives for the rail and competition from road transportation. Rehabilitation
and concession of the railway is expected to provide a competitive alternative to
road transportation, reducing transport time and improving reliability of service. An
analysis of road and rail costs performed by Hifab has determined that, in
consideration of distance and physical characteristics of the existing road, and under
the assumption that 80 percent of trucks return empty from Addis Ababa to Djibouti,
the economic costs of transportation by truck is US$ 42.8 per ton. In comparison, the
railway would, in all three rehabilitation scenarios, have a competitive advantage
over road transportation in terms of cost of transportation, with costs ranging from a
low of US$ 15.3 to a high of US$ 35.6 per ton.
Target beneficiary
Government
Business men
Students
Tourists
Passengers
Suburbanites
Challenges or project limitations
High Investment Costs
Planning costs: including the design cost
Construction costs: site preparation, infrastructure,
supervision of work and contingencies
Land and property costs: compensation payments for
land acquisition for the projects
Rolling stock
Lack of skilled human power in the sector
Time bound delivery under budgetary constraints
Commercially sustainable yet affordable service
Railway in Ethiopia
Ethiopia has experienced rail transport since the last ten decades. As the Ethio-
Djibouti Railway deteriorated from lack of maintenance, Ethiopia lost railroad
access to the sea. The existing meter gauge railway had been originally built by the
French between 1894 and 1917.
In the new era of railway transport, the construction of the Addis Ababa light
railway has been completed. It was opened for transport since the last one year,
which is34 km length and has become one of the attractive transport systems in the
city.
Ethiopia is a mostly agricultural country with 84% of the population living in rural
area. Since road transport accounts for 90-95% of inter-urban freight and passenger
movements, it is considered essential to improve the road network in order to
achieve the socio-economic development and food security of the country. More
than 95% of Ethiopia's trade passes through Djibouti, accounting for 70% of the
activity at the port of Djibouti. Because of these facts, the country has demanded
railway transport system so that to be able moving these goods and commodities to
and away the country.
Both Ethiopia and Djibouti have agreed to construct a railway system. Therefore
with common agreement, China was financing the construction of a standard gauge
railway network in East Africa, Ethiopia and Djibouti chose to abandon the meter-
gauge railway and build a new standard gauge link. In 2011, the Ethiopian Railways
Corporation awarded contracts to two Chinese state-owned companies for the
construction of a new standard gauge railway from Addis Ababa to the Djibouti
border. At Awash, there is a junction with the Awash-Weldia Railway. The Awash-
Weldia Railway has also been contracted by Chinese contractors. This study has also
included the Addis Ababa light railway.
The railway project feasibility study has covered major areas of studies, such as:
financial and economic feasibility, reliability of the traffic volume for forecast,
technical standards, reasonability of the design principle and constructions scheme,
impact of the project construction on local environment, and ecology, project
investment estimate, economical benefit analysis’s and significance of the project.
Risk Analysis is included in feasibility study focusing on topics are: political risks,
project implementation risks, power supply risks, labor risks, exchange rate risks,
operation risk and repayment risks. Scope of cost estimate does not include: cost of
land requisition and demolition; purchase expense for locomotives and rolling
stocks; financial expenses, all taxes and duties levied inside Ethiopia and
contingencies.
The project was contracted to Chinese company. The contract type is EPC- turnkey
contract agreement. The finance source is a loan from Export-Import Bank of China.
The contract agreement for quality of the project was Chinese railway 2nd grade
standard. The railway was designed to run 120 km/hr.