Despite endowed with abundant natural resources and largest population, Ethiopia as a nation in general and Oromia as a regional state in particular have benefited a bit out of the blessing as a result of insufficient capital, substandard technology and lack of well trained human capital. Commendably, however, there are promising measures underway to make use of the untapped resources at the maximum level, information from Oromia Regional State revealed.
Exerting concerted effort by various stakeholders is essential in this regard in order to exploit the resource meaningfully and attain sustainable growth. To this end, Public Private Partnership (PPP) can be taken as a viable step.
Girma Amente (PhD) is the Vice President, Coordinator of Infrastructure at the Presidential office of Oromia Regional State. While He had a stay with The Ethiopian Herald, he discussed various issues on efficient performance of development organizations, public and private.
Currently, the region’s development organizations both from private and public entities are engaged in various sectors and among others, agriculture, industry, tourism, construction, transport and hotel services are the focus areas, the vice president noted.
Some private companies work as shareholders in the public enterprises and others engaged in sectors that are exclusively done by private sector. As it is known, most public enterprises have their own limitations in terms of management skills, commitment and experience. Hence, to fill such gaps, working hand in glove with the private sector as partners has been taken as a way out.
To facilitate such venture the regional government has taken various measures including restructuring institutions, amending old laws and introducing the new ones. Besides, stretching infrastructures and providing capacity building trainings to managers, professionals and low ranking workers have been given due attention.
Long and short term packages are also implemented to advance the development organizations competencies. Applying such measures at the national level, will enable swift reconstruction of the infrastructures and other institutions destroyed by the terrorist TPLF in Amhara and Afar regions and make them operational in a shorter period.
The private sector which is involved as shareholder in public enterprises includes foreign companies which have a capacity to bring foreign investment here.
As to Girma, public enterprises are not expected to do things as business as usual by utilizing the old public service structure. Rather, they are expected to develop a corporate culture with developing sense of ownership and competency. As mentioned above, most public enterprises have their own limitations in attaining competency. Hence, creating awareness both for management and workers in this regard is vital.
Currently, more than 35 development organizations are working in the region with 62 billion Birr subscribed capital and 29 billion Birr paid capital. The regional government is a major shareholder in these enterprises. Managing this huge wealth properly will undoubtedly bring remarkable difference in the economic front. By now, the Oromia development organizations created job opportunity for about 80,000 people.
Though there are other economic sectors operational to some extent in the region, agriculture and manufacturing have continued being the major sectors. To improve the agricultural productivity, there are public enterprises engaged in cultivating improved seeds and supply to farmers. They developed seeds farm in 34,000 hectares of land and currently plays pivotal role in modernizing the sector.
On the other hand, the Oromia Forest and Wild Animals Protection Authority on its part administers 3.4 million hectare of land which serves for both afforestation and hosting wild animals. The resource is immense. With no exaggeration, almost 80 percent of the nation’s forest resource is located in the Oromia region.
Forests found in Arsi-Bale massifs and in the south western region contribute a lot in releasing oxygen to the environment and sequestrating carbon dioxide which has hazardous effect globally. The resource contains soil erosion during the rainy season and enables the replenishing of underground water. The forest in the south western region also serves coffee as shelter from heavy sunlight which has adverse effect on it.
In addition, various plants specious are protected by forest from destruction due to natural phenomena. These all indicates how forest plays valuable role in maintaining the existing agricultural activities through protecting the sector from drought and related natural calamities.
Moreover, the sector serves to boost timber production and currently various private companies are engaged in such venture. But in order to keep the balance between the cleared trees and the newly planted seedlings the Regional Forest and Wild Life Protection Authority makes strict inspection. Usually, the old trees are used for timber and yearly during the rainy season the plantation of new seedlings takes place as part of afforestation.
It is obvious that, currently, the nation imports wood products spending its meager hard currency. Such practices are seriously afflictive to a Poor County like Ethiopia but can be converted with import substitution via exploiting the abundant resource. Therefore, to substitute the importing enterprises are given license to engage in forestry so that generate income to support the economy.
Not only these, though the nation has vast arable land which can be cultivated for wheat production that the country imports spending billions of hard currency. To substitute the import, both private and public enterprises are engaged in large scale farming which produces wheat in Oromia region and currently wheat farms cultivated in various parts of the country. And by now it was learned that substituting half of the importation of wheat is realized.
To advance the endeavor, the cultivation of wheat both in the high and low land areas of the country, irrigation farm is enhanced and it is possible to produce twice a year.
With regard to manufacturing, there are various private and public enterprises which are invested their money and created job opportunities to thousands in the region. Among others, the Zeway Tractor Assembly in which the regional government has 51 percent share and the rest is held by private shareholders; the Sululta plastic pipe factory which serves for water supply also can be mentioned here.
By the same token, regarding the construction sector, the recently established Oromia construction enterprise, the engineering corporation and the mining share company can be cited.
Likewise, Oromia is known for its potential of various minerals including, gold, coal, tantalum and others. The gold mining in Shakiso area attracted various companies and plays crucial role in boosting the export. The exploration and exploitation of gold is practiced both traditionally and in modern way with machinery.
The abundant coal resource in Yayu and Jimma areas has a potential to substitute the importation of coal. Years back, the now defunct METEC invested public money for the establishment of modern coal factory but unfortunately due to embezzlement and mismanagement, it failed to install machines. As a result, accomplishing the factory could not be realized. Had it been reinvigorated and began production, it could boost the mining sector’s role in the economy and could cover demand for the local cement industries. The tantalum mineral found in the surrounding areas also plays pivotal role in attracting both foreign and local companies.
The Organizations have various stakeholders including boards, management and working staff and each stakeholder works to achieve the common goal. The organizations, in addition to the above mentioned activities, the organizations are engaged in various schemes such as women empowerment, reproductive health care and expansion of education.
As to Girma, the civic associations have also got various spaces to engage in various supportive activities of the development.
BY ABEBE WOLDEGIORGIS
THE ETHIOPIAN HERALD DECEMBER 17/2021
