POWER AFRICA IN ETHIOPIA

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Power Africa has supported the development of electricity generation projects in Ethiopia. In addition, various firms have received U.S. Embassy support to move transactions forward. The page below gives an overview of the energy sector in Ethiopia, and explains Power Africa's involvement in the country.

Natural geothermal steam (fumarole) rises from the ground in a ravine within the Corbetti Caldera.
Natural geothermal steam (fumarole) rises from the ground in a ravine within the Corbetti Caldera.
Robert Sauers, USAID Ethiopia

ETHIOPIA ENERGY SECTOR OVERVIEW


Population: 109 million | WB Ease of Doing Business Index (1): 159 | GDP (2): $84 billion (2018)

The Government of Ethiopia (GoE) has set a goal to become a middle-income country by 2025, which includes aggressive power generation and connections targets. The GoE has determined that private investment is critical to achieve new generation targets beyond 2015 as concessional loans for government owned/operated generation facilities have decreased significantly. 

Key issues continuing to face the sector include: the creditworthiness of the distribution and power generation utilities (EEU and EEP), conversion of foreign currency, cost-reflective tariffs, grid infrastructure, and off-grid populations. Such issues must continue to be addressed if Ethiopia’s power sector is to continue to grow and attract private investment. 

GENERATION CAPACITY

  • Total Installed Capacity (3): 4,965.5 MW

    • Hydro: 89%
    • Thermal (Diesel & Internal combustion engine): 3%
    • Wind: 6.52%
    • Biomass & Biomass/Cogeneration: 8.67%
    • Geothermal: 0.17%

Power Africa new MW to date at financial close: 0 MW

CONNECTIONS

  • Current Access Rate (4): 45%
    • Urban: 95%
    • Rural: 32%
  • Power Africa new connections: 1,605,974
 

Power Africa pipeline: For the most up to date information, DOWNLOAD the Power Africa Tracking Tool (PATT)

 

POWER AFRICA SUCCESS STORIES IN ETHIOPIA


Megawatts and connections improving lives

With support from Power Africa, as a result of assistance provided to host country governments and the private sector, energy customers in Ethiopia, Ghana, Kenya, and Nigeria gained access to new or improved electricity. These stories highlight some of the experiences households have had as a result of gaining access to that electricity.

 

Powering Ethiopia’s Health Centers During the COVID-19 Crisis

Power Africa’s ongoing support to Ethiopian Electric Utility is improving operations and boosting the utility’s financial well-being, which enhances the reliable supply of electricity to essential health care facilities. In response to the pandemic, Power Africa is also supporting specific technology-based operations and customer service initiatives that enable greater social distancing for employees and customers and help mitigate the spread of COVID-19.

READ MORE on our blog

Ethiopian Energy Company Lights a New Path in Local Communities

Ethio Resource Group (ERG), an Ethiopian company funded by the U.S. African Development Foundation (USADF) with the support of Power Africa, became the first company in Ethiopia to be granted a license for electricity distribution and sales for a wind-powered mini-grid.

READ MORE on our blog

 
Corbetti and Tulu Moye signing
With Power Africa assistance, the Corbetti and Tulu Moye geothermal projects signed new power purchase and implementation agreements with the Government of Ethiopia worth USD$1.2 billion. This will generate 300 MW of electricity in Ethiopia.

Energizing Voices — Rekik Bekele, Founder and CEO of Green Scene Energy PLC

With the Power Africa Off-grid Project, Rekik Bekele is bringing solar energy to Ethiopian off-grid communities; and she wants more women to come with her.

READ MORE on our blog


Sources

  1. https://www.doingbusiness.org/en/rankings
  2. https://data.worldbank.org/country/ethiopia?view=chart
  3. https://www.africa-energy.com/database/datatool
  4. https://www.iea.org/reports/sdg7-data-and-projections/access-to-electricity

Last updated: May 26, 2021

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