Ethiopia and the Masdar renewable energy firm of the United Arab Emirates have agreed to jointly create a 500 megawatt solar project, the Ethiopian prime minister announced on Wednesday. Ethiopia might be able to use the move to greatly increase its energy capacity and diversify its energy sources, two important components of Prime Minister Abiy Ahmed’s industrialization agenda.
According to data from the government-run Ethiopian Electric Power, Ethiopia currently has a total installed capacity for power generation of roughly 4,898 MW, with 91% of that capacity coming from hydroelectric power. “Pleased to see the signing of a joint development agreement (JDA) between the Government of Ethiopia and Masdar to develop two solar photovoltaic plants,” Abiy said in a tweet, adding the two plants would have a combined generation capacity of 500 megawatts.
With a desire to increase its energy production, according to Reuters, Ethiopia started producing electricity last year from the massive Grand Ethiopian Renaissance Dam (GERD), a multi-billion dollar hydropower facility on the Nile that Ethiopia’s neighbors Sudan and Egypt have resisted. The dam will have a generating capacity of more than 6,000 MW when it is operating at full capacity.
In his tweet, Abiy said the global net zero emission targets were an opportunity for Ethiopia “to harness our renewable resources and ensure access to abundant, clean and affordable energy.” Africa and other regions have seen Masdar’s efforts in the field of renewable energy. Additionally, this week the business inked a $2B solar project development deal with Zambia’s state-owned electricity utility Zesco.
