Ethiopia has secured a syndicated $1.26bn fund for an Ethiopia-Kenya high-voltage transmission line, due for completion in 2015, with the economic spillovers expected to benefit neighboring countries.
The project is co-funded by the World Bank, the African Development Bank, the French Development Agency and the Ethiopian and Kenyan governments, and is already resulting in valuable tenders.
Additionally, a $289 million Ashegoda wind farm was inaugurated three days ago, contributing 120MW to Ethiopia’s national grid- further showcasing the strength of the partnership between Ethiopia and its international donor communities.
Most recently, a ground-breaking partnership with US-Icelandic firm Reykjavik Geothermal was established to build Ethiopia’s first private power project; at 1000MW, the largest geothermal facility in Africa. Totalling $4 billion private sector investment, projects such as these which will enable Ethiopia to tap into its vast geothermal power resources and open up the private power market.
Also in Ethiopia’s impressive project pipeline is the 6000 MW Ethiopian Grand Renaissance Dam, potentially the largest hydroelectric power plant in Africa. This will be wholly funded by the Ethiopian government at a cost of $4.8 billion and scheduled for completion in 2017.
According to Prime Minister Hailemariam Desalegn, Ethiopia’s economy is set to maintain a growth rate of 11 percent in 2013/14 with prominent plans to upgrade infrastructure as a priority focus in its annual budget.