Research summary: mini-grids in Ethiopia

Feb 26, 2019


Source/author : Power for All

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SEforAll Africa hub in conjunction with the African Development  Bank recently published a Mini-Grid Market Opportunity Assessment of Ethiopia as part of the Green Mini-Grid Market Development Programme (GMGMDP) document series.Here we highlight the key messages:

Ethiopia has relatively good grid extension, great capacity and enabling policy, and is on its way to meeting its energy demands with surplus.

The country is Sub-Saharan Africa’s second most populous country,with over 99 million people, but also one ofthe poorest(12). Energy access in Ethiopia standing at 25% as of 2014 and at only 10% in rural areas (7,15).
The grid extends into mostregions of Ethiopia,with the main gap being in the south and south-eastern parts ofthe country in the Somali and Oromia provinces.
The core of the transmission grid extends radially from the central capital Addis Ababa with least coverage in border areas and Somali region (7,15).
There are 11.2GWof generation capacity installed as of 2015 with an additional 18.9GWplanned for operation by 2020 (7,29). 86% of Ethiopia’s current generation is from hydropower and Ethiopia is a major exporter of power to Djibouti and Sudan.
The UEAP(Universal Energy AccessProgram)which covers on and off-grid solutions targets an access of 90% by the end of GTPII(Growth and Transformation Program II) in 2020 (15) and has focused on village-levelrather than household connections (7).
Standalone systems are found to be the best current option for 33% ofthe population, including 11.5 million and 8.9 million inOromia and Amhara regions respectively (16).
There is local off-grid solar manufacturing spearheaded by the Solar Energy Development Association. However,there are a couple of barriers to the SHS market such as importation of poor quality products, unfriendly legislation and lack of capacity ofthe body that tests and approves imported goods

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