Ethiopia and Denmark have signed a loan agreement where the later will provide finance in order of USD 201 million for the construction of the Assela Wind Farm. The agreement was signed this week between Ambassador Mette Thygesen of Denmark and Admasu Nebebe, state Minister of Finance and Economic Cooperation (MoFEC). The USD 201 million in finance will be provided by the Danish International Development Agency which will be directly injected to Assela wind farm project. Once it is completed, Assela wind farm is expected to generate 100 MW power and its construction is expected to commence as of this year and will last until 2025.
(Ministry of Foreign Affairs of Denmark/08 May 2018)
With a commitment of 600 million DKK, the government has made an extraordinarily large investment in the development of wind energy in Africa. Minister for Development Cooperation Ulla Tørnæs has approved a Danish co-financing of 600 million DKK for the construction of a wind farm up to 54 turbines, or 100 MW, close to Ethiopia's capital Addis Ababa. The total investment in the wind farm amounts to 1.26 billion DKK, of which Danida Business Finance contributes 600 million DKK. The project will be tendered among Danish companies. "The private sector’s involvement is crucial for development projects in Africa to be sustainable in the long term. Danida Business Finance makes it possible to implement public infrastructure projects in countries where it is difficult to attract financing on market terms. In this way, Denmark supports developing countries’ investments in growth creating solutions" says Minister for Development Cooperation, Ulla Tørnæs.
(Danish Energy Agency/Press Release, 06 March 2018)
With the launch of the Wind Project Development Roadmap report Ethiopia and Denmark are joining forces for large scale expansion of wind energy in East Africa. Experts from both countries have been sharing experiences with leading international experts to produce this guideline to successful development of wind projects in Ethiopia which support further sustainable growth and development of the energy sector both for the benefit of the country and region.
(Addisfortune, January 2018)
Danida Business Finance (DBF) of the government of Denmark, for the first time ever, committed close to 200 million dollars for Asella Wind Farm which will generate 100MW of electricity. DBF has already approved the loan request made by the Ministry of Finance & Economic Cooperation (MoFEC), and the two countries are in the process of signing an agreement, according to Bezuneh Tolcha, public relations director at the Ministry of Water, Irrigation & Electricity (MoWIE).