President Mulatu Teshome holds talks with Chinese Chairman of Chinese National Building Material Co. Ltd (CNBM) Song Zhiping about projects of investment in building materials and solar power equipment on Tuesday.
Briefing journalists yesterday Song told that the main discussions of the meeting were manufacture of building materials, prefabricated houses and solar power equipment among areas of investment, according to ENA and NNN.
He added that CNBM is interested to spend in the construction of rural houses and electricity generating facilities in Ethiopia’s rural areas that do not have access to electricity.
Company’s innovative project investment platform has captured over 550 mini-grid projects being developed by 50 private sector utilities in 21 countries in Africa, Asia and Latin America. Odyssey Energy Solutions , the leading platform connecting private mini-grid developers and investors, announced that its pipeline had surpassed 550 projects, requiring a total estimated investment of more than USD $500 million.
Decentralized renewable energy solutions like mini-grids are the least-cost option for bringing electricity to more than 70 percent of the world’s 1 billion people currently living without access to basic power, most of whom live in rural areas in Sub-Saharan Africa and Asia. It is estimated that up to 200,000 mini-grids will be needed to lift these people out of energy poverty.
Since 2017 Enel Green Power works in Ethiopia to help the country diversify its energy mix and attain its ambitious goals in sustainability. EGP is constantly committed on this objective, through the use of technology, innovation, solid projects and a longstanding relationship with local communities. Diversity is what makes Ethiopia truly unique. The country is a melting pot of millenary cultures and traditions, while its endless sequence of ridges and rift valleys host impressive landscapes like no other African state, home for over 30 native species.
Back in 2016, when the Ethiopian government went all-in on renewables, the country’s trademark diversity found its way in the energy sector, becoming a harbinger for sustainable development.
As a matter of fact, Ethiopia’s national growth plan (Growth and Transformation Plan 2), calls for 13,7 GW worth of new renewable capacity,coming from hydro (10 GW), geothermal (0,6 GW), wind (0,9 GW), solar (0,2 GW) and biomass (0,7 GW). The Growth and Transformation Plan 2 is testament to a strong push for a mix of different renewable energy sources.
Despite the impressive grid expansion in Ethiopia to date, the percentage of electrified households remains low at only about 33%. The Government’s recently launched National Electrification Program envisions that by 2025, 65% of the population will be connected to the grid as they place a strong emphasis on scaling up connections in areas within short-term reach of the grid.
The other 35% – or around 7.7 million households – will need an interim off-grid solution while waiting for grid expansion, or even a permanent one where appropriate, such as in very remote areas where grid access will remain too costly and logistically challenging even in the long term.