May 14, 2026

Ethiopia Energy Market Information and Latest Regulatory Environment

  • November 28, 2020
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[Spread eepBp if you like it].ย  Regulatory Environment(Latest) ย  ย  Investment Segment Regulatory status 1. Import and Export of electrical energy —-Reserved for joint investment with theย  ย government

Ethiopia Energy Market Information and Latest Regulatory Environment
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Regulatory Environment(Latest)

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ย  Investment Segment

Regulatory status

1. Import and Export of electrical energy —-Reserved for joint investment with theย  ย government
2. Transmission & distribution of electrical energy through integrated national grid —-Reserved for domestic investors
3. Large Scale Generation —-Open to foreign investors on IPP model
4. Off-grid energy generation, distribution and sales —-Open to foreign investors

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Energy Resource Potentialย 

Resource Unit Exploitable Reserve Exploited Percent
Hydropower MW 45,000 <5%
Solar/day kWh/m2 4 โ€“ 6 <1%
Wind: Power
Speed
GW
m/s
100
>7
<1%
Geothermal MW <10,000 <1%
Wood Million tons 1120 50%
Agricultural waste Million tons 15-20 30%
Natural Gas Billion m3 113 0%
Coal Million tons 300 0%
Oil shale Million tons 253 0%

ย ย  ย  Source: Ethiopian Electrical Power

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Renewable Energy Market Sizeย ย ย 

ย  2017 2018 2019 2020
Total Market Size, USD โ€˜000 1,408,797 1,401,669 1,968,626 2,263,919
Total Local Production 151,263 394,560 518,400 596,160
Total Exports 84,000 80,468 92,538 106,419

ย  ย  ย  ย  ย  ย  ย  ย  ย  ย  ย  ย  ย  ย  ย  ย  ย Source:SELECTUSA

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Solar Marketย Outlook

Source:ย  energypedia

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Opportunitiesย 

In addition to opportunities in the recent liberalization efforts, engineering services to supply more renewable energy sources, such as wind, solar, geothermal, biomass (municipal landfills, organic waste) as well as hydropower, are highly desired in Ethiopia.ย Supply and/or manufacturing of drilling rigs and associated equipment, sub stations, hydro turbines, electric and electrical cables, transformers, transmission equipment, electric meters, and expertise are desired.ย ย Aging power plants, substations and transmission lines require substantial maintenance and overhaul so as to increase the overall efficiency as well.

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