Ethiopia, in the Horn of Africa, is a rugged, landlocked country split by the Great Rift Valley. Ethiopia’s energy mix is dominated by bioenergy, primarily used by the residential sector. Oil, which is all imported, is the second largest fuel in energy supply and is mainly used in the industry and transport sectors. Ethiopia has the second largest hydro potential in Africa, estimated at up to 45 000 MW.

Ethiopia currently has an installed capacity of 4,965MW, expected to double with the commissioning of the Grand Ethiopia Renaissance Dam at 6,450MW. The government of Ethiopia has made commitments to a new strategy to continue to improve its hydroelectric infrastructure by constructing 16 hydroelectric dams and 24 wind-generating projects within the next 20 years.

The first Siemens Gamesa Assela 100MW wind farm began in 2021 in the Iteya, Oromia region 150Km south of Adis Ababa. With Support from IFC and The World Bank, Ethiopia also intents to scale its solar initiatives in the country. They have also begun tapping into the country’s geothermal resources at TuluMoye, Aluto Langhano and Corbetti through PPPs, and look to develop 17 geothermal projects further down the line.

Ethiopia aims to have an installed capacity of 35,000 MW by 2037.

The eastern parts of Ethiopia have been deemed viable to host green hydrogen projects, and we are currently carrying out detailed studies on the country’s need for energy from green hydrogen and how to replace fossil fuels.

As of 2026, Ethiopia is not producing green hydrogen from electrolysis of seawater.