Ethiopia's Power Generation Hits 10,000 MW, Says PM Abiy

Addis Ababa, April 16, 2026 (ENA) —Prime Minister Abiy Ahmed said Ethiopia’s power generation capacity has reached 10,000 megawatts from the 4,000 at the beginning of the reform period.

Speaking at the inauguration of the Assela Wind Farm that adds over 100 megawatts of energy to the national grid today, he revealed that Ethiopia’s electricity generation capacity has reached 10,000 megawatts, following sweeping sector reforms over the past six to seven years.

According to PM Abiy, the sector has more than doubled its output while also recording a dramatic increase in revenue from around 7 billion Birr to over 75 billion Birr, marking a major turnaround for an institution once burdened by debt.

“For the first time in its history, the Ethiopian Electric Power has generated a profit of 7 billion Birr in just six months,” PM Abiy stated, emphasizing that the reform has enabled the completion of long-delayed projects and improved financial discipline.

The Prime Minister highlighted that Ethiopia is now cultivating a culture of not only launching but completing major energy projects, citing key developments in hydropower and wind energy, including the Assela facility.

 

Constructed at a cost of approximately 145 million euros with significant support from the Kingdom of Denmark, the Assela Wind Farm is expected to recover its investment within two years.

According to the Prime Minister, such projects demonstrate prudent borrowing and investment practices that prevent long-term debt burdens.

He commended Denmark’s contribution, noting that part of the financing was provided as concessional loan while the remainder came as grants. ''It would therefore be no exaggeration to call this project a gift of the Kingdom of Denmark."

The premier described the project as a model of effective international partnership.

 

PM Abiy also underscored the broader economic impact of the project, particularly in the Arsi area, traditionally known for agricultural productivity.

He said the expansion of energy infrastructure, alongside road development and agro-processing, will enhance market access and boost farmers’ incomes.

The Prime Minister finally noted that Ethiopia’s growing energy capacity, complemented by off-grid solar and other renewable initiatives, will play a crucial role in improving livelihoods and accelerating the country’s development trajectory.