Ethiopia Electric Utility (EEU) has announced an ambitious 25-year electricity distribution master plan requiring an estimated USD 30.6 billion in investment to meet surging national power demand and expand grid infrastructure.
According to the utility, electricity demand in Ethiopia is projected to increase nearly ninefold over the next quarter century, rising from the current capacity of approximately 4,300 MW to about 39,000 MW.
The master plan outlines a phased approach, beginning with a short-term investment program focused on upgrading and expanding distribution infrastructure. EEU plans to construct 16,500 kilometers of new medium-voltage lines and rehabilitate 9,700 kilometers of existing lines. The utility will also undertake 21,800 distribution transformer interventions and install additional transformer capacity totaling 6,945 MVA.
The initial phase of the plan is expected to cost USD 1.3 billion.
Investment priorities vary by region, with Addis Ababa projected to require USD 575 million during the short-term phase, while Oromia is expected to receive USD 478 million.
EEU said the long-term plan aims to enhance the reliability of the electricity distribution network, reduce system losses, and ensure the grid can accommodate the country’s rapid economic growth and rising demand for power.
