ADB approves USD104 million funding to improve power supply in eastern Ethiopia

The Board of Directors of the African Development Bank (ADB) Group has granted approval for USD104 million funding to support a transmission project aimed at enhancing the electricity supply in eastern Ethiopia.

The financing includes a USD52 million grant from the African Development Fund, the Bank Group’s concessional lending arm and a USD52 million soft loan drawn from Korea’s Economic Development Cooperation Fund under the Korea – Africa Energy Investment Framework Agreement. This initiative will entail the construction of 157 km of 400 kV double-circuit transmission lines, along with associated substations situated in Harar, Jijiga, and Fafem. These developments will significantly augment the power transfer capacity in the eastern region of Ethiopia. Furthermore, this project is expected to serve as a pivotal starting point for future power connections to the Federal Republic of Somalia.