Ethiopia has a population of around 85 million, of which around 80% are dependent on small-scale agriculture and reside in rural areas. Rural communities in Ethiopia have poor access to energy, both for subsistence and productive purposes. Biomass fuels account for nearly 90% of all energy consumed in the country, and kerosene lights the homes of around two third of Ethiopian households. Low levels of private sector investment and weak infrastructure and social development have constrained improved energy access conditions in rural, inhibiting also the provision of basic water, health and educational services.
...the number of improved cook stoves that is the government has targeted for dissemination by 2015
To enhance the progress toward its renewable energy and energy accessibility objectives, the Ethiopian government is tapping US$50 million in highly concessional financing from the Scaling Up Renewable Energy in Low Income Countries Program (SREP) for investments in wind, geothermal, and SME renewable energy development. SREP financing for 75 MW geothermal and 100 MW wind power will help expand energy supply at low costs and with limited environmental impacts. SREP support will also help to establish a renewable energy SME financing facility in an effort to increase the local population’s access to renewable energy technologies by creating a solid supplier base. Ethiopia’s SREP investment plan was designed under the leadership of the government in coordination with the African Development Bank (AfDB), members of the World Bank Group (IBRD, IFC), other development partners, and key Ethiopian stakeholders. SREP financing is expected to leverage nearly US$450 million in additional co-financing, and aims to transform energy access in rural areas, as well as support Ethiopia’s key development objectives, including gender equality.