The African Development Bank funding will help the country in achieving its 2030 target of increasing electrification and supplying 20% of electric power demand through renewable energy sources. Contact online >>
The African Development Bank funding will help the country in achieving its 2030 target of increasing electrification and supplying 20% of electric power demand through renewable energy sources.
The government of Eritrea has received a $49.92 million grant from the African Development Bank to fund a 30 MW photovoltaic plant in the town of Dekemhare, 40 km southeast of the capital Asmara. It will be the country''s first large-scale solar plant.
The project includes a 15 MW/30 MWh battery energy storage system, a 33/66 kV substation, and a 66 kV transmission line connected to the existing transmission line between East Asmara and Dekemhare, located about 1 km from the project site.
Financed through the African Development Fund, the PV plant and battery backup system is expected to increase generation capacity and grid energy to 185 MW and 365 gigawatt-hours (GWh) annually.
The project is seen as instrumental in reducing Eritrea''s power deficit, reducing greenhouse gas emissions, and reducing the cost of electricity generation to $0.185/kWh. It is also expected to increase the share of renewable energy in the grid''s energy mix from 3% to 23%, creating temporary jobs during project implementation and long-term jobs after project completion.
"The project outcomes will boost socio-economic development that has suffered from massive and prolonged load shedding and consequently improve the quality of life of the people of Eritrea," the bank stated.
It added that part of the grant will also be allocated to technical assistance and capacity building to improve the operational performance of the grid and the overall development of the Eritrean power sector. Technical studies for large-scale renewable energy projects are also planned to respond to electricity demand within the Eritrea Electricity Corporation (EEC) network''s interconnected system.
"Eritrea experiences inadequate, unreliable, expensive, and polluting electricity supply," the bank noted. "The available capacity is 35 MW for a peak demand of about 70 MW. Consequently, frequent load-shedding periods affect businesses and the population."
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In a landmark move toward sustainable energy, Eritrea is set to welcome its first solar photovoltaic energy storage plant, marking a significant step in the nation’s renewable energy journey. The project, helmed by a Chinese project developer selected by the Ministry of Energy and Mines, has garnered support from the African Development Bank (AfDB), which has facilitated a generous $49.92 million grant to bring this vision to life.
The implications of this solar energy project extend far beyond mere power generation. With an estimated reduction of 42,910 Gg CO2-eq in greenhouse gas emissions annually, Eritrea is taking a bold stride towards mitigating its power deficit while simultaneously addressing global environmental concerns. Scheduled to commence this month and projected for completion between 2026 and 2027, the initiative is a testament to Eritrea’s commitment to clean, sustainable energy solutions.
Aligned with Eritrea’s 2018 National Energy Policy and the broader Vision 2030, this solar project is a pivotal element of the country’s strategy to elevate the national electrification rate and fulfill 20% of its electric power demand through renewable energy sources by 2030. The AfDB’s support underscores the project’s alignment with international objectives to bolster local power supply chains through sustainable means.
As Eritrea embarks on this renewable energy venture, it not only aims to secure its energy future but also positions itself as a model for sustainable development in the region. The solar energy and storage system project represents a significant leap towards achieving the country’s developmental priorities, promising to deliver social and economic benefits that will resonate for generations to come.
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