$1B Ethiopia-Kenya Power Highway: A Clean Energy Breakthrough

Revolutionizing Africa’s Energy Landscape

Ethiopia and Kenya are spearheading Africa’s shift toward clean energy through a groundbreaking project known as the Ethiopia-Kenya Electricity Highway. This $1.2 billion interconnector allows the two neighboring countries to share renewable energy resources, fostering stability in their power grids. Ethiopia relies entirely on renewable sources for its electricity, driven by the Grand Ethiopian Renaissance Dam—the largest hydropower plant in Africa. Meanwhile, Kenya generates about 90% of its electricity from renewables, including one of the world’s largest geothermal plants in the Olkaria region.

Renewables, however, face challenges like inconsistent supply due to weather conditions. To counter this, the 650-mile Ethiopia-Kenya Electricity Highway was established. It enables a seamless exchange of surplus electricity, stabilizing energy supply for both countries. Officially launched after a decade of construction, this energy corridor has become a model for regional energy cooperation.

Power Sharing for Regional Growth
Power-sharing agreements like this are essential for Africa’s energy transition. They ensure better energy reliability, reduce costs, and enhance access. Ethiopia’s growing population of nearly 130 million has seen electricity consumption quadruple since 2000, while Kenya’s energy demand has surged by 75% over the same period. With demand rising, Ethiopia aims for universal electrification by 2025. Regional power-sharing arrangements help bridge the energy access gap in Africa, where 600 million people still lack electricity.

Similar interconnectors exist across Africa, such as the Zambia-Namibia link and a Democratic Republic of the Congo (DRC) line. The Ethiopia-Kenya project follows this model, but with greater ambition. The African Development Bank (AfDB) and the World Bank contributed over $300 million to the initiative, recognizing its potential to address Africa’s energy access deficit. AfDB Director Daniel Schroth noted that growing populations are outpacing energy expansion, and interconnectors are crucial to meeting rising energy needs.

Energy Security and Reduced Blackouts
Since its launch, Kenya has imported 200 megawatts (MW) of electricity daily from Ethiopia—10% of Kenya’s peak national demand. The interconnector can transmit up to 2,000 MW, acting as a safety net during blackouts. This has been a game-changer for Kenya, which experienced two major blackouts in September. Kenya’s Energy Minister Opiyo Wandayi cited “sub-optimal infrastructure investment” as the root cause of the outages. The interconnector offers a solution, though experts stress that functional utilities are equally critical to sustain the gains.

Towards a Connected Africa
The Ethiopia-Kenya Electricity Highway is a vital part of the Eastern Africa Power Pool (EAPP)—a 13-country initiative aimed at boosting energy access and ensuring a steady backup supply. The success of this project has spurred plans for new interconnections, such as a Tanzania-Zambia link that would connect East and Southern Africa’s power grids. The African Union envisions a fully integrated African energy market, where power flows freely across borders, reducing costs for consumers while providing new revenue streams for energy-producing nations.

Global Trends in Power Sharing
Interconnectors aren’t unique to Africa. Europe has over 400 such links, including one between Spain and Morocco, bridging the continents. Another interconnector is being built between Greece and Egypt, slated for completion by 2029. As international interest in clean energy rises, interconnectors are seen as a vital step toward a sustainable future.

With growing global momentum and increased funding, Africa is poised to become a clean energy powerhouse. As African Energy Analyst Darlain Edeme remarked, “There won’t be an energy transition without transmission.” This $1 billion electricity highway is just the beginning of Africa’s clean energy revolution.

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