• Ethiopian Electric Power launched a joint study with South Korea to modernize electricity tariff-setting frameworks.

• National electricity access stands at 54%, despite significant renewable energy potential.

• Authorities aim to strengthen financial sustainability and attract more private investment into the power sector.

Ethiopia’s state-owned utility Ethiopian Electric Power announced the official launch of a joint study and knowledge-sharing program with the government of South Korea to modernize the country’s electricity tariff-setting framework.

Officials made the announcement during a recent ceremony in Addis Ababa.

Chief Executive Officer Ashebir Balcha said national electricity access currently stands at 54%. He said Ethiopia holds significant renewable energy potential but needs to reform tariff structures and strengthen sector financial viability to expand access and attract more private investment.

Authorities will implement the initiative under the South Korean government’s Knowledge Sharing Program. Ethiopian Electric Power said evaluators selected Ethiopia’s proposal from more than 400 international applications.

South Korea’s ambassador to Ethiopia, Jung Kang, reaffirmed his country’s commitment to supporting the modernization of Ethiopia’s energy sector.

The study aims to align tariff negotiation frameworks with international standards, strengthen institutional and professional capacities, improve the financial sustainability of the electricity sector and encourage greater private sector participation.

The initiative comes as Ethiopia continues to transform its power sector through infrastructure expansion, including the inauguration of the Grand Ethiopian Renaissance Dam. Authorities present tariff reform as a central lever to consolidate the national power system’s financial balance and convert installed capacity into effective electricity access.

This article was initially published in French by Abdoullah Diop

Adapted in English by Ange J.A de Berry Quenum