• AMEA Power advances talks on $620 million wind project after high-level meetings
• 300 MW wind farm planned in Somali region, with output of about 1,400 GWh a year
• Project backed by power purchase deal and support from AfDB and IFC

UAE-based AMEA Power said on Wednesday, January 21, that it has made progress toward the financial close of its 300 MW wind power project in Ethiopia, following a series of high-level meetings attended by Finance Minister Ahmed Shide.

The discussions brought together Ethiopian Electric Power, the National Bank of Ethiopia, representatives of international financial institutions, and project advisers, as the development moves closer to securing its full financing package.

The project involves a total investment of $620 million and calls for the construction of a 300 MW wind farm in the Aysha area of the Somali regional state. Once operational, the facility is expected to generate about 1,400 gigawatt-hours of electricity per year, according to AMEA Power. Key project agreements, including the power purchase agreement and the implementation agreement, were signed with Ethiopian Electric Power in 2024. The company also said the African Development Bank and the International Finance Corporation have been mandated to support the financing structure.

Ethiopia’s power system remains heavily dominated by hydropower, which accounted for 96% of national electricity generation in 2023, according to the International Energy Agency. Wind power represented just 3.3% of the mix, despite several operational wind farms. At the same time, Ethiopia exported 8.7% of its electricity output while its electricity access rate stood at 55% in 2023, based on World Bank data.

Across Africa, wind power capacity is still largely concentrated in North and Southern Africa, which account for most installed capacity, according to the Global Wind Energy Council. East Africa, including Ethiopia, has more limited but expanding capacity, placing AMEA Power’s project among the largest wind developments announced in the region.

Abdoullah Diop