Ministryof Waterand Energy

2011 Washington Energy Summit: Powering Cities of the Future Sept. 27-28, 2011, Washington

PRESENTATIONOUTLINE
1. Expectationsofthefutureenergyrequirements

forcitiesandvillagesinEthiopia; 2. Si il i i ddiff SimilaritiesanddifferencesofEthiopiasenergy f hi i needswithotherdevelopingWorld; 3. 3 Specificobstaclesthatneedtobeovercomein ordertoprovidesufficientenergytocitiesand villagesinEthiopia; g p 4. PossibilityofgeneralizationfromEthiopias experiencetootherpartsofAfrica.

1.Expectations of the future energy 1.Expectationsofthefutureenergy requirements

Ethiopiaislocatedinthe HornofAfricawithmore than80millionPeople ThecountryisaFederal DemocraticRepublicState withNineAdministrative RegionsandtwoCharted d h d Towns. Therearemorethan150 Therearemorethan150 citiesandtownswith morethan20,000 inhabitants.

Expectationsofenergyrequirements..(contd)
AddisAbabaandotherregionalcapitalcitiesare

growingveryfast. Thefutureurbangrowthwillmostlytakepartinthese h f b h ill l k i h cities Currently AddisAbaba thecapitalcityisresponsible Currently,AddisAbaba,thecapitalcityisresponsible formorethan45%ofthemodernenergy consumption. p Asurbanpopulationincreases,massiveenergy requirementismandatory.

Expectationsofenergyrequirements..(contd)
Accesstoreliable,affordable,andSustainableEnergy

serviceisessentialforourcitiesandvillagesmainlyto: accommodatethebasicneedsofourcitizensandto d h b i d f i i d reducepoverty(especiallywomenandgirls) fulfillourGrowthandTransformationPlan(GTP) achieveMillenniumDevelopmentGoals(MDGs) addressClimatechange(whereallAfricancitiesare themostvulnerable)

EthiopianEnergyBalance(2010)
Electricity Petroleum
1% 7%

Biomass

Electricity and Petroleum Share 8% Biomass share 92% Majority of the population depend on traditional biomass fuels.

92%

Expectationsofenergyrequirements..(contd)
Forthelast7consecutiveyearsEthiopianEconomy

grewmorethan10%,whichisoneofthefastest economyinAfrica(beingnonoilexportingcountry). economyinAfrica(beingnon oilexportingcountry)

From20102015
th theeconomyisexpectedtogrowmorethan11% i t dt th % electricityaccesswillincreasefromthecurrent45%to

75% toaddressthisdevelopmentelectricitydemandwill g growbyaround32%. y 3

1 4 Electricity Demand Growth 1.4ElectricityDemandGrowth

From 2002 to 2008 the average annual energy 2008,

demand growth was 17%. In 2010 the national demand growth rate is g increasing more than 26%. Which is above the existing Power supply. According to the Target Scenario Electricity d h l demand will be expected to grow by 32% from 2011 2015 20112015.

20.00% 25.00%

30 00% 30.00%

10.00%

15.00%

0.00% 5.00%

6.07% % 11.56% % 7.8 86% 10.48% % 13.14 4% 9.98% 5.04% 15 16.54% .00% 21. 25.00 0% 26.0 00%
YearlyDemandGrowth

PowerDemandForecast Target and Moderate forecast

Energy Demand forecast Result
20,000 18,000 16,000 14,000

According to the Target scenario electricity demand y will be expected to grow by 32% for the period 2011 2015.
Target Moderate M d t I Moderate II

Energy (GWH) y

12,000 10,000 8,000 6,000 4,000 4 000 2,000 0

2010 0 2011 2012 2 2013 3 2014 4 2015 5

Year
October11

ElectricityGenerationcapacityGrowth(MW) y p y ( )
12000 10000 8000 6000 4000 2000 340 0 1992 2010 2015 2000 10000

Generation Plan from Renewable Energy in GenerationPlanfromRenewableEnergyin theyear20112015

Renewableenergymix(MW)
860 450

8800

Hydropower Wind Geothermal

1,870MWHPProjectunderconstruction

5250MWHPProjectunderconstruction

GeothermalFieldsUnderdevelopment

Expectationsofenergyrequirements..(contd)
petroleumfuelsreplacementwithbiofuel

blending(10%ethanolblendingisoperational) Introductionelectricrailsystemformajorcities Toreach80%ofthehouseholdinruralcities andvillages

disseminate9millionefficientcookstoves 3millionsolartechnologies illi l h l i 14,000biogasdigesters

2. Si il iti d diff f Ethi i SimilaritiesanddifferencesofEthiopias

energyneedswithotherdevelopingWorld;
Similarities
LikeotherAfricancountriesEthiopianCitiesand

v ages a e a o g t e east e ect ed cou t es. villagesareamongtheleastelectrifiedcountries. Energyaccessandenergysecurityisutmostpriority forthesecitiesandvillages. Securingfinancialresourcesforimplementingenergy projectsisachallenge Needsimprovingsectorandutilityperformance

Similarities(Contd)
Likeotherdevelopingcountrieswefocusonenergy

efficiencyprograms. ffi i Weareinaprocesstobuildtechnologyandinnovation capacity. capacity Mostcitiesandvillagessettlementarerelativelysmall andwidelydispersed,difficulttoprovidemodern energyservices.

DifferencesExperiencestoshare
Ourcountryislargelydependentonrenewableenergy

resources,mostlyhydropowerresourcesunlikemost Africancountries. WehaveaverygoodtrackrecordonUniversal ElectricityAccessprogramwehavemanagedto electrifymorethan1,000townsandvillageseveryyear. l if h d ill Theelectricaccessincreasedfrom16%41%within fiveyearperiod. y p InourcasePublicsectoristhemajorplayerinthe powersectordevelopment O l t i it t iffi Ourelectricitytariffisverycheapandhelpurbanpoor h dh l b

3 3.

Specific obstacles for providing sufficient energy to cities and villages in Ethiopia

Some of the major obstacles that need to be tackled for energy d development are: l t

1. 1 Institutional technical and management capacity

problems. 2. financing investment requirements for renewable energy 3. rapid scaling up of proven successful technologies 4. Lack of capacity mainly on the private sector.

ibili f li i f hi i i 4.PossibilityofgeneralizationofEthiopiasexperience tootherAfricanCoutnries

1. 1 The introduction of the Universal Electricity

Access Program, and 2. 2 The commitment of the Government to integrate the green power system with other African countries. Universal Electricity Access Program Started with the view to enhance the access from 16% (2002) to reach 75% i 201 f h % in 2015 the country managed toelectrify1700 towns/villagesperannum. towns/villagesperannum

4.. Continued i followed d T Two strategies f ll 1. Grid-based Large & Medium Scale power generation, and ti d 2. Small-scale Renewable Energy Standalone/Minialone/Mini grid) technology options options. No.ofelectrifiedtownsarereached5,168in 2010fromtotalof782ruraltowns/villages in2006. Accesstoelectricityhasreached41%from16%

4.. Continued
The Commitment of the Government to Integrate the Green Power System
Ethiopiafollowsaclimateresilientgreeneconomy

path. Ethiopiahashugehydropowerpotential(morethan h h h h d l( h 45GW). Ethiopiabelievesstronglyontheimportanceof p gy p regionalinterconnectionwithcleanandcheaper energy. thecountryhasdevisedastrategyforaccelerating crossbordertownelectrificationandRegional interconnectionwithneighboringcountriesand beyond;

Achievementsandongoingprograms
theEthiopiaDjiboutiinterconnectionsis

operationalsincethebeginningof2011 TheEthiopiaSudanInterconnectionwillbe operationalbeforetheendofthisyear. EthiopiaKenyainterconnectionlinefinanceis securedconstructionwillstartin2012. Ethi i S d Ethiopia-Sudan-Egypt interconnection line E ti t ti li feasibility study completed, seeking finance for construction. construction

4.. Continued
Benefits from regional interconnections: include:
S Strategic partnership among the countries, which will

have significant contribution for regional economic cooperation and stability; p y; All interconnected cities and villages will have Lower unit energy costs and renewable energy which displaces expensive i and d environment i t unfriendly f i dl thermal th l generation. Contributes for climate mitigation action g

4.. Regional interconnection)

EthiopiaDjibouti Interconnectionis operational EthiopiaSudan Interconnectionwillbe energizedin2011. EthiopiaKenya Interconnection construction Startsin2012.

EthiopiasEnergyvision
TobetheGreenEnergyHubinthe EastAfricanRegionBy2020

WehavetofollowLeapFrogdevelopment p g p
Toenergizeourcitiesand villages g

Promoting a Culture of Innovation

WehavetochangethedarkAfricatoLightingAfrica

IThankyou

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