
Ethiopia’s installed electricity generation capacity has surpassed 9,730 megawatts as the country expands renewable energy infrastructure and works to improve electricity access nationwide.
Water and Energy Minister Habtamu Itefa said Ethiopia’s generation capacity increased from 7,910 MW to more than 9,730 MW during the 2025/26 Ethiopian fiscal year.
Hydropower remains the country’s leading source of electricity, accounting for 9,201 MW of the total generation capacity. Wind power contributes 504 MW, while electricity generated from solid waste accounts for 25 MW. Solar and geothermal sources provide 15.32 MW and 7 MW, respectively.
The minister said the government is working to increase generation from various energy sources while strengthening the national grid and expanding off grid solutions for communities that remain beyond the reach of the conventional electricity network.
During the fiscal year, approximately 490,000 new customers were connected to the national grid, raising the total number of grid-connected users to 5.82 million.
A further 8,910 customers obtained electricity through off-grid systems, bringing the total number of off-grid users to 18,073.
Ethiopia had planned to increase national electricity access from 52 percent to 54 percent during the fiscal year. The country achieved an access rate of 53 percent, according to the minister.
The expansion forms part of Ethiopia’s broader strategy to develop a diversified and sustainable energy sector capable of supporting industrialization, economic growth and improved living standards.
Meanwhile, the Ethiopian Electricity Utility has announced a 25 year national electricity expansion and improvement master plan extending through 2049.
The utility’s CEO, Engineer Getu Geremew, described the plan as a long term roadmap for developing a modern, reliable and digitally supported electricity distribution system.
According to the master plan study, Ethiopia’s peak electricity demand is projected to rise from 4,289 MW in 2025 to 39,327 MW by 2049.
The expected increase will be driven by population growth, urbanization, the expansion of industrial parks and the growing adoption of electric mobility.
The study estimates that Ethiopia will need to construct 128 new substations across the country by 2049 to meet the projected growth in electricity demand and improve the reliability of the national distribution system.
Source: Fana BC
