The Ministry of Finance in Ethiopia has recently signed a grant agreement with Denmark, securing a $10 million investment for the Danish-Ethiopia Energy Partnership (DEEP) and the first
phase of the Ethiopian Danish Strategic Water Sector Cooperation (WATER SSC). These initiatives aim to bolster energy and water infrastructure in Ethiopia. DEEP will be overseen by Ethiopia's Ministry of Water and Energy, in collaboration with state-owned electricity companies Ethiopian Electric Power and Ethiopian Electric Utility, responsible for generation, transmission, and distribution.
The primary objective of DEEP, as stated by the Ministry, is to utilize energy modeling and planning as vital tools in establishing a clean, stable, and secure energy supply. The project aims to enhance the integration of variable renewable energy sources, thereby promoting sustainable and environmentally friendly power generation.
On the other hand, the WATER SSC project focuses on addressing the water challenges faced by the cities of Hawassa and Dire Dawa. These areas struggle with water scarcity issues due to rapid urbanization, population growth, and excessive water extraction for industrial and agricultural purposes. By implementing this water project, the aim is to improve access to clean and reliable water services for the residents of these cities.
The $10 million investment from Denmark demonstrates a strong commitment to bilateral cooperation and will significantly contribute to the advancement of energy and water access in Ethiopia. Denmark's Ambassador to Ethiopia, Kira Sindbjerg, expressed optimism about the ongoing and expanding collaboration between the two countries in these vital sectors.
This partnership aligns with Ethiopia's goals of achieving sustainable development and addressing the pressing challenges in the water and energy sectors. By leveraging Denmark's expertise and financial support, Ethiopia can make significant progress in building a cleaner and more resilient energy infrastructure, as well as ensuring access to safe drinking water for its growing urban populations.
The investment will not only contribute to Ethiopia's development but also foster stronger ties between Denmark and Ethiopia. It highlights the importance of international cooperation in addressing global challenges and creating a more sustainable future. The collaboration between the two countries will play a crucial role in driving positive change and improving the lives of Ethiopians by providing them with essential resources for their daily needs.