Ethiopia has reached a significant milestone in its renewable energy expansion with the first phase of the Aysha II wind farm. Valued at $257.3 million, the project will deliver 80 megawatts of capacity which is already ready for commissioning. The report was issued by the Ethiopian Electric Power Generation Business Unit. The full project is expected to generate 120 megawatts. Construction, which started in February 2024, saw the installation of 32 turbines, a switchyard, and 30 residential units for staff. Furthermore, the second phase, covering the remaining 16 turbines at a cost of $69 million, is ongoing.
Eight turbines have already been completed and shipped from China, with delivery expected within 45 days. Ethiopian Electric Power financed 15 percent of the project, around 38 million US dollars. On the other hand, the remaining 85 percent was funded by the Export-Import Bank of China. However, the project experienced delays after the lender suspended payments to the contractor following a 114 million US dollar disbursement. Ethiopian Electric Power is now funding the second phase to complete construction. Aysha II wind farm is one of many wind farm projects in Africa such as the Lake Turkana wind farm project, largest in Africa.
Project Factsheet
Significance:
- A $257 million renewable energy project that will enhance Ethiopia’s clean energy capacity.
- Phase one complete, with 80 MW
- Furthermore, full capacity is set to reach 120 MW.
- Furthermore, it supports Ethiopia’s strategy on diversification of energy sources to reduce over-reliance on hydropower.
Infrastructure:
- Located near Aysha, about 700 km east of Addis Ababa.
- Consists of 48 turbines provided by Dongfang Electric Corporation, with each one rated at 2.5 MW.
- Also inclusive of switchyard, staff housing, and all other essential grid connection facilities.
Developer/Consortium:
- Developed by Ethiopian Electric Power (EEP) in partnership with Dongfang Electric Corporation.
- Funded 15% by EEP and 85% by the Export-Import Bank of China.
- Construction was also managed by EEP’s Engineering and Construction Business Unit.
Funding/Timeline:
- Total investment amounted to $257.3 million.
- Construction also began in February 2024, and the completion is targeted in 2025.
- Phase two ongoing after the temporary funding suspension.
- Furthermore, eight turbines shipped from China for final installation.
Scope of Implementation on the Aysha II Wind Farm
The Aysha II wind far represents one of the large-scale wind installations in the region. It is located near Aysha roughly 700 kilometers east of Addis Ababa. It comprises 48 turbines supplied and installed by Dongfang Electric Corporation of China. Moreover, each will have a capacity of 2.5 megawatts. Furthermore, civil works for the remaining turbines have been completed. The notice was issued by the company’s Engineering and Construction Business Unit. Aysha II complements Ethiopia’s ongoing investment in large-scale hydroelectric projects. The Grand Ethiopian Renaissance Dam, inaugurated in September 2025, has a capacity of 5,150 megawatts. On the other hand, the Koysha Hydropower Dam on the Omo River is now reported to be 65 percent complete. Together, these projects illustrate the country’s push to diversify electricity generation. It also reduces the nation’s reliance on hydropower. Moreover, it will expand export potential to neighbouring markets including Djibouti and Kenya.
