EU to fund electricity exports from Ethiopia's vexatious mega-dam
BRUSSELS, 10 Sept. - (ANA) - The EU will pump $156m €133m) into a grid-expansion project that could allow Ethiopia to export electricity to its East African neighbours via a controversial new hydro-electric dam, EU Commission vice-president Teresa Ribera has said.
Inside Ethiopia’s $4 Billion Mega Dam takes you deep into one of the most ambitious infrastructure projects ever undertaken on the African continent—the Grand Ethiopian Renaissance Dam (GERD). ?? Built on the Blue Nile River, this colossal structure is poised to transform not only Ethiopia s economy but also the energy future of Africa itself.
Stretching 1,800 meters long and standing 175 meters tall, the GERD will generate over 6,000 megawatts of electricity, doubling Ethiopia’s current energy output and positioning the country as one of Africa’s largest electricity exporters. Entirely funded by Ethiopians through taxes, bonds, and donations, the dam represents a bold vision for energy independence, industrialization, and economic transformation. It promises to power homes, industries, and potentially lift millions out of poverty while creating thousands of jobs and enabling Ethiopia to export energy to its neighbors, earning up to $1 billion annually.
However, the GERD is more than an engineering marvel; it is also at the center of a high-stakes geopolitical struggle. While Sudan sees both benefits and risks—gaining flood control but worrying about dam safety—Egypt views the project with alarm. With 90% of its fresh water coming from the Nile, Egypt fears any reduction in river flow could devastate its agriculture and economy, leading to tense negotiations and demands for binding water-sharing agreements. The historical shadow of colonial-era treaties further complicates the dispute, as Ethiopia seeks to assert its rights over the Nile's waters, challenging outdated accords that excluded its voice.
Despite construction delays, mismanagement issues, and environmental concerns such as ecosystem disruption and population displacement, the Grand Ethiopian Renaissance Dam is now over 94% complete. The project has already begun its fifth filling phase and is expected to be fully operational by mid-2025, even though its final generating capacity has been slightly reduced due to budget constraints. Climate change, water scarcity, and shifting rainfall patterns add layers of uncertainty to the dam’s long-term impacts on the Nile Basin region. - (ANA) -
AB/ANA/10 September 2025 - - -