The Government of Ethiopia has secured a EUR117.3 million (US$131.90 million) of loan financing for the development of the Assela wind farm project.
The wind farm that requires about EUR146 million (US$164.18 million) of investment will inject 100 MW of energy capacity to the Ethiopian electric grid.
The fund managed by the Investment Fund for Developing Countries of the Danish Government, Danida Business Fund (DBF), will provide the remaining EUR28.7 million (US$32.27 million) financing in the form of a grant for the development of the project. The project is also supported by the African Development Bank (AfDB).
The project is currently developed by the state-owned Ethiopian Electric Power (EEP). It has signed an engineering, procurement, and construction (EPC) contract with the Siemens Gamesa Renewable Energy. The project will consist of 29 turbines each with an individual generating capacities of 3.45 MW.
Siemens Gamesa Renewable Energy owns 60% in the project while the Simens Gamesa-Spain (the parent company) will own 40% stakes.
