Africa’s $5 billion largest hydro-electric project 100% complete

Africa’s $5 billion largest hydroelectric mega dam project on the Blue Nile has been officially declared 100% complete by Ethiopia’s Prime Minister Abiy Ahmed.

The Grand Ethiopian Renaissance Dam (GERD) has been a focal point of tension among Ethiopia and its downstream neighbors, Egypt and Sudan, due to its potential impact on their water supply. As the dam reaches completion, the Ethiopian government prepares for an official inauguration scheduled for September.

The GERD, which has been a topic of considerable debate and negotiation in recent years, is estimated to have cost around $5 billion. This massive undertaking has been primarily financed through domestic channels, including government bonds, local taxes, and public donations. Ethiopia envisions the dam as a symbol of national pride and a critical infrastructure project to bolster economic growth and power generation.

In a recent parliamentary address, Prime Minister Abiy Ahmed emphasized Ethiopia’s commitment to regional cooperation, stating, “To our neighbors downstream – Egypt and Sudan – our message is clear: the Renaissance Dam is not a threat but a shared opportunity. The energy and development it will generate stand to uplift not just Ethiopia.” Abiy acknowledged the downstream concerns but stressed that the project was designed to benefit the region as a whole.

The GERD has been under construction since 2011, aiming to generate 5,150 megawatts (MW) of electricity, thus establishing itself as Africa’s largest hydropower project. The dam is built to significantly enhance Ethiopia’s energy output while addressing the electricity deficit that affects many of its citizens. Currently, approximately half of Ethiopia’s population lives without reliable access to electricity, which stands at around 130 million people, according to World Bank estimates.

As of now, some turbines at the dam are operational, and electricity generation began in February 2022, marking a crucial step in the project’s progress. As the completion date draws near, the dam will operate at full capacity, holding about 74 billion cubic meters of water, revolutionizing Ethiopia’s energy landscape and potentially enabling electricity exports to neighboring countries.

However, the completion of the GERD has not come without controversy. Egypt and Sudan have consistently raised alarms about the dam’s operational impacts, expressing fears over reduced access to the Nile River’s waters. The Nile is a lifeline for Egypt, with the country relying on it for 97 percent of its freshwater needs. The concerns from Cairo are exacerbated by ongoing issues with water scarcity, leading the Egyptian government to regard the dam as an existential threat.

In light of these tensions, negotiations to establish a tripartite agreement involving Ethiopia, Egypt, and Sudan have repeatedly stalled. President Abdel Fattah el-Sisi of Egypt and Sudan’s leader Abdel Fattah al-Burhan recently convened to discuss their position regarding the dam. Following their discussions, a statement from Sisi’s spokesman emphasized their commitment to “safeguard water security in the region” and their refusal to accept any unilateral actions regarding the Blue Nile.

Prime Minister Abiy Ahmed, despite the tensions, reaffirmed that Ethiopia is “willing to engage constructively” in dialogue with its neighbors while insisting that the dam would not impair the rights of Egypt or Sudan.

“We believe in shared progress, shared energy, and shared water,” he remarked. “Prosperity for one should mean prosperity for all.” This rhetoric indicates a desire to find a middle ground despite the ongoing disputes.

The GERD embodies Ethiopia’s aspirations to become a leading power in renewable energy production, presenting a pathway to alleviate poverty and stimulate growth in a nation grappling with economic challenges. Additionally, the project aims to transform Ethiopia’s energy sector while influencing broader regional energy dynamics in East Africa. As Ethiopia progresses towards full operational capabilities, the government is optimistic that the dam will attract foreign investment and pave the way for energy exports to countries like Sudan and Kenya.

Environmental and social concerns about the GERD have also been raised, particularly regarding the ecological changes that may ripple along the Nile River downstream. Activists and experts argue that the dam’s construction could alter water flows and adversely impact agriculture and livelihoods in vulnerable regions. Some communities, especially in Sudan, worry about how reduced water availability could affect their daily lives.

Additionally, the GERD could potentially exacerbate existing tensions among the nations reliant on the Nile River system. The announcement of its completion arrives amid a precarious geopolitical landscape, where water scarcity issues could ignite conflicts among nations that share transboundary water resources.

The GERD was initially conceived as a national project designed to empower Ethiopia’s people and reduce electricity shortages. Now, as it reaches its completion, the stakes are higher than ever. The implications for millions who depend on the Nile remain uncertain, and the potential for diplomatic resolutions or escalated tensions looms large.

Amid the tension, the Ethiopian government has made strides to portray the GERD as a source of unity rather than division. Officials have continued to advocate for dialogue with Egypt and Sudan, expressing hope for collaborative management of the Nile waters. The success of these efforts will depend significantly on the willingness of all parties to engage in constructive dialogue and find solutions that address the multifaceted challenges surrounding the dam and its implications for regional cooperation.

In summary, Africa’s largest hydroelectric project, the Grand Ethiopian Renaissance Dam, has reached completion, marking a significant milestone in Ethiopia’s energy landscape. While the project stands as a symbol of progress and ambition, its completion raises critical questions about water security and regional relations. The challenges ahead require careful navigation as Ethiopia looks to harness the potential of the GERD while ensuring equitable water sharing agreements with Sudan and Egypt.