The African Development Bank (AfDB) and the government of Eritrea have signed a $19.5 million grant agreement for the Desert to Power Eritrea 12 MW Mini-Grid Project.
The agreement was signed on March 10, 2025, by Eritrea’s Minister of Finance and National Development, Ghiorghish Teklemichae, who also serves as the Bank Group Governor for Eritrea. Léandre Bassole, Deputy Director General for East Africa, represented the AfDB at the signing ceremony.
The financing, sourced from the AfDB’s Transitional Support Facility (TSF), will be used to develop mini-grids generating 12MW of electricity across Teseney (6MW), Kerekebet (3MW), and Barentu (3MW). The project aims to enhance energy access for over 235,000 Eritreans, including residential households, small-scale farms, agro-processing businesses, and water supply systems. Schools and healthcare centers in the Gash Barka region will also benefit from this initiative.
To ensure long-term sustainability, 25 local companies will be trained and equipped with the necessary tools and machinery. The initiative aligns with Eritrea’s 2018 National Energy Policy, which aims to increase electrification rates and achieve 20% renewable energy usage by 2030.
Source: Africa Oil & Gas Report
