Access to Distributed Electricity and Lighting in Ethiopia (ADELE)

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The development objective of the Access to Distributed Electricity and Lighting in Ethiopia (ADELE) Project for Ethiopia is to increase access to reliable electricity for households, social institutions, and enterprises in Ethiopia. The project comprises of five components. The first component, network strengthening for improved reliability of supply in urban areas will improve the reliability of supply in Addis Ababa and 10 other regional capitals and selected zonal towns, where deficiencies in availability, quality, and reliability of supply remain a challenge. The second component, solar-hybrid mini grids for rural economic development will finance the rollout of solar mini-grids along with battery storage and or diesel backup. It consists of following sub-components: (i) Ethiopian electric utility (EEU) - led mini-grids; and (ii) private sector-led mini-grid pilot. The third component, solar home systems for households (HHs), small-holder farmers and small businesses will expand availability and affordability of off-grid solar (OGS) systems for households, smallholder farmers, and small businesses in rural areas, with a particular focus on deep-rural and other underserved areas. It consists of following sub-components: (i) incentivizing market expansion into deep-rural areas and innovation; and (ii) access to finance to increase OGS penetration. The fourth component, standalone solar systems for health and education facilities will finance the supply and installation of stand-alone solar systems for health and education facilities identified under the national electrification program (NEP) 2.0. The fifth component, capacity building, technical assistance, and implementation support will finance various sector studies and technical assistance, capacity-building, and implementation support activities to ensure EEU, Ministry of Water, Irrigation, and Energy (MoWIE), Development Bank of Ethiopia (DBE), Ethiopian Energy Authority (EEA), the local and international private sector, cooperatives, mobile network operators, financial institutions, and other sector stakeholders have adequate technical, planning, and operational capacity to implement the electrification program. It consists of following sub-components: (i) enhancing EEU’s institutional, technical, and planning capacity; (ii) enhancing MoWIE’s monitoring and technical capacity; and (iii) enhancing the financial sector’s capacity to provide financing to the off-grid energy sector.