Economy
Aysha Wind Project Draws Another Lender as Financial Close Nears
Addis Fortune · 3 days ago · Read the Full Story on Addis Fortune
AI SUMMARY
The Trade & Development Bank has approved a 50-million-dollar loan for Ethiopia's first wind-based independent power producer, the Aysha Wind Power Project, as it nears financial close.
- The Trade & Development Bank approved a 50-million-dollar debt loan for the Aysha I Wind Power Project.
- The 508-million-dollar project is nearing financial close, though construction has yet to begin and AMEA Power lists its status as financing.
- AMEA Power is arranging the project financing, while Ethiopian Electric Power will buy the output under a 25-year take-or-pay agreement.
- The African Development Bank previously approved up to 110 million dollars in July and is expected to help mobilise an additional 381 million dollars.
- The total cost is financed through a debt-to-equity ratio of up to 75:25, with Ethiopian Investment Holdings taking a three percent equity stake at financial close.
- The plant in the Somali Regional State will feature a wind farm, a five-kilometre 230kV transmission line, and upgrades to the Aysha II substation.
- The project is projected to generate 1,189GWh annually and create up to 1,525 direct jobs during a 30-month construction period.
- The project is intended to diversify Ethiopia's electricity grid, where hydropower accounted for 95pc of installed capacity in 2025.
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