By: Green building Africa

The African Development Bank Group approved US$58.04 million on 18 February to expand access to reliable and clean electricity across three towns in Eritrea’s southwest Gash Barka region. The funding comprises a US$37.31 million African Development Fund grant and a US$20.73 million grant from the Bank’s Transition Support Facility.

Under the Eritrea Energy Integrated Project, a 34-megawatt solar-powered mini-grid system will be deployed to strengthen distribution networks and expand local energy capacity, providing affordable and reliable electricity for households and businesses in Tesseney, Berantu and Kerkebet. The project will power clean water pumping, improve irrigation, boost agricultural productivity, and enable small enterprises and agro-processing facilities to extend operating hours and reduce costs. A total of 542 kilometres of distribution lines will be constructed or upgraded.

The initiative is expected to create jobs during construction and operational phases, strengthen local technical skills, and support the growth of small enterprises linked to renewable energy services. Over time, it will contribute to reduced greenhouse gas emissions and Eritrea’s transition toward a low carbon and climate resilient economy. Overall, the project is projected to benefit around 306,000 people.

The Eritrea Energy Integrated Project is part of the Bank Group’s Desert to Power initiative, which adopts an integrated approach linking energy access with agro-processing, irrigation, and local industrial development to drive broader socio-economic transformation. Kevin Kariuki, Bank Group Vice President for Power, Energy, Climate and Green Growth, said the investment will deliver reliable and affordable clean power, spur job creation, strengthen local economies, and advance Eritrea’s sustainable energy future.