Fana: At a Speed of Life!

Australian firm to produce 25GW of energy from renewable sources

Addis Ababa, June 4, 2022 (FBC) – The government of Ethiopia has granted a license to an Australian Company Fortescue Future Industries (FFI) that enables the company to generate a total of 25 gigawatts of energy using solar, wind, and geothermal sources.

Finance Minister Ahmed Shide said at the event that the relative abundance of renewable energy resources including hydropower, geothermal, wind and solar makes Ethiopia a right place to do business in the sector. FFI is a global green energy company that has committed to produce zero carbon green hydrogen from 100 percent renewable resources.

The government has been in discussion with the company to launch green hydrogen and ammonia since September 2020 and it would play a crucial role in increasing Ethiopia’s access to green energy and contribute to the development of carbon-free economy. The activity is also helpful to produce fertilizer, cement, and others and the government will provide the necessary support.

FFI CEO Julie Shuttle worth said the company plans to exploit Ethiopia’s immense potential to green energy production and to export green energy after satisfying the domestic demand. “Our biggest goal is to produce green hydrogen and ammonia for Ethiopia and the rest of the world to combat global warming. The company is building a global portfolio of renewable green hydrogen and green ammonia projects to produce 15 million tons per year of green hydrogen in 2030 which is a huge target and the country is also supporting us.”

Australian Ambassador to Ethiopia Julia Niblett expressed gratitude for the government of Ethiopia for supporting the initiative; adding the FFI is undertaking huge ambitious projects in Ethiopia in supply of renewable energy. The company’s investment will have a great importance in creating jobs, generating forex, transfer of technology and others.

Approached by EPA at the margins of the agreement signing ceremony, senior advisor at the Ministry of Finance Biruk Taye (PhD stated that big Western companies have been demonstrating a growing interest to invest in Ethiopia’s green energy development that would have greater significance to reduce carbon emission. The companies’ involvement also align with Ethiopia’s plan to shift from fossil fuel to green energy.

Ethiopia has a huge opportunity for green energy development from hydropower, wind, geothermal, and solar sources and limit carbon emission. Extensive discussion was underway for the past one year with the Ministry of Finance and other sectors to support the FFI’s initiative which will have a significant contribution to Ethiopia’s vision of building an environment- friendly economy. The company is the first of its kind to produce green hydrogen in Ethiopia.

The investment is very crucial for Ethiopia to produce green fertilizer using ammonia and also hydrogen for factories that consume huge energy with zero emission. On the other hand, the energy will generate forex by exporting to the global market and it will also have a huge impact in knowledge and technology transfer, the advisor elaborated.

You might also like

Leave A Reply

Your email address will not be published.