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Ethiopia Gets World Bank Assistance for Geothermal Energy Development

June 2, 2014

The World Bank'sBoard of Executive Directors on Saturday (May 31) approved a US$178.5 million credit from the International Development Association and a US$24.5 million grant from the Scaling-up Renewable Energy Program Trust Fund to help Ethiopia develop its geothermal energy resources.

The Geothermal Sector Development project aims to help the government to meet the increasing demand for electricity by tapping into the substantial geothermal energy potential. The project, which will be implemented in two phases, is intended to develop two potential geothermal sites, those at Aluto and Alalobad, and help establish an institutional framework for geothermal development in the first phase.

In a second phase, electricity will be generated using the steam resources developed and identified previously. Guang Zhe Chen, World Bank Country Director for Ethiopia, said in addition to providing energy security the project would support Ethiopia's efforts to build a climate resilient green economy, developing renewable energy sources with low carbon emissions.

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Source: AllAfrica

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