Eritrea - Dekemhare 30 MW Solar PV Project

The proposed project aims at development of a grid-connected solar PV power plant near Dekemhare Town (40 km southeast of Asmara), thereby increasing the availability of clean and affordable electricity. This would contribute to improving the quality of life of the population, promote business activities and job creation including for women and youth, thereby spurring the overall economic growth in the country. The project will also contribute to reducing GHG emissions from the sector. The project will result in social and economic benefits for the Eritrean people, and so contribute to the achievement of the objectives of the country’s development priorities. Some of the benefits are job opportunities; improvement in reliability of energy supply, and facilitation to increase access to electricity. Furthermore, the project will support GoSE’s efforts to reduce the cost of generating electricity through investment in a grid-connected solar PV power plant, thereby boosting productivity and value chain development (particularly in agriculture) and incentivizing private investment in the country. The resulting renewable energy will contribute to addressing system generation deficit, decrease energy production cost and increase electricity connectivity. The project comprises four main components, namely: (i) power generation; (ii) technical assistance and capacity building; (iii) project management; and (iv) implementation of the Environmental and Social Management Plan and Gender Action Plan. This project primarily contributes to climate mitigation results. As such, 100% of the total approved amount is attributed as climate finance, of which 100% is dedicated to mitigation.