The Tulu Moye geothermal project in Ethiopia secures $10m loan funding

Drilling has started in the Tulu Moye geothermal project, a joint venture between Meridiam and Reykjavik Geothermal (RG).

The Tulu Moye geothermal area is located about 150 kilometers southeast of Addis Ababa and 15 kilometers from the town Iteya.

In a release before the weekend, the African Development Bank welcomed a decision by the Trust Fund Committee of the Clean Technology Fund (CTF), one of two funds within the Climate Investment Funds (CIF), to extend a $10 million concessional senior loan for the development of the 50-megawatt Tulu Moye Geothermal Power Plant project in Ethiopia.

The CTF approved the loan on 20 April 2020 for the project, which is seen as a critical step to the East African country’s drive to harness sustainable and resilient energy resources to support its economy and livelihoods. With this investment, CTF becomes the first progressive geothermal Independent Power Producer (IPP) in Ethiopia.

“We welcome the participation of CTF in this project. This concessional resource will be instrumental in helping the country to diversify its energy mix by facilitating the deployment of renewable energy technologies while supporting Ethiopia in meeting the targets under its National Electrification Plan 2.0,” said Anthony Nyong, Director of Climate Change and Green Growth at the Bank. […] CONTINUE READING