A Hydroelectric Project and its Impact on Development Indicators in Ethiopia

Abstract

This study analyses developmental indicators in southern Ethiopia in connection with the Gilgel Gibe III hydroelectric project and its impact on the local community. The project area and people have long been marginalized, while energy demand has been rising apace with the growing manufacturing sector in the country. Because of the overuse and exhaustion of traditional sources, new energy sources must be explored, if economic growth is to continue. Finished goods are in demand, leading to industrial activities that further increase the demand for energy. Budgetary and other associated constraints have delayed the Gilgel Gibe III hydropower project, but construction work is 88 per cent completed as of this writing. This project might play a vital role in local community development and Ethiopia in general, as it is set to increase national energy coverage by 94 per cent. © 2015 Norwegian Institute of International Affairs (NUPI).