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Djibouti to source 100% of its energy from renewables by 2020

IRENA report shows that the East African country could achieve the target by focusing on geothermal, wind and solar energy Djibouti could source 100 per cent of its energy needs from renewables by 2020, according to the International Renewable Energy Agency (IRENA).

 

IRENA’s Djibouti Renewable Readiness Assessment study found that the East African country could achieve the target by focusing on geothermal, wind and solar energy, as well as strengthening the connection with the Ethiopian power grid that currently delivers 65 per cent of Djibouti’s electricity.

The report includes a 5-year plan for using Djibouti’s renewable energy sources to address rising energy demand, limited energy security, and rampant unemployment.

 

Adnan Z Amin, Director General at IRENA, said: “The development of local renewable resources would provide an answer to Djibouti’s energy access, energy security and employment needs. The falling costs of renewable energy offer an opportunity for Djibouti to rethink its energy strategy, develop policies and build institutions that would create jobs, bring power to those currently without it and deliver more reliable electricity services – all through clean, sustainable energy.”

 

About 55 per cent of Djibouti lacks access to electricity, according to the report.

The report also says that the clean energy sector employs more people on a megawatt to hour basis than the conventional energy sector.

 

IRENA’s study suggests that the country’s off-grid renewable power could meet the demand in rural areas and replace existing diesel systems, reducing green house gas emissions and pollution.

 

IRENA’s Africa Clean Energy Corridor initiative is already supporting Djibouti’s enhanced energy access with a range of transmission and upgrade projects introduced.

The report says: “Ambition for energy investment in the region is such that Djibouti can look beyond its regional role to become a transcontinental transmission hub for clean and low emission electricity.”

Ethiopia and Djibouti sign deal to build natural gas pipeline

Ethiopia found extensive gas deposits in its eastern Ogaden Basin in the 1970s

 

ADDIS ABABA: Ethiopia and Djibouti have signed a deal to build a pipeline to transport Ethiopian gas to an export terminal in the Red Sea state, officials said.

Ethiopia found extensive gas deposits in its eastern Ogaden Basin in the 1970s. China's POLY-GCL Petroleum Investments has been developing the Calub and Hilala fields there since signing a production sharing deal with Ethiopia in 2013.

The agreement between Djibouti and Ethiopia comes more than a year after POLY-GCL signed a memorandum of understanding with Djibouti to invest $4 billion to build the natural gas pipeline, a liquefaction plant and an export terminal to be located in Damerjog, near the country's border with Somalia.

It was envisaged that production would start last year, but the Ethiopian government said that was now likely to happen in 2020.

Djibouti's Energy Minister Yonis Ali Guedi told Reuters late on Saturday the deal hammered out "key terms that will serve as a basis" for related concession contracts.

"It is the most expensive project ever built in the Horn of Africa region," he said. "The two parties have reached an agreement in principle to allow them to benefit from the project in an equitable manner."

POLY-GCL is a joint venture between state-owned China POLY Group Corporation and privately owned Hong Kong-based Golden Concord Group.

Africa's eastern seaboard could soon become a major global producer of liquefied natural gas, with other planned projects based on big gas finds made in Tanzania and Mozambique. 

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