Koysha Hydroelectric Project to boost Ethiopia’s energy capacity and regional power ambitions

Addis Ababa, October 27, 2025 (FMC) — The Koysha Hydroelectric Project (HEP), located approximately 129 kilometers downstream of the Gibe III Hydropower Project along the Omo River, near Koysha Village in the South West Regional State of Ethiopia, represents a major addition to the country’s national electricity grid.

With an installed capacity of 1,800 MW, the Koysha HEP is expected to generate an estimated 6,344 GWh of electricity annually, contributing substantially to Ethiopia’s growing energy demand.

Beyond expanding the national power supply, the project will provide clean, reliable, and affordable renewable energy, supporting Ethiopia’s ambition to become a regional electricity export hub in East Africa, according to the Office of the Prime Minister.

At the local level, the Koysha HEP is expected to enhance electricity access for households and small businesses, complementing ongoing rural electrification programs.

The project is also anticipated to stimulate socio-economic development, improve living standards, and support sustainable growth in the surrounding communities.

During a recent review of the project, Prime Minister Abiy Ahmed announced that the civil work of Koysha HEP is now 70 percent complete, with the dam having reached a height of 128 meters. The Koysha Hydroelectric Project is recognized as Ethiopia’s second-largest hydropower project, following the Grand Ethiopian Renaissance Dam (GERD), and some reports suggest that upon completion, it could become Africa’s fourth-largest hydroelectric dam to date.