Ethiopia Powers Up 5,150 MW Blue Nile Dam: Africa’s Largest Hydroelectric Project Now Fully Operational

September 10, 2025
1 min read
A concrete dam with multiple water release gates showing water flowing through spillways, set against a backdrop of rocky cliffs and mountains.
While Ethiopia's Grand Renaissance Dam marks a significant milestone in hydroelectric development, debates continue over balancing energy needs with water rights along the Nile River basin, highlighting the complex intersection of development, resource management, and regional diplomacy. Photo Source: Rawpixel.com

Ethiopia turned on the full power of its massive Blue Nile dam on Tuesday, ending a 14-year building journey that sparked both national pride and heated disputes with neighboring countries. 

The Grand Ethiopian Renaissance Dam (GERD) now stands as Africa’s largest hydroelectric project. At the opening ceremony, fighter jets soared over the 170-meter-high structure while Prime Minister Abiy Ahmed welcomed leaders from Kenya, Somalia, and Djibouti. 

“Ethiopia built the dam to prosper, to electrify the entire region,” Prime Minister Abiy told the crowd. “It is absolutely not to harm its brothers.” 


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The $5 billion project can generate 5,150 megawatts of electricity – enough to place it among the 20 largest hydroelectric dams worldwide. This doubles Ethiopia’s power capacity, offering hope in a country where nearly half the population still lacks reliable electricity. 

For many Ethiopians, the dam represents more than just power. They funded it themselves, with 91% coming from Ethiopia’s central bank and the rest through bonds and donations from citizens. 

“We can drink cold water now. We use electricity for everything,” said Sultan Abdulahi Hassan, a farmer living near the dam site. 

But not everyone celebrates. Egypt, which relies on the Nile for nearly all its fresh water, views the dam as a potential crisis. The country’s foreign ministry has promised to “take all appropriate measures” to protect Egyptian interests. 

Sudan shares some of Egypt’s concerns but could also benefit from reduced flooding and new power access once transmission networks are built. 

Despite years of failed negotiations between the three countries, the dam has not yet caused major water problems downstream. Experts point to good rainfall and Ethiopia’s careful approach to filling the reservoir during rainy seasons as reasons for the minimal impact so far. 

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The reservoir now covers an area bigger than Greater London. Ethiopian officials say it will help control water flow year-round while generating electricity that could bring in $1 billion yearly, mostly from exports to neighboring countries. 

While cities in Ethiopia enjoy 94% electricity coverage, rural areas lag behind. Only about half of all Ethiopians currently have power access according to World Bank figures, with poor transmission networks being the main obstacle. 

For water researcher Mekdelawit Messay, the project shows what’s possible when a country unites behind a goal. “It has been a banner to rally under, and it shows what we can achieve when unified,” she said. The dam marks a turning point for Ethiopia’s development plans, though questions remain about how water will be shared along the Nile during future dry years – a challenge that will test relationships between the region’s nations for decades to come.

Sunita Somvanshi

With over two decades of dedicated service in the state environmental ministry, this seasoned professional has cultivated a discerning perspective on the intricate interplay between environmental considerations and diverse industries. Sunita is armed with a keen eye for pivotal details, her extensive experience uniquely positions her to offer insightful commentary on topics ranging from business sustainability and global trade's environmental impact to fostering partnerships, optimizing freight and transport for ecological efficiency, and delving into the realms of thermal management, logistics, carbon credits, and energy transition. Through her writing, she not only imparts valuable knowledge but also provides a nuanced understanding of how businesses can harmonize with environmental imperatives, making her a crucial voice in the discourse on sustainable practices and the future of industry.

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