A

Addis

Business

September 26, 2025

Ethiopia Inks Nuclear Deal With Russia in Energy Sovereignty Push

Politic

By

Addis Insight

Ethiopia Inks Nuclear Deal With Russia in Energy Sovereignty Push











Ethiopia and Russia have signed a landmark action plan to begin constructing Ethiopia’s first nuclear power plant, a project poised to reshape the East African nation’s energy mix and reduce reliance on hydropower amid climate variability.

Rosatom Director General Alexey Likhachev and Ethiopian Foreign Minister Gedion Timotheos signed the agreement in Moscow during a high-level ceremony attended by Russian President Vladimir Putin and Ethiopian Prime Minister Abiy Ahmed. The deal advances a multiyear bilateral roadmap for nuclear cooperation initially launched in 2017.

“This journey begins now,” Prime Minister Abiy said, describing the project as Ethiopia’s “next Grand Renaissance Dam.”

Nuclear Ambitions Take Shape

The action plan follows a series of formal steps by Ethiopia to enter the nuclear age. The two countries signed an intergovernmental agreement in 2017, ratified by the Ethiopian Parliament in 2021. A three-year nuclear roadmap (2023–2025) was subsequently signed during Abiy’s visit to Russia last year, and Ethiopia established a dedicated implementing body—the Ethiopian Nuclear Science and Technology Institute (ENSTI)—in 2024.

While specific project details remain undisclosed, the current phase is expected to involve site selection, regulatory preparation, and human resource development, according to sources familiar with the matter.

Diversification Beyond Hydro

Ethiopia derives over 85% of its electricity from hydropower, including flagship projects like the 5,150 MW Grand Ethiopian Renaissance Dam (GERD) and the 2,170 MW Koysha Dam. But fluctuating rainfall and growing industrial demand have exposed the grid’s vulnerability, forcing policymakers to accelerate diversification.

The country has added over 2,000 MW in renewable capacity in the past five years through wind, geothermal, and solar investments. Still, nuclear offers something those technologies cannot: a stable, high-capacity baseload power source.

“Nuclear is about more than electrons—it’s about sovereignty,” said an Addis Ababa-based energy analyst. “Ethiopia wants to reduce its exposure to hydrological shocks and unlock industrial exports.”

Strategic Parallels With Egypt, South Africa

Once operational, Ethiopia will become only the third African country with civil nuclear capability, after South Africa, which operates the 1,800 MW Koeberg plant, and Egypt, which broke ground on its 4.8 GW El-Dabaa plant with Rosatom in 2022.

For Russia, the agreement strengthens Rosatom’s foothold in Africa, part of Moscow’s broader strategy to deepen influence in emerging markets through infrastructure diplomacy.

Financing and Risk

Ethiopia’s debt profile remains under watch by international lenders, and the cost of nuclear infrastructure—typically between $5–10 billion per plant—raises questions about financing strategy. Rosatom is expected to offer a build-own-operate (BOO) or intergovernmental loan model, similar to deals struck in Bangladesh and Hungary.

No official cost estimate or timeline has been released, but Ethiopian officials hinted at first electricity production by the early 2030s.

Bottom Line

The Ethiopia-Russia nuclear pact marks a bold pivot in Ethiopia’s energy policy, one that reflects its dual ambitions of energy independence and industrial acceleration. As hydro limitations mount and geopolitical alliances shift, nuclear may soon become central to Ethiopia’s economic future.

At a Glance: Ethiopia’s Power Mix

Comments

No comments yet. Be the first to leave a comment!

Leave a Comment

Related Posts

Subscribe

You must accept the terms to subscribe.

© Copyright 2025 Addis News. All rights reserved.