Distributed Renewable Energy Agriculture Modalities – DREAM

REQUEST FOR EXPRESSIONS OF INTEREST (REOI)

In Partnership with The Rockefeller Foundation, the African Development Bank through the Sustainable Energy Fund for Africa (SEFA), and the Agricultural Transformation Energy (ATA), The Ministry of Water and Energy (MoWE) of Ethiopia has launched a new agricultural productive use focused project named Distributed Renewable Energy-Agriculture Modalities (DREAM). The DREAM project is expected to transform household farmer-based Agricultural Commercial Clusters (ACCs) by providing reliable and affordable solar mini-grid power to enable large-scale cluster irrigation farming throughout the year.

Compared to current diesel generator-based irrigation solutions, on average the DREAM project is expected to substantially increase on average:

1. Farmer Productivity by 91%
2. Farm Production by 86%
3. Farmer Income by 80%

In addition to providing renewable energy for ACC irrigation, the project will contribute significantly towards the government’s National Electrification Program (NEP 2.0) and the United Nations’ Sustainable Development Goals, specifically SDG 7 (electricity access) and SDG 6 (clean water supply) to household farmers and surrounding communities.

Moreover, since the project enables an irrigation anchor load, significant opportunities to include the Productive Use of Energy (PUE) in agro-processing and e-transport increases potential commercial viability and support more practical incentive frameworks from the government perspective. Projects are envisaged to be implemented in partnership with private sector mini-grid operators and PUE partners.

Project Sponsors

The Rockefeller Foundation works to improve the well-being of people everywhere. The Foundation is dedicated to the principle that all men and women have the right to health, food, power, and economic mobility.

The Global Energy Alliance for People and Planet (GEAPP) launched on November 2, 2021, at COP26 with USD10 billion of committed capital to accelerate investment in green energy transitions and renewable energy solutions in developing and emerging economies. This historic Alliance partnership leverages catalytic philanthropic funding to unlock investment capital with the aim of mobilizing USD100 billion in public and private capital in order over the next decade to reach one billion people with reliable renewable power, avoid and avert four billion tons of carbon emissions, and create, enable, or support more than 150 million jobs. For more information, and to access the Alliance’s first Global Call for Country Partnerships, which will run through March 15, 2022, please visit www.globalenergyalliance.org

SEFA is a multi-donor special fund, hosted and managed by the African Development Bank. It provides catalytic finance to unlock private sector investments in renewable energy and energy efficiency.

Key Program Partners

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Program Summary

The DREAM project will facilitate the implementation and private sector operation of nine renewable energy mini-grids and irrigation systems across Ethiopia, resulting in over 4,300 total electricity connections, including over 2,500 households , along with water pumping and distribution systems to provide reliable year-round irrigation to all farmers in the communities. In addition, there will be implementation of various productive use activities, specifically electric vehicles for transport of goods and persons.

The project will make available a comprehensive suite of detailed information and economic analysis, technical assistance facilities, grant funding, concessional debt, and risk mitigation facilities to selected private sector companies who will develop, deploy, and operate each of the nine sites identified for the project. The project consists of three distinct components:

1. Mini-grids: Renewable energy generation and distribution to households, SMEs and agricultural/irrigation anchor customers;
2. Irrigation services: implementation of large-scale water pumping and distribution systems to farmers;
3. PUEs: Operation of electric vehicles and other productive use activities such as agricultural processing.

NOTE: This request for Expressions of Interest is in respect of the mini-grid component only. Additional information on the other components will be forthcoming.

Background Information

Download the background information documents below

Mini-Grid Viability Model

Mini-grid Pilot Sites Report

Summary Of Site Data

Drone Videos of Sites

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