Ethiopia on Tuesday officially inaugurated the $5 billion Grand Ethiopian Renaissance Dam (GERD), Africa’s largest hydroelectric project, declaring it a cornerstone of the country’s economic future despite years of bitter opposition from downstream Egypt and Sudan.
The dam, built on the Blue Nile, has been under construction since 2011 and is expected to generate 5,150 megawatts of electricity once fully operational, compared to the 750 MW currently produced by two active turbines.
Prime Minister Abiy Ahmed hailed the project as a sovereign achievement that would expand access to electricity in Ethiopia, where nearly half of the population of 120 million remains off the national grid, while also allowing the country to export surplus power across the region.
“This dam is not a threat but a shared opportunity,” Abiy told parliament earlier this year, underscoring Addis Ababa’s view that the GERD will bolster regional development.
Egypt, however, has long viewed the project as an existential risk. Relying on the Nile for about 90% of its freshwater needs, Cairo fears the GERD could dangerously restrict supplies during droughts and undermine treaties dating back to the colonial era.
“Egypt will continue to monitor developments on the Blue Nile and take all appropriate measures to defend the interests of its people,” Foreign Ministry spokesperson Tamim Khallaf said.
Sudan has echoed Cairo’s demand for a legally binding agreement on the dam’s filling and operation, though it also stands to benefit from flood control and cheaper electricity.
Years of negotiations, including mediation efforts under former U.S. President Donald Trump, have failed to resolve the dispute. At the time, Trump even suggested Cairo might resort to “blowing up the dam”, a remark that underscored regional tensions but did not alter Ethiopia’s determination to proceed.
So far, experts note, no major disruption to Nile flows has been recorded, thanks to phased reservoir filling during rainy seasons and favourable rainfall. Still, analysts warn that worsening relations between Ethiopia and Egypt, compounded by Addis Ababa’s push for Red Sea access through Eritrea or Somalia, where Cairo has increased its influence, could escalate into a wider geopolitical clash.
For Ethiopians, the GERD has become a rare source of national unity amid years of internal conflict. Funded largely through domestic contributions, with Ethiopia’s central bank covering 91% of costs and citizens providing the rest via bonds and donations, the dam is seen as a symbol of self-reliance and resistance to foreign pressure.
Yet despite its promise, millions of rural Ethiopians will have to wait to benefit. Only about half the country is currently connected to the national grid, leaving the dream of universal access to electricity still on the horizon.
Source: Reuters
Written By Rodney Mbua
