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Ethiopia’s emission of CO2 is negligible when compared to developed countries, but in terms of health-related emission effects, Ethiopians are some of the most effected in the world. This further emphasizes the need to access diverse, reliable, affordable and safe energy sources. Among different renewable energy sources, Ethiopia has promising potential with regards to the use of bio-fuels as part of its Climate Resilient Green Economy (CRGE) development strategy.

The government’s bio-fuel development strategy indicates Ethiopia has suitable land for bio-fuel (bio-ethanol and bio-diesel) development. Over the past few years, fuel imports have represented between 15-25% of Ethiopia’s overall imports. Ethiopia’s fuel supply has also faced increased vulnerability recently from regional unrest. By developing new local technologies and business models in bio-fuels and bio-mass sectors - including distributed biomass power, bio-fuels, waste-to-energy, and biogas generation - Ethiopia can secure its fuel-based energy supply and capture economic value, including the creation of domestic employment.