Investment Opportunities
Investment Opportunities › Renewable Energy
Renewable Energy
Print E-mail
The Energy sector is one of the strategic areas of the country. Recent efforts to economic growth provided by Djibouti on one hand, and geographic expansion resulting from rapid urbanization of the capital and other regions, have literally exploded the demand for energy.

The region is suffering by underpower electricity that blocks development in most of the COMESA countries. Djibouti, with its wide variety of energy, promotes among the private sector into the investment:

Source :Energy consumption of households (%) by energy sources

A major study on the potential of reducing electricity costs and the politics of energy access has been achieved. This study makes several recommendations, including the need to reform the sector and establishing within the Ministry of Energy a Department of Rural Electricity Management.
The evolution of the main indicators of energy is presented below:

Production and Consumption of electricity (2006-2010)
Statut 2006 2007 2008 2009 2010 Var. 2010/09
Energy produced (MWH) 306.047 321.160 325.873 342.744 372.658 8,7%
Energy consumed (MWH) 226.887 254.718 269.792 267.284 288.701 8,0%
Rate of Return 74,1 79,3 82,8 78,0 77,5 -0,5%
Number of subscribers 36.186 37.766 39.246 40.756 42.228 3,6%
Average price per kWh in FDJ 51 53,5 52,3 51 65 27,5%
Source : EDD

The wind energy potential: future project

The country has a considerable wind potential, especially on sites Ghoubbet / Assal, Gali Maab Wein and Bada, as has been confirmed by a study funded by the Presidency of the Republic of Djibouti in May 2002.
It is estimated to be 4 to 5000 H / year of wind power knowing that, in general, if we can wait 2000H/an, the project is profitable.

The solar potential: a sunny future for a country full of promise

In the past, with support from the Centre for Studies and Research of Djibouti, several studies and pilot projects were launched, especially in the field of solar photovoltaics. The Djiboutian Agency for the Social Development (ADDS) is the only body that has recently begun to equip schools, drilling wells and homes with solar photovoltaic panels.

The potential, however, is immense because, according to some experts, "each year, each km2 is exposed to solar energy is the equivalent of 1.5 million barrels of oil." Djibouti has one of the exhibitions of sunshine (2 300 kW / h per m2 per year) and solar radiation as high (3 500 hours per year) in the world. In reference to the "Promotion of Solar Energy" project sponsored by UNDP, a diagnosis made recently demonstrated ignorance of the technology by potential users and decision makers.

Aeolian Energy

The Goubet sites with its powerful and frequent wind present an opportunity for large scale distribution. The combination of the three types of energy makes Djibouti an important place for investment and responds to the country target of becoming regional distribution center of energy. The other related businesses are also available.