Ethiopia Seeks Global Bids for Solar Mini-Grid Rollout

Ethiopia has invited international companies to bid for the construction of three solar photovoltaic (PV) mini-grid projects as the country steps up efforts to expand electricity access in underserved rural communities through renewable energy.

The Ministry of Water and Energy announced the procurement under the Africa Mini Grids Program, describing it as part of Ethiopia's National Child Mini Grid Project, which is designed to provide reliable electricity to selected off-grid communities.

According to the ministry, the successful contractor will undertake the full engineering, procurement and construction of the projects, including design, equipment supply, installation, testing, commissioning, training and 12 months of operation and maintenance.

The projects are spread across three regions, with one mini-grid planned for Fudus in Tigray Region, another for Harey in Somali Region and the third for Serba in Oromia Region. Interested firms may bid for one, two or all three contracts, with each project to be evaluated independently.

The tender comes as many African countries increasingly deploy solar mini-grids to accelerate rural electrification, particularly in communities where extending the national grid remains economically challenging. Mini-grids are also viewed as an important tool for improving access to electricity while supporting economic activities, education, healthcare and small businesses.

Ethiopia sets technical and financial requirements for bidders

The ministry said participating firms must have at least five years' experience executing engineering, procurement and construction (EPC) projects in renewable energy, electrical infrastructure or related sectors.

Bidders are also required to demonstrate successful delivery of similar projects over the past five years and show access to at least 50,000 dollars in working capital or equivalent financial resources.

Technical proposals will be assessed using a 100-point evaluation system covering methodology, previous project experience, personnel qualifications, financial capacity and the participation of Ethiopian professionals. Companies must score at least 70 points to qualify for financial evaluation.

To encourage local participation, the procurement provides a 7.5 per cent price preference for eligible Ethiopian contractors that satisfy specified local ownership and staffing requirements.

Project Targets rural electrification under Africa Mini Grids Programme

The ministry fixed bid security at 500,000 Ethiopian birr for each lot, or the equivalent in a freely convertible currency for international bidders.

Interested companies have until July 31, 2026, to submit bids at the ministry's headquarters in Addis Ababa, with bid opening scheduled for the same day.

According to the tender documents, the successful contractor will have 300 calendar days to complete each project after receiving the notice to proceed and must provide a performance guarantee within 15 days of contract award.

The Africa Mini Grids Program supports the deployment of renewable energy-based mini-grids across several African countries as governments seek to expand electricity access, reduce dependence on fossil fuels and improve energy security in rural areas.