Report Overview

Ethiopia Solar Photovoltaic (PV) Market – Industry Trends & Forecast Report, 2031

Ethiopia Solar Photovoltaic (PV) Market size was estimated at USD 519.75 million in 2024. During the forecast period from 2025 to 2031, Ethiopia Solar Photovoltaic (PV) Market size is projected to grow at a CAGR of 20.09%, reaching a value of USD 1,871.72 million by 2031. The growth of Ethiopia Solar Photovoltaic (PV) Market is driven by several compelling factors. The country’s abundant solar resources offer immense potential for clean energy generation, especially in rural and off-grid areas. Government initiatives and supportive policies have encouraged investment in solar infrastructure, while declining PV technology costs make adoption more feasible. Ethiopia’s commitment to climate goals and net-zero emissions further propels solar development. Additionally, solar PV supports agricultural productivity through irrigation and enhances energy access for telecommunications, public lighting, and residential use.

Solar Photovoltaic (PV) – Overview

Solar Photovoltaic (PV) technology harnesses sunlight and converts it into electricity using the photovoltaic effect. PV systems consist of solar cells—typically made from semiconductor materials like silicon—that generate direct current (DC) electricity when exposed to sunlight. These systems can be deployed in various configurations, including rooftop installations, solar farms, and portable units. PV technology is scalable, environmentally friendly, and increasingly cost-effective, making it a key solution for sustainable energy generation and rural electrification worldwide.

Ethiopia Solar Photovoltaic (PV) Market 

Growth Drivers

Declining Costs of Solar PV Modules and Technology

Ethiopia Solar Photovoltaic (PV) Market is gaining momentum due to the sharp decline in technology and system costs. Lower manufacturing expenses and global economies of scale have made solar installations more affordable. The government’s growing efforts to subsidize the importation costs of renewable technologies further reduce financial barriers. These cost reductions enhance the feasibility of solar projects, especially in rural and off-grid areas, accelerating adoption. As affordability improves, solar PV becomes a more attractive solution for Ethiopia’s energy access and sustainability goals.

Challenges

High Upfront Cost of Equipment

Despite growing interest, Ethiopia Solar Photovoltaic (PV) Market faces a key restraint: the high upfront cost of solar equipment and installation. Import duties, limited local manufacturing, and underdeveloped supply chains contribute to elevated prices. These financial barriers hinder widespread adoption, especially in low-income and rural communities. Additionally, the lack of affordable financing options and technical expertise further slows deployment. Addressing these cost challenges is essential to unlocking the full potential of solar energy in Ethiopia’s energy transition.

Impact of Escalating Geopolitical Tensions on Ethiopia Solar Photovoltaic (PV) Market 

Escalating geopolitical tensions pose a significant challenge to Ethiopia Solar Photovoltaic (PV) Market. As solar technology components are largely imported, global supply chain disruptions—driven by conflicts, trade restrictions, or diplomatic strains—can delay projects and inflate costs. Ethiopia’s reliance on foreign currency for procurement further compounds vulnerability. These tensions may also divert international investment and development aid, slowing infrastructure growth. To mitigate risks, Ethiopia must diversify supply sources, strengthen local manufacturing, and enhance energy diplomacy for resilient solar PV expansion.

Ethiopia Solar Photovoltaic (PV) Market 

Segmental Coverage

Ethiopia Solar Photovoltaic (PV) Market – By Product Type

Ethiopia Solar Photovoltaic (PV) Market by product type is divided into Thin Film, Multi-Crystalline Silicon (Multi-Si), and Mono-Crystalline Silicon (Mono-Si) segments. The Multi-Crystalline Silicon (Multi-Si) segment is the largest product type in Ethiopia Solar Photovoltaic (PV) Market. Known for its cost-effectiveness and high efficiency, Multi-Si panels are widely adopted across utility-scale and commercial installations. Their simpler manufacturing process and lower production costs make them more accessible for large-scale deployment. As Ethiopia expands its solar infrastructure to meet growing energy demands, Multi-Si technology continues to dominate due to its balance of performance, affordability, and suitability for the country’s climate and energy needs.

Ethiopia Solar Photovoltaic (PV) Market – By Deployment Mode

Based on deployment mode, Ethiopia Solar Photovoltaic (PV) Market is divided into On-Grid, Off-Grid, and Hybrid Systems segments. Off-grid systems segment represents the largest in Ethiopia Solar Photovoltaic (PV) Market. With over 60 million people lacking access to the national grid, off-grid solar solutions—such as solar home systems and mini-grids—are essential for rural electrification. Ethiopia is considered the third largest off-grid solar market globally, driven by demand from underserved regions and supported by mobile banking platforms like HelloCash. These systems offer scalable, affordable energy for lighting, communication, and irrigation, making them the dominant force in Ethiopia’s solar expansion.

Ethiopia Solar Photovoltaic (PV) Market – By Application

On the basis of application, Ethiopia Solar Photovoltaic (PV) Market is divided into Residential, Commercial, and Utility-Scale segments. Utility-scale systems form segment is the largest in Ethiopia Solar Photovoltaic (PV) Market. These installations are driven by government-led initiatives to expand national energy capacity and meet rising electricity demand. Utility-scale solar projects benefit from international funding, favorable policies, and declining technology costs, making them economically viable. With Ethiopia’s commitment to renewable energy and grid expansion, large-scale solar farms are central to the country’s energy strategy, contributing significantly to power generation and supporting industrial and urban development.

Competitive Landscape

Major companies operating in Ethiopia Solar Photovoltaic (PV) Market include Ethiopian Electric Utility (EEU), Ethiopian Energy Authority (EEA), Ethiopia Solar Energy Development Association (ESEDA), Power East Africa Engineering PLC, Solar Development PLC, Rensys Engineering and Trading, dVentus Technologies, and GIZ (German Development Cooperation). To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Scope of the Report

By Product Type

• Thin Film

• Multi-Crystalline Silicon (Multi-Si)

• Mono-Crystalline Silicon (Mono-Si) 

By Deployment Mode

• On-Grid

• Off-Grid

• Hybrid Systems

By Application

• Residential

• Commercial

• Utility-Scale

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. Ethiopia Solar Photovoltaic (PV) Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Declining Costs of Solar PV Technology
         2. Supportive Government Policies and Incentives
         3. Rising Demand for Clean and Reliable Energy      
      2. Restraints
         1. High Cost of IVF Treatments and Equipment
         2. Limited Access to Advanced Technologies
         3. Cultural and Religious Sensitivities 
      3. Opportunities
         1. Government Support for Reproductive Health Initiatives
         2. Technological Advancements in IVF Instruments    
      4. Challenges
         1. Shortage of Skilled IVF Professionals
         2. Inadequate Regulatory Framework for Assisted Reproduction
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Ethiopia Solar Photovoltaic (PV) Market: Marketing Strategies
5. Ethiopia Solar Photovoltaic (PV) Market: Pricing Analysis
6. Ethiopia Solar Photovoltaic (PV) Market Overview
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Product Type
         1. Thin Film
         2. Multi-Crystalline Silicon (Multi-Si)
         3. Mono-Crystalline Silicon (Mono-Si)  
      2. By Deployment Mode
         1. On-Grid
         2. Off-Grid
         3. Hybrid Systems
      3. By Application
         1. Residential
         2. Commercial
         3. Utility-Scale
7. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. Nigeria Insurance Company Market Share Analysis, 2024
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships)
8. Impact of Escalating Geopolitical Tensions on Ethiopia Solar Photovoltaic (PV) Market
9. Company Profiles (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT Analysis)
   1. Ethiopian Electric Utility (EEU)
   2. Ethiopian Energy Authority (EEA)
   3. Ethiopia Solar Energy Development Association (ESEDA)
   4. Power East Africa Engineering PLC
   5. Solar Development PLC
   6. Rensys Engineering and Trading
   7. dVentus Technologies
   8. GIZ (German Development Cooperation)
   9. Agricultural Transformation Institute (ATI)
   10. Other Prominent Players        
10. Key Strategic Recommendations
11. Research Methodology
    1. Qualitative Research
       1.  Primary & Secondary Research
    2.   Quantitative Research
    3.   Market Breakdown & Data Triangulation
       1.  Secondary Research
       2.  Primary Research
    4. Breakdown of Primary Research Respondents, By Region
    5.   Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List of Figures

Figure 1       Ethiopia Solar Photovoltaic (PV) Segmentation

Figure 2       Ethiopia Solar Photovoltaic (PV) Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2024

Figure 4       Ethiopia Solar Photovoltaic (PV) Market Size, By Value (USD Million), 2019–2031

Figure 5       Ethiopia Solar Photovoltaic (PV) Market Share, By Product Type, By Value, 2019–2031

Figure 6       Ethiopia Solar Photovoltaic (PV) Market Share, By Deployment Mode, By Value, 2019–2031

Figure 7       Ethiopia Solar Photovoltaic (PV) Market Share, By Application, By Value, 2019–2031

List of Tables

Table 1         Ethiopia Solar Photovoltaic (PV) Market Size, By Value (USD Million), 2019–2031

Table 2         Ethiopia Solar Photovoltaic (PV) Market Size, By Product Type, By Value, 2019–2031

Table 3         Ethiopia Solar Photovoltaic (PV) Market Size, By Deployment Mode, By Value, 2019–2031

Table 4         Ethiopia Solar Photovoltaic (PV) Market Size, By Application, By Value, 2019–2031

Table 5         Ethiopia Solar Photovoltaic (PV) Market Size, By Size, By Value, 2019–2031

Table 6 Ethiopian Electric Utility (EEU) Company Overview

Table 7 Ethiopian Electric Utility (EEU) Financial Overview

Table 8 Ethiopian Energy Authority (EEA) Company Overview

Table 9 Ethiopian Energy Authority (EEA) Financial Overview

Table 10 Ethiopia Solar Energy Development Association (ESEDA) Company Overview

Table 11 Ethiopia Solar Energy Development Association (ESEDA) Financial Overview

Table 12 Power East Africa Engineering PLC Company Overview

Table 13 Power East Africa Engineering PLC Financial Overview

Table 14 Solar Development PLC Company Overview

Table 15 Solar Development PLC Financial Overview

Table 16 Rensys Engineering and Trading Company Overview

Table 17 Rensys Engineering and Trading Financial Overview

Table 18 dVentus Technologies Company Overview

Table 19 dVentus Technologies Financial Overview

Table 20 GIZ (German Development Cooperation) Company Overview

Table 21 GIZ (German Development Cooperation) Financial Overview

Table 22 Agricultural Transformation Institute (ATI) Company Overview

Table 23 Agricultural Transformation Institute (ATI) Financial Overview