UAE Hodler Investments and GCL Energy Investment have partnered to create distributed energy infrastructure in Ethiopia utilizing HODLER’s PermianChain platform. This initiative aims to convert wasted energy into usable power while contributing to Ethiopia’s digital transformation strategy, enhancing the local data center market valued at $95 million in 2022. The partnership is part of broader efforts to integrate advanced energy optimization technologies to support sustainable development and decarbonization in Ethiopia, projected to grow substantially by 2028.
UAE Hodler Investments has joined forces with GCL Energy Investment to establish distributed energy infrastructure in Ethiopia, leveraging HODLER Investments’ digital energy platform, PermianChain. This collaboration aims to convert wasted energy, including flared gas, into usable energy, thereby reducing CO2 emissions while supplying power for advanced AI and blockchain data centers. GCL, a subsidiary of China’s GCL Group, brings expertise in clean energy to the partnership, which seeks to host leading global data center operators in Ethiopia. Following recent agreements with the Ethiopian government to explore gas in the Ogaden Basin, the partnership will focus on energy optimization technologies. This initiative aligns with Ethiopia’s ambition to play a significant role in the digital economy, as outlined in its “Digital Transformation Strategy 2025,” aiming to capitalize on the burgeoning data center market, valued at $95 million in 2022 and projected to reach $226 million by 2028. Mohamed El Masri, Managing Director of Hodler Investments, emphasized the partnership’s potential in enhancing energy infrastructure to support a sovereign digital economy in Africa. WANG Dong, CEO of GCL Energy Investment, commented on the collaboration’s objective to address the energy sector’s challenges, highlighting the role of modern technology and smart capital in accelerating decarbonization efforts. Furthermore, Hodler Investments is progressing on establishing a $500 million Digital Energy Infrastructure Fund (DEI) to support renewable energy and digital asset operations in the region, which has garnered interest from various partners. In summary, the partnership between Hodler Investments and GCL Energy Investment represents a strategic move to harness Ethiopia’s energy resources while promoting sustainable practices and digital innovation in the region.
The collaboration between UAE Hodler Investments and GCL Energy Investment is significant within the context of Ethiopia’s growing strategy to develop its data center and digital infrastructure. As a major player in the energy sector, GCL Group’s involvement reflects a commitment to clean energy solutions which is vital for reducing carbon emissions. The agreements made in 2024 facilitate exploration for natural gas in the Ogaden Basin, while forecasts showing significant growth in Ethiopia’s data center market underscore the financial viability of this strategic partnership. Furthermore, Hodler’s ongoing initiatives to create a digital energy infrastructure fund align closely with global efforts to promote sustainable and efficient energy use.
The partnership between UAE Hodler Investments and GCL Energy Investment marks a crucial step in developing distributed energy infrastructure in Ethiopia, focusing on the monetization of wasted energy and supporting the burgeoning data center market. By investing in sustainable technologies and addressing the energy sector’s challenges, both companies are positioning themselves to play a significant role in the country’s digital economy transformation. With ambitious economic goals set for the upcoming years, this collaboration may serve as a model for future sustainable energy endeavors in Africa.
Original Source: www.zawya.com
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