Ethiopia plans to begin exporting renewable energy to a broader range of neighbouring nations by 2018 as part of a cross-border effort to maintain regional energy demand.
The move will also limit increases in climate-changing emissions.
The Eastern African Power Pool (EAPP) initiative aims to create or expand clean energy transmission lines among about a dozen countries in the region.
As part of the plan, Ethiopia would take on a bigger role as a regional power exporter.
At the moment, Ethiopia exports power to parts of Kenya, Sudan and Djibouti but it has signed deals to send power to Tanzania, Rwanda, South Sudan and Yemen as well.
The new $1.8 billion Gilgel Gibe 3 dam on the Omo River is set to begin power production as early as June.