Report indicate that the project is the result of a joint collaboration between Ethiopia and the World Bank.
According to a statement released at the launch, the center will “support pioneering clean-technology enterprises” involved in tackling climate change. The center is also expected to equip people with skills and create employment.
The first of its kind, the Ethiopia Climate Innovation Center (ECIC), which is expected to generate up to 12,000 jobs in a decade, will reportedly assist more than 3.1 million Ethiopians develop better strategies of dealing with climate change.
The center would reportedly offer funding and support to local entrepreneurs working in various sectors including agribusiness and biofuel.
The initiative is expected to improve energy access for 265,000 Ethiopians and enhance agricultural productivity for over 120,000 farmers.
Guang Zhe Chen, the World Bank’s Country Director for Ethiopia, issued a statement saying the unique initiative would display the potential of local entrepreneurs, while simultaneously allowing them to develop innovative solutions to challenges associated with climate change.
The launch of the center comes following an agreement between the global financial institution and Addis Ababa University in December, which is expected to accelerate the adoption of emerging technologies.
Reports indicate that under the bank’s infoDev Climate Technology Program (CTP), the bank is presently executing an international network of centers across countries in the region.
According to a press release issued by World Bank last year, the CTP helps countries gain from pro-active contribution to the current revolution in clean technology. The press release further added that the program would produce economic gain and simultaneously decrease emissions.
The first CIC opened in Kenya in 2012 and has supported more than 70 innovative ventures, observers say. CICs are also operational in other countries including Vietnam, Ghana, and Morocco.
Analysts estimate that in the absence of a suitable growth strategy, the total cost of climate adaptation in Ethiopia could amount to $5.84 billion annually.
To decrease adaptation costs and develop growth opportunities, the CIC is expected to provide advisory and mentorship services to the increasing number of local entrepreneurs.
The ECIC also received support from the Norwegian government and UKAid.