Ethiopian Entrepreneurs Score High for Funding, Drive Solar and Hydroponic Innovations in Rural Areas

SahanTech Solutions, a renewable energy startup, is advancing with plans to address Ethiopia's critical energy access and agricultural productivity challenges. The company has made significant progress, securing an 84% investment eligibility score from Capital Connect, highlighting the project's potential for growth and success.

Only 48% of Ethiopia’s population has access to electricity, with rural areas—the homes of over 80% of Ethiopians—remaining largely off the grid. Many rely on costly and unsustainable energy sources such as firewood and kerosene, contributing to environmental degradation and economic hardship. Local solar panel manufacturing by SahanTech aims to reduce energy costs by 20-40% compared to importing solar panels. This will increase access to affordable, clean energy for underserved rural communities.

Agriculture in Ethiopia accounts for 31% of GDP and employs more than 80% of the population, yet it faces significant hurdles due to unpredictable rainfall, water scarcity, and limited infrastructure. With 70% of farmers relying on rain-fed agriculture, productivity is vulnerable to climate change and droughts. In response, SahanTech’s solar-powered eco-hydroponic fodder-growing machines aim to tackle water scarcity by using 90% less water than traditional methods. These systems can produce 7-10 kilograms of fodder per kilogram of seed in 7-10 days, enabling year-round, resource-efficient agricultural production in regions like Raaso.

SahanTech is making strides in securing funding. The company has approached Kazana Fund for pre-seed financing to support its solar-powered eco-hydroponic project, alongside $5 million in funding discussions with AAY Investments Group to establish a solar panel manufacturing facility in Raaso. This investment will support Ethiopia’s energy and agricultural sectors, providing both jobs and sustainable solutions to rural challenges.

In collaboration with Auto Studio Agro Ltd., SahanTech plans to introduce solar-powered hydroponic systems to boost agricultural productivity in a sector that employs over 80% of Ethiopians. Technical support for the project is being provided by Wuhan OOI Photoelectric Technology Co., Ltd., while Xian Afford Steel Co., Ltd. is slated to oversee the construction of the manufacturing facility.

These collaborations illustrate how SahanTech is combining local innovation with international expertise to develop scalable, sustainable solutions.

Founded by Jibril Mohamed Ahmed, a renewable energy expert, and joined by Dr. Kassahun Delene, an agritech specialist, SahanTech is driven by a shared vision of transforming Ethiopia’s energy and agricultural sectors. Dr. Delene emphasized the company’s potential, “The value SahanTech brings is truly transformative and aligned with the pressing needs of our generation. By addressing both energy and agricultural gaps, we unlock potential for millions.” he said.

With 80% of Ethiopians relying on agriculture for their livelihoods, SahanTech’s innovations promise to uplift rural communities, addressing energy poverty and agricultural inefficiency. The company’s approach will enable more sustainable farming practices, providing smallholder farmers with the tools to thrive in an increasingly challenging environment.

Through local solar manufacturing and water-efficient hydroponics, SahanTech is taking a critical step toward creating a sustainable future for Ethiopia. With continued support from local and international investors, the company is set to begin construction of its manufacturing facilities in Raaso, bringing clean energy and agricultural innovation to underserved regions of the country.

Jibril Mohamed Ahmed remarked, “This project is not just about technology; it’s about creating opportunities for communities to build a better future.”