Ethiopia Slashes Bitcoin Miners’ Power by 77% as Drought Hits Hydropower

Ethiopia has emerged as a Bitcoin-mining hub after its low-cost hydropower attracted operators, including Chinese firms, even though cryptocurrency trading remains illegal. State-owned Ethiopian Electric Power (EEP) has power-purchase agreements with 39 miners, 31 of which are operating. The industry consumes almost one-third of the country’s 9,730-megawatt electricity output and provided 35% of EEP’s revenue in the last financial year, making the curbs economically significant as Addis Ababa balances foreign-currency income against household and industrial demand.

EEP Chief Executive Ashebir Balcha said on Sept. 15, 2026, that El Niño had worsened the dry season and cut reservoir inflows by 20%. The utility reduced miners’ supply first to 75% of contracted volumes, then 50%, and now 23% — a 77% cut — to prioritize homes and manufacturers. EEP will reassess allocations in October and may tighten them further or curb exports to neighboring countries. It has already lowered its fiscal-year electricity-export revenue forecast by 40% to $279 million.