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US Embassy and the United States Trade Development Agency Give Yemen $515,214 to Support the Establishment of a National Rural Electrification Program

U.S. Ambassador to Yemen, Stephen Seche signed a grant agreement in the amount of $515,214 with the Government of Yemen to help increasing access to electricity in rural parts of Yemen. The grant, funded by the United States Trade Development Agency (USDTA), was awarded today to the Ministry of Electricity and Energy (MoEE) in Yemen. The grant will be used to partially fund the cost of technical assistance to MoEE in establishing a National Rural Electrification Program. Representing the Government of Yemen were Dr. Abdul-Karim al-Arhabi, Deputy Prime Minister for Economic Affairs and Minister of Planning and International Cooperation, accompanied by Mr. Ahmed Hassan al-Aini, Deputy Minister of Electricity.

Speaking after the signing ceremony held at the Ministry of Planning and International Cooperation, Ambassador Seche emphasized the US Government's support for the continuing partnership between Yemen and the United States:

"Access to electricity is a major challenge to the economic development of this country, and we are pleased to be able to support the Yemeni government in its efforts to confront this problem. Benefits will include increased agricultural productivity, more jobs and a higher standard of living for people in rural areas. Over the past 10 years, the United States Trade Development Agency has provided more than $4 million, money that has been used to finance nearly 30 projects. I am pleased to say I expect this assistance to continue."

Yemen is the least electrified country in the Middle East and North Africa Region, with only about 40 percent of the total population having access to electricity. In rural areas, only 20 percent of households are electrified, and most receive only a few hours of service per day. The low access rate and absence of reliable electricity supply in the country, particularly in rural areas, has been recognized as severe constraints to economic growth and to the achievement of the Government of Yemen’s poverty alleviation strategies.

The objective of the USTDA-funded technical assistance is to design the legal and regulatory framework to support rural electrification, establish a new rural electrification agency, and support the formation of local electric cooperatives. The technical assistance will culminate in the demonstration of a model electric cooperative to be formed in the Ibb Governorate of Yemen.

Visit USTDA’s Website at www.ustda.gov.

Full Text of Ambassador Seche's remarks:

Mr. Minister, Mr. Director General, ladies and gentlemen:

I am very happy to participate in this event, evidence of the close cooperation between our two countries.

The agreement we have signed today will provide over a half-million dollars to Yemen to bring electricity to areas not currently served by the nation's power grid.

Access to electricity is a major challenge to the economic development of this country, and we are pleased to be able to support the Yemeni government in its efforts to confront this problem. Benefits will include increased agricultural productivity, more jobs and a higher standard of living for people in rural areas.

Over the past 10 years, the United States Trade Development Agency has provided more than $4 million, money that has been used to finance nearly 30 projects. I am pleased to say I expect this assistance to continue.

Finally, let me thank the Ministry of Planning and International Cooperation, and the Ministry of Electricity and Energy for their commitment to improving the quality of life for the citizens of this country. We look forward to continuing our partnership with each ministry.