Nile tensions simmer as Ethiopia's mega-dam powers up

Tensions over the waters of the Nile continue to simmer as Ethiopia's Grand Ethiopian Renaissance Dam, the largest hydropower project in Africa, ramps up operations.

The $5 billion dam, with an installed capacity of more than 5 gigawatts, was inaugurated to fanfare in Ethiopia, which sees it as vital to powering its economy and lifting millions out of energy poverty, with the potential to export electricity to neighbours.

But downstream, the project has long been a source of alarm. Egypt, which depends on the Nile for almost all of its fresh water, boycotted the inauguration and has described the dam as an existential threat, arguing that Ethiopia's actions violate international law governing shared rivers. Sudan has also voiced concerns.

Years of negotiations have failed to produce a binding agreement on how the dam is filled and operated, particularly during droughts. The United States has offered to help mediate the dispute over Nile waters, though a lasting resolution remains elusive.

The standoff pits Ethiopia's development ambitions against Egypt's water security in one of Africa's most consequential resource disputes. With the dam now generating power, the challenge is to turn a source of regional friction into a framework for cooperation over a river on which hundreds of millions of people depend.