Egypt Demands Compensation Over Ethiopia’s Grand Renaissance Dam

By Amanuel Janberu
Published on 01/21/26

Egypt has requested compensation from Ethiopia over potential impacts from the Grand Ethiopian Renaissance Dam (GERD), raising tensions between the two countries over water security on the Nile.

Speaking on Sunday to members of the Egyptian parliament, Hani Sewilam, Egypt’s Minister of Water Resources and Irrigation, said the GERD, constructed along the Abay River, is being developed primarily on one side, with minimal infrastructure on the opposite side. He warned that the dam, designed to hold 55 billion cubic meters of water, could reduce the flow available downstream to roughly 38 billion cubic meters, creating significant challenges for Egypt.

The GERD was built to generate electricity and mitigate flooding in the region, but it does not reduce water flow to downstream countries, a point that has long been a source of dispute between Egypt, Sudan, and Ethiopia.

Ethiopian authorities have faced criticism for their handling of the situation, with calls from Egypt and regional observers for stronger dialogue and collaborative water management under the framework of the tripartite agreement among the three countries.

Last week, U.S. President Donald Trump proposed renewed talks on the Nile and the GERD, an initiative welcomed by Egypt and Sudan as a step toward resolving the longstanding dispute.