Ethiopian Electric Power (EEP) said that 20% less water is flowing into the country’s dams due to the effects of El Niño.

EEP also said that its budget for the upcoming Ethiopian year, which begins in September, has been reduced. Ashebir Balcha, executive officer of EEP, said at a press briefing on Friday that the company expects to generate 32,134 GWh in the coming year, down by 9.9%, from the 35,671 GWh generated in the previous year. He attributed the lower generation forecast to weather conditions, saying that water inflows into the dams have been 20% lower than expected since June. If the rainfall situation improves during the ongoing rainy season, things could get back on track, he added.

According to analysts, El Niño is contributing to water shortages and drought conditions in the country, reducing water availability and the flow of water into dams. Below-average rainfall during the main rainy season could hurt agricultural production, reduce crop yields and put upward pressure on food prices.