The urgency of addressing environmental challenges has become more apparent than ever in recent years. Using existing renewable resources and reducing environmental impacts is critical for boosting economic growth and sustainable development. Ethiopia has limited access to modern bioenergy because of insufficient biomass data and policy gaps. This study estimated the theoretical potential of forest residue biomass resources for modern bioenergy production in Ethiopia. A combination of forest statistics data, publicly available data, literature models, and standard procedures was utilized. Ethiopia generates approximately 16.4 million dry tons of recoverable forest residue biomass each year. This indicates that the theoretical energy potential of forest residue available in Ethiopia is about 1.8–4.93 billion liters of ethanol each year, equivalent to 172%–469% of the country’s gasoline consumption. Alternatively, the same amount of residue could generate 1.23–3.29 billion liters of biodiesel (biomass to Fischer–Tropsch) each year, accounting for 40%–107% of the country’s biodiesel consumption. The theoretical estimations also show that the recoverable forest residues have the potential to produce about 12.7–34 TWh of electricity. This could significantly improve remote rural household electrification while decreasing the country’s reliance on fuel wood biomass for traditional biofuels by 26%. The findings indicate that generating modern bioenergy from forest biomass residue has the potential to contribute to Ethiopia’s energy mix, boost rural power access, and open new avenues for socioeconomic development. Finally, it can be concluded that the study findings reported in this study are useful to energy professionals, researchers, and policymakers interested in biomass fuel.
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