It is located about 57 km (35 mi) northeast of Jimma in Oromia Region.

The Gilgel Gibe I hydroelectric powerplant has an installed capacity of 184 MW, enough to power over 123,200 households.

[2] Water from the dam is diverted through a 9.2 km (5.7 mi) long tunnel to an underground power station downstream.

After power generation, the water is discharged back into the Gilgel Gibe River to flow downstream northwards for roughly 2 km, only to enter a 26 km (16 mi) long tunnel through a mountain ridge to an underground power station (Gilgel Gibe II Power Station) at the lower-lying Omo River.

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