The current model for electricity generation and distribution in Ethiopia is dominated byrncentralized power plants typically based on hydro power resource. Most of the substation inrnthe country are old and needs upgrading. The construction of high rise buildings andrnindustrial zones create an overloading on the existing substations, this problem can be solvedrnby constructing new substation, upgrading old ones and using distributed generation (DG)rnsystems. DG technologies often consist of modular and renewable-energy generators. Byrnconnecting to local distribution networks, energy is produced and consumed closer to thernsource of generation. This research is about using the waste to energy technology to generaterngreen power for BOLE LEMI INDUSTRIAL ZONE (BLIZ) and a clean environment for thernsurrounding. A DG system is designed using biogas from the waste disposal pond KOTEBErnSewage Treatment plant (KSTP) at a close proximity ,around 0.3km ,from the BLIZ and arnwaste from wet room of the industrial shades as a renewable resource. It is discovered that arntotal of 66.45MWh/day electrical energy can be generated from the two resources and usingrnonly the resource from the KSTP a total of 36.057MWh/day electrical energy can berngenerated. Two methods of connection of the DG system is studied, HOMER optimizationrnand RETscreen clean energy software are used to select the method of connection. And thernwaste to energy DG system connected to the grid is found to be economically feasible withrnLCOE $0.023/kWh .The DG system increases the reliability of the power system for thernBole Lemi substation (BLSS) and as a result of the biogas generation the odor pollution willrnbe reduced and the environment for the surrounding will be clean.rnKey words: Waste to Energy, Biogas, Distributed Generation, Industry zone, GridrnConnection, Odor Pollution