National, News

Cabinet approves $150 million for solar plant

By Philip Buda Ladu

 

In an effort to enhance electricity supply to city residence and businesses, the Council of Ministers has approved a Memorandum of Understanding (MoU) worth over USD 150 million for construction of a 5 Megawatt hyper solar power plant in Juba.

This project was initiated by the Ministry of Energy and Dams, which reached an agreement with a private company called TPA Limited to execute the plan that the government will fund through a concession loan.

On Friday, August 2, 2024, the Minister of Energy and Dam, Peter Marcello presented to the cabinet the MoU on the setting up of the 5MW hyper solar power plant in Juba City.

Jacob Maiju Korok is the national deputy minister of information and acting government spokesperson.

He told journalists shortly after the Friday cabinet meeting that Minister Marcello presented the memorandum of understanding between the energy ministry and the company dubbed TPA Limited.

Korok emphasized that the purpose of the project is to support provision of a reliable continuous and affordable clean power energy in Juba City.

“The estimated cost of this project is 150,190,216 US Dollars” Korok stated. “The project maturity period is 20 years plus five years grace period, it is actually on a concession loan.”

According to the acting government spokesman, this project was deliberated and passed unanimously by the council of ministers.

Last month the Transitional National Legislative Assembly (TNLA) felt the pinch of the unreliable electricity supply in Juba as one of its ordinary sittings was abruptly adjourned due to a power shortage that resulted from a generator breakdown.

USAID archived data released from June 2012 to September 2017, shows that South Sudan has the lowest electricity consumption per capita in sub-Saharan Africa. That’s due to its underdeveloped energy infrastructure, which has been severely impacted by decades of conflict and instability.

Furthermore, according to Statista research department data, South Sudan was ranked as the least-electrified country in the world in 2021, with only 7.7 per cent of its population having access to electricity.

Investment in power generation and transmission infrastructure is considered a priority by the government; however, securing the intensive capital required from both public and private sector financiers remains a critical challenge.

The young East African country has the capacity for up to 2,100 MW in hydroelectricity power production; however, proposed projects must be funded before progress can be made.

 

 

 

 

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