(JUBA, SOUTH SUDAN) – A dispute between South Sudan’s government and a lead contractor has been resolved, clearing the way for the commissioning of a renewable energy plant expected to help lower some of the world’s highest electricity tariffs.
The resolution also comes as progress continues on a major international interconnector that should further ease power costs in a country where access to electricity remains among the lowest globally.
The renewable plant, located near Nesitu along the Nesitu-Torit Road about 20 kilometres from Juba, has an installed capacity of 37 megawatts through a network of 37,744 solar cells . The facility was physically completed in 2022, but commissioning was delayed by financial and contractual issues.
South Sudan’s Minister of Energy and Dams, Agok Makur, said during an inspection earlier this year that the plant should be integrated into the capital’s grid within four months, with 20 megawatts already available for generation . Engineers were still completing technical tasks to allow the facility to operate at full potential.
Makur said the project represents a deliberate government shift toward green and renewable energy, noting that solar power provides a much more affordable alternative to expensive hydropower .
The Nesitu plant is expected to provide reliable electricity to between 50,000 and 60,000 households once fully operational .
South Sudan currently relies heavily on diesel-powered thermal generation, which contributes to electricity tariffs estimated at approximately 42 US cents per kilowatt-hour in Juba, among the highest in the region . National electricity access stands at about 5.4% of the population, the lowest rate in the world .
The government contracted Egyptian company El Sewedy Electric in 2019 to build the solar facility . The project has faced payment disputes, including a case filed by an investor at a US arbitration court over South Sudan’s failure to complete payments for the 20-megawatt plant .
Separately, the South Sudan-Uganda Power Interconnection Project (SUPIP) has moved closer to implementation. The project will establish approximately 299 kilometres of 400-kilovolt double-circuit transmission line between the two countries, alongside new and upgraded substations .
The overall project is valued at $254 million, with Uganda’s component estimated at $121 million and South Sudan’s at about $133 million . The African Development Bank is financing the project, with the European Union providing co-financing for the South Sudan component.
Uganda’s section will comprise about 150 kilometres of transmission infrastructure, including a new substation at Bibia and upgrades to the Olwiyo and Karuma substations . South Sudan’s component will extend the line to a major substation in Gumbo, near Juba.
Baba Fatajo, Chief Regional Power Systems Officer at the African Development Bank, said South Sudan is struggling to have a reliable supply of electricity, which is very expensive because of dependence on diesel . He said the interconnection provides an opportunity for South Sudan to access cheaper energy from Uganda while creating an export market for Uganda’s excess generation.
The project is designed to integrate South Sudan into the Eastern Africa Power Pool, supporting regional electricity trade . Implementation is expected to run from 2026 to 2029 .
Officials say procurement is nearing completion, with an Engineering, Procurement and Construction contractor expected to be recruited later this year . Uganda and South Sudan will jointly procure the supervision consultant and the main contractors responsible for the transmission line and substations.
The Nile Basin Initiative has said the interconnection will increase South Sudan’s national electricity access from about 7% to 10% while lowering energy costs .
South Sudan’s annual subscription to the Nile Basin Initiative stands at $311,00.
