400kv power deal revs up Uganda, South Sudan trade relations

KAMPALA – Uganda and South Sudan have taken a significant step toward enhancing power trade and fostering socio-economic development with the signing of a Power Sales Agreement (PSA) between the two countries. The agreement, executed on June 27, aims to prioritize the development of a 308-kilometer power transmission line, connecting the towns of Olwiyo in Uganda and Juba in South Sudan.

The agreement is a result of the commitment made in a Memorandum of Understanding signed in December 2015, which aimed to develop transmission and distribution infrastructure between Uganda and South Sudan. The implementation of the PSA seeks to strengthen the bond between the two nations and facilitate power exchange, benefiting border towns such as Oraba, Elegu, Kaya, and Nimule.

The 400kV Olwiyo-Juba Power Transmission Line, spanning 308 kilometers, will be instrumental in enabling power transfer between Uganda and South Sudan. The transmission line will extend 138 kilometers in Uganda and 170 kilometers in South Sudan. Additionally, the Olwiyo and Bibia substations in Uganda, along with the Juba Substation in South Sudan, will undergo expansion to support the increased power flow.

The delegation from Uganda, led by Dr. Ruth Nankabirwa Ssentamu, the Minister of Energy and Mineral Development, traveled to Juba to execute the agreement. Representing the South Sudanese government was Mr. Peter Marcello Jelenge. The PSA was signed on behalf of Uganda by Ms. Irene Bateebe, the Permanent Secretary of the Ministry of Energy, while Mr. Beck Awan Deng, the General Manager of the South Sudan Electricity Cooperation (SSEC), signed on behalf of his country.

Dr. Nankabirwa expressed her optimism about the agreement, stating, “Today’s signing ceremony marks the beginning of serious cooperation in power trade between Uganda and South Sudan.” She emphasized the importance of projects that benefit both countries, highlighting that power would be supplied to small towns in Uganda, such as Elegu and Oraba, while border towns in South Sudan, including Nimule and Kaya, would receive power from Uganda.

The project has made significant progress toward its implementation:

1. The Olwiyo Substation, operational at 132kV, will serve as the starting point for the 400kV Olwiyo-Juba Transmission Line.
2. The Nile Equatorial Lakes Subsidiary Action Plan (NELSAP) has been entrusted with coordinating the joint development of the transmission line as per the MoU.
3. A Joint Technical Committee has been established to plan and coordinate the project’s development.
4. Funds for feasibility studies have been secured from the African Development Bank (AfDB), which may also finance the project based on the outcome of the feasibility study, either through an Engineering, Procurement, and Construction (EPC) contract or a Public Private Partnership (PPP) model.
5. The feasibility study has been awarded to a consortium comprising CESI S.p.A (Italy), ELC Electroconsult S.p.A. (Italy), and Colenco Consulting Ltd (Nigeria). The study commenced in March 2023 and is expected to be completed by February 2024.
6. Collaboration between the two countries extends to the power distribution segment, with distribution networks already established in the Uganda-South Sudan border towns of Nimule and Kaya.

This increased cooperation in power trade and infrastructure development is expected to bolster regional productivity, promote socio-economic growth, and contribute to the security and stability of border towns in both Uganda and South Sudan.