The energy sector is one of the key sectors in South Sudan’s economy with significant amount of natural resources, especially oil deposits located along the contentious Sudan-South Sudan border. South Sudan has lost around 95% of government revenue since it shut down oil production in early 2012 because of a dispute with Sudan over transshipment fees that has had a devastating impact on GDP, which declined by at least 55% in 2012.
After months of negotiations, Sudan and South Sudan agreed in March 2013 to resume oil production. South Sudan previously produced 350,000 barrels a day but will resume output of between 150,000 b/d and 200,000 b/d initially
Resources
South Sudan has abundant unexploited energy sources including renewable and non-renewable energy sources including the following:
- Petroleum
- Large hydro development
- Sun
- Wind
- Biomass
- Geo-thermal
Electrification Strategies in South Sudan
- Provide 50 – 100 MW of Hydropower for South Sudan.
- Fula 40 MW Hydropower Project
- Tharjath 200 MW Thermal power Project
- Mini hydro power Projects i.e. Upgrading of Kinyeti River power Project, Sue River ( 12 – 15) MW Hydro power Project
- Beden 540 MW Hydropower Project
- Lakki and Shukole each 200 MW Hydropower Project
- Grand Fula 1080 MW Hydropower Project
National Strategic Plan for South Sudan’s energy sector
The medium-term plan to 2015 is estimated to require US$ 15 million of funding and targets a wide range of renewable options, including small-hydro power for rural mini-grids, development of the country’s geothermal resources, and modern and improved bio-energy options.
Priority Areas
Government priorities in the renewable sector include:
- Reducing unsustainable biomass use,
- Increasing wind energy use for rural on- and off-grid electrification, as well as in water pumping and agriculture,
- Increasing the dissemination of community-scale PV projects,
- Assessment of the geothermal and small-hydro potentials of the country, and the identification of priority projects.
Challenges
- Lack of Legal and regulatory framework
- Development of Human Resources capacity
- Limited access to electricity
- High electricity prices – Diesel fuel based production
- Poor quality and reliability of power supply
- The lack of electricity power supply has been and is still a great challenge to the establishment of industries in South Sudan;
- The lack of funding for power projects is equally a major challenge to investment.
Opportunities in energy sector
- Energy generation resources are also abundant and these include oil, natural gas, rivers, wind and solar.
- Hydroelectric power generation potential in South Sudan is enormous and stems mainly from the Nile as well as from other smaller rivers throughout the autonomous region.
- Transformer and electric cabling manufacturing
- Supply and installations
- Wind power generation
- Exploration of hydrocarbons and petroleum
- Bio-fuel production
- Hydropower development on the River Nile and its tributaries