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Central Bank allocates $3 million monthly for electricity supply

Author: Jale Richard | Published: Sunday, January 24, 2021

File: Ezra Power Plant at Kondokoro, Juba I Eye Radio

The Bank of South Sudan has allocated the electricity generating company three million US dollars every month to run its operations.

On January 10, Ezra power plant and its sub-contractor Juba Electricity Distribution Company (JEDCO) had threatened to shut down the power supply over failure to obtain foreign currency from the government.

The companies said they had run out of dollars to import heavy fuel used for running the power generators.

But after a day, the companies announced they will continue supplying power after the government of South Sudan agreed to provide them with some foreign currency.

Details of the agreement were not immediately revealed to the public.

However, dressing the press on Friday, Central Bank governor Dier Tong said the Bank will provide the power company 3 million USD per month to enable them to run their operations smoothly.

“We did not hesitate as the Central Bank to provide hard currency to JEDCO, it is not a secret, we have agreed with them, we have assessed their needs,” Mr. Tong told the press.

“Every month we will give them 3 million dollars. This will cater for the importation of fuel and spare parts. And also for sub-contracted companies working with them.”

Mr. Tong added that the money will be acquired from the Central Bank at the official exchange rate of about 180 South Sudanese Pounds per 1 US dollar.

“Electricity is a key service really not for those of us who want to have air conditioners, but also for a simple person who needs simple things like to sell tea on the street so that they can feed their family,” Mr. Tong explained why they have decided to avail hard currency for the power supplier.

Ezra Group of companies built and is operating the 100 Megawatts Power Plant in Juba.

The Juba City Power Distribution System was constructed with the support of the African Development Bank which provided $38 million.

At the end of last year, JEDCO said it had connected 10,000 households, over 3,500 businesses, and over 200 governmental institutions to the grid.

The South Sudan government is expected to take over the power plant in the future according to the agreement.

While launching the power plant  in 2019, President Salva Kiir said South Sudan shall be connected to a 400 KV line interconnecting Karuma in Uganda and Juba by 2023.

He said the country will also develop its hydro-power resources –mainly in Fulla in Nimule.

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