Somalia Unveils Plan to Slash Electricity Costs and Expand Access Nationwide

GOOBJOOG NEWS | MOGADISHU: The Federal Government of Somalia has announced a nationwide plan to sharply cut electricity prices, aiming to make power more affordable for households and businesses as part of a broader push to expand access and stimulate economic growth.

Energy and Water Resources Minister Abdullahi Bidhaan Warsame said in an interview that high electricity tariffs remain a major obstacle to development, with many low-income families either unable to connect to the grid or forced to restrict usage due to cost.

“The plan of the Federal Government of Somalia is to ensure that low-cost electricity is available throughout the country,” he said, adding that the government will work closely with private energy providers to bring prices down.

Bidhaan pointed to Baidoa as an early example of what is possible. A recently inaugurated solar plant supplying 7–8 megawatts of power, supported by large battery storage for night use, has allowed the local utility to cut electricity prices by nearly 40–50%. The government plans to replicate this model across the country.

The minister said the long-term target is to reduce electricity prices to below 20 cents per kilowatt-hour within five years, with renewable energy, particularly solar, forming the backbone of the transition. He underscored that replacing diesel generators with clean, affordable energy sources is essential for economic growth, improved living standards and universal access.

Bidhaan called for a coordinated national effort to modernize the energy sector, saying affordable electricity is a cornerstone of Somalia’s development agenda and a catalyst for job creation, investment and improved public services.