HARGEISA, May 25 (Horn Diplomat) – Somaliland’s Minister of Energy and Minerals, Eng. Axmed Jaamac Barre, on Monday launched a major $24 million renewable energy expansion project in the coastal city of Berbera aimed at strengthening electricity supply, reducing reliance on fuel-based generation and supporting the city’s growing role as a regional commercial hub.
The project includes a 12MWp solar power generation system alongside a 70MWh battery energy storage facility designed to stabilize electricity distribution and improve reliability for households, businesses and industrial users across Berbera and the wider Saaxil region.
The $24 million project is being financed by UAE-based Global South Utilities (GSU) and is expected to significantly benefit communities across the Saaxil region, particularly residents and businesses in the strategic port city of Berbera.
The groundbreaking ceremony was attended by Somaliland Minister of Livestock and Rural Development Omar Shu’aib Mohamed, Berbera Mayor Abdishakur Mohamed Hassan, senior government officials, energy sector representatives and local community leaders.
Officials said the initiative forms part of Somaliland’s broader strategy to expand clean energy infrastructure and attract international investment into key sectors including energy, logistics and maritime trade.
Speaking during the launch ceremony in Berbera, Energy and Minerals Minister Eng. Ahmed Jama Barre said the government views Berbera as the future commercial centre of Somaliland and is prioritizing investment-led economic development.
“Berbera is becoming the country’s commercial hub. The President’s policy is based on bringing large-scale investment into the country,” Barre said.
“Many investors and companies are interested in Somaliland, particularly Berbera, because of its strategic commercial location,” he added.
Barre said Somaliland’s government would continue supporting companies investing in renewable energy as part of efforts to modernize essential public services and strengthen long-term energy security.
“The Somaliland government stands with anyone investing in renewable energy, and we encourage such investments,” he said.
The minister said the project also reflects pledges made by Somaliland President Abdirahman Mohamed Abdillahi Irroto improve public infrastructure and expand access to reliable electricity services.
Berbera has increasingly emerged as a strategic logistics and maritime gateway along the Gulf of Aden following major investments linked to the expansion of the Port of Berbera and the Berbera Corridor connecting Somaliland to regional markets.
The latest development follows earlier renewable energy investments in Berbera, including a UAE-backed 5MW solar plant launched by GSU under the “Green Berbera” initiative, which aimed to reduce dependence on diesel-powered electricity and improve sustainable energy access for more than 28,000 homes.
Officials say the new expansion project is expected to play a key role in supporting Berbera’s long-term economic growth while reinforcing Somaliland’s efforts to position the city as a regional centre for trade, logistics and clean energy investment in the Horn of Africa.
