# MIGA Backs First Solar Power Plant in Somalia

> MIGA issued a $5.67 million guarantee for a hybrid solar plant in Baidoa, Somalia, the agency's first project in the country.

- By: Editorial Team, Somali Construction Review (https://somaliconstructionreview.com/about)
- Published: 30 September 2026
- Format: News story (reported from one named public source)
- Publication: Somali Construction Review (https://somaliconstructionreview.com)
- Subject: Infrastructure and Services
- Tags: utilities, electrical-work
- Web version: https://somaliconstructionreview.com/blog/miga-solar-somalia-baidoa

## Key points

- MIGA issued a $5.67 million guarantee covering Kube Energy's investments in Kube Energy Somalia LLC for up to 15 years against expropriation and war risks.
- The project, developed with CrossBoundary Energy and the South West State, will build the first hybrid solar power plant in Baidoa with 2.8 MW solar PV and 4.8 MWh battery storage.
- Horn Diplomat's 2023-02-02 report does not establish whether construction has begun, whether the UN power purchase agreement has been signed, or the total project cost.

On 2 February 2023, Horn Diplomat reported that the Multilateral Investment Guarantee Agency (MIGA) issued a guarantee of $5.67 million to cover Kube Energy's equity and debt investments in Kube Energy Somalia LLC. The guarantee runs for up to 15 years against the risks of expropriation and war and civil disturbance. This is MIGA's first project in Somalia, which became a member country in March 2020.

The project, developed by Kube Energy in collaboration with the government of the South West State of Somalia and financed and further developed in partnership with CrossBoundary Energy, will establish the first hybrid solar power plant in Baidoa, Somalia. The plant will have approximately 2.8 MW of solar PV modules and 4.8 MWh of battery storage integrated with synchronized generators. Initially it will serve a limited number of off-takers, including the United Nations, with ownership to be transferred to local authorities after 15 years of commercial operations.

Horn Diplomat reported that the UN will enter into a power purchase agreement with Kube Energy to provide clean energy to its compound in Baidoa, helping the UN toward its target of 80 percent renewable energy use by 2030. The plant is expected to generate an estimated gross electricity production of 4,000 MWh per year, with about 90 percent from solar, displacing an estimated 1 million litres of fuel and avoiding approximately 2,800 tons of CO2e annually.

The report does not establish what has happened since the announcement. It does not state whether construction has started, whether the UN power purchase agreement has been signed, or the total project cost. The only financial figure given is the MIGA guarantee of $5.67 million. Horn Diplomat also does not confirm that local hiring has occurred or that ownership transfer has been agreed, only that these are future intentions.

## Questions

### Where is the solar power plant located?

Baidoa, Somalia, in the South West State.

### What is the capacity of the solar project?

Approximately 2.8 MW of solar PV modules and 4.8 MWh of battery storage integrated with synchronized generators.

### What is the role of MIGA?

MIGA provided a $5.67 million guarantee covering Kube Energy's equity and debt investments in Kube Energy Somalia LLC for up to 15 years against expropriation, war, and civil disturbance.

## Sources

- [MIGA Supports Ground-Breaking Solar Project in Somalia](https://www.horndiplomat.com/miga-supports-ground-breaking-solar-project-in-somalia/) — Horn Diplomat, 2023-02-02