Solomon Islands Electricity Authority

Accountable Ministers

Minister for Finance and Treasury and the Minister for Mines, Energy and Rural Electrification

Responsible Minister
Minister for Mines, Energy and Rural Electrification

Board of Directors

Director Position Expiry
Mr. David K.C.Quan Chairman 28/03/2023
 Mr. James Habu  Member  17/12/2025
Mrs. Lilly Lomulo Member 17/17/2025
Mr. Muriel Dakamae Member 17/12/2021
Mr. James Apaniai Member 17/12/2021


Activities
Solomon Islands Electricity Authority (SIEA), trading as Solomon Power, is a State-owned Enterprise established under the Electricity Act 1969 to provide electricity services in urban areas of the country (currently Honiara and nine provincial centres). SIEA is subject to the State-owned Enterprises Act 2007 and State-owned Enterprises Regulations 2010, and its tariff is calculated in accordance with the The Electricity Tariff (Automatic Base Tariff and Fuel Tariff Adjustment) Regulation 2005.

Solomon Power is governed by a board of directors that is responsible to the Accountable Ministers, being the Responsible Minister and the Minister of Finance. The Responsible Minister is the Minister responsible for Energy, Mines and Rural Electrification.

Vision and Mission
Solomon Power’s mission is “to provide a safe, reliable, affordable and accessible supply of electricity to the Solomon Islands”.

Community Service Obligations
Solomon Power received SBD1.5 million for the provision of community service obligations (CSOs) in 2018, while no CSO received since 2019 – present. In 2019 and years after SIEA did not submit any CSO proposal stating that they will self-finance their non-commercial operations in outer stations.  These CSOs are focused on provincial electricity supply and streetlight maintenance and were subject to a contract with the Ministry of Finance.

Financial Highlights

 (SBD ‘000) 2019 2020 2021 2022 2023 5-yr Average
Revenue 499,860 452,552  467,205 584,492 589,961  518,814
Net Profit After Tax  91,098 75,164 74,322  75,700 50,368 73,330
CSO payments 0 0 0 0 0  0
Total Assets 1,437,438 1,514,116  1,656,705  1,755,919 2,000,073  1,672,850
Total Liabilities  216,584 223,098 223,647  251,161 244,928  231,883
Shareholders’ Funds 1,220,855  1,291,019  1,433,058 1,504,758 1,755,145  1,440,967
ROE % 7% 6%  5%  5% 3% 5%
ROA % 6% 5%  4%  4% 3% 5%
Asset Utilization  35%  30%  28%  33% 29% 31%
Cash / Current liabilities  5.187 4.996 5.712 3.316  2.833 4.41

2024 SOLPOWER (3)

The average revenue collected by SIEA during the 5-year period is total of $518.81 Million SBD, revenue collection remains consistent every year for SIEA as reflected on chart trend. The average profit earned between 2019-2023 is total of $73.33 million SBD this has slightly decline by 8% compared to the last five years average (2017-2021). Solomon Power still remains as the highest profitable SOE compared to other SOEs in the Solomon Islands. The average total assets of SIEA during the 5-year period is total of $1.67 Billion SBD, as highlighted on the trend Solomon Power total assets each year has gradually increase which was driven by acquiring additional assets in the capital and provincial outstations, increase of customers base and network extensions. However, based on the ROE and ROA trend it reflects that the SIEA has not been fully and efficiently utilizing its assets and equity capital to maximize their profits. This is because of a lot of unpaid arrears that should be paid to SIEA by its customers that reflect on the trend of ROE and ROA. Hence, Solomon Power in their latest Statement of Corporate Objectives which outline SIEA medium term goal is to transition to more renewable energy solutions, which expecting a positive impact on their financial performance in the future and affordable electricity cost.

Important Documents

Statement of Corporative Objectives

Annual Report:  2014 I 2016 I 2017 I 2022 I 2023

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