Gabon - Water and electricity: an acceleration of investments

To address its energy and drinking water supply deficit, Gabon is planning an investment of 500 million $ by 2023. The Gabonese Energy and Water Company (SEEG) and the Gabonese government signed a new 20-year concession agreement on January 5, 2022.

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This concession, which is part of the Transformation Acceleration Plan (PAT), will increase the volume of investments to be covered by SEEG. SEEG is granted greater legal security to be able to finance itself on the national and international financial markets. The outlook for SEEG is 20 years, enough time to invest and recoup its investment. The State has established a regulatory agency for the water and electricity sector. It is noteworthy that consumer associations were involved for the first time in the development of the service regulations.

SEEG has therefore put in place an emergency plan for the period 2020-2025 to make up for the delay observed in the repair of certain structures for the benefit of consumers.

In this context, the Gabonese State, with the support of its partners, plans to invest more than 300 billion FCFA (519 million $) to improve the population's access to drinking water and electricity throughout the territory.

This envelope will allow the implementation of several programs for access to water and electricity, such as the Integrated Program for Drinking Water Supply and Sanitation in Libreville (Piaepal), worth 77 billion FCFA. This program, whose work was launched in 2021, aims to improve access to drinking water for populations living in the municipalities of Libreville, Owendo, Ntoum, and Akanda.

The government will also invest nearly 35 billion CFA francs through the Rural Access to Basic Services and Capacity Building Project (Pasbmir). This also aims to improve access to drinking water and electricity in certain localities in Woleu-Ntem, Ngounié, Haut-Ogooué, and Estuaire.

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By 2023, these various projects will provide tap water throughout the day and electricity 24 hours a day, thanks to clean energy from hydropower and solar power. This new concession also formalizes the liberalization of the water and electricity sector in Gabon.

This reform, provided for in two texts, the Water Code and the Electricity Code, should lead to several points contributing to the improvement of the quality of the distribution service. In particular, the liberalization of the production, distribution and marketing of water and electricity; the segmentation of the sector between production, transport, distribution and marketing; strengthened regulation, stricter rules on the choice of equipment and consumer protection.

Gabon's rural areas account for 25% of the country's population, or approximately 400,000 people. The country has an electrification rate of 91.6% and a water supply rate of 80.8%, with rural access rates estimated at 27,76% and 40%, respectively. By 2035, the government plans to develop universal access to electricity and drinking water supply services throughout Gabon.

100 billion FCFA for infrastructure projects in water and electricity

Gabonese banking group BGFIBank has pledged 100 billion CFA francs to finance the Gabonese Energy and Water Company's (SEEG) new investment program for the period 2022-2025. As part of this, two agreements were signed on April 8, 2022, in Libreville by the leaders of the two organizations. These funds will finance water and electricity infrastructure projects in Greater Libreville, Port-Gentil, Franceville, and Makokou over a five-year period. These projects include seven in the water sector and five in the electricity sector.

Among the hydraulic projects, the expansion of the water distribution network over 30 linear kilometers is envisaged. A new water station capable of producing 35,000 m3 per day will be built in Greater Libreville. Also planned are the strengthening and securing of the Mandorove water intake in Port-Gentil, the construction of a new drinking water station in the second district of Franceville and in Ntoum, as well as the strengthening of the drinking water supply of Makokou with a station of approximately 2,400 m3 per day. The objective is to provide SEEG with an additional drinking water supply of 60,000 m3 of water per day.

In the electricity sector, investments will be directed towards network extensions with 50 km of line to be built, the installation of a second transformer bench (225/90 KV) at the Bisségué interconnection station, the rehabilitation and reinforcement of the Moanda source station, the construction of two micro hydroelectric power stations in Mimongo (200 KW) and Mbigou (316 KW).