The Republic of the Congo has launched a study of electricity supply needs for its special economic zones (SEZs) and industrial facilities, intended to assess suitable supply solutions as the country's electricity demand grows.
Michel Djombo, the country's Minister of Industrial Development, SEZs and Private Sector Promotion, launched the initiative earlier this week. The work will be supervised by the Ministry of Energy and Hydraulics, implemented by the National Agency for Rural Electrification, and supported technically by the United Nations Development Programme.
Four supply options to be compared
The study will evaluate four potential approaches to meeting industrial electricity demand:
- solar generation paired with battery storage;
- biomass and cogeneration plants running on agricultural, forestry and agro-industrial residues;
- connections to the national grid where capacity is available;
- hybrid energy systems combining more than one source.
Alongside the technical comparison, the initiative is expected to establish a pricing benchmark for energy solutions sold into the Congolese industrial market.
Minister questions current solar offers
Speaking at the launch event, Djombo raised doubts about solar electricity offers priced between XAF 130 (about $0.22) and XAF 150/kWh, describing some of them as opportunistic. He said international comparisons would help establish fair and sustainable pricing.
The minister also pointed to the cost of relying on diesel generators when supply is interrupted, saying electricity generated that way can reach almost XAF 200/kWh.
Djombo said supply constraints are affecting industrial operators in the country, with some companies reportedly having to suspend production lines. Despite the high cost of diesel, he added that some industrial users remain reluctant to commit to alternative energy solutions and are waiting for market conditions to become clearer.
Commercial structures and bankable projects
The study also plans to examine different commercial arrangements for supplying industrial customers, including turnkey installations financed directly by the businesses themselves, financing services for equipment purchases, and the introduction of independent power producers. It is expected to identify bankable projects able to attract both public and private investment.
Small existing solar base
According to figures in its project database, the Africa Solar Industry Association has identified 35.6 MW of operational solar capacity in the Republic of the Congo to date, of which 27 MW is listed as unidentified commercial and industrial projects.