The Republic of the Congo has launched a study to assess the electricity supply needs of its special economic zones (SEZs) and industrial facilities, and to identify suitable ways of meeting them as national power demand rises.
The initiative was launched earlier this week by Michel Djombo, the country's Minister of Industrial Development, SEZs and Private Sector Promotion. It 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 routes under comparison
The study will compare four potential approaches to serving industrial electricity demand: solar generation paired with battery storage; biomass and cogeneration using agricultural, forestry and agro-industrial residues; connection to the national grid where it is available; and hybrid energy systems that combine more than one source.
It is also expected to establish a pricing benchmark for energy solutions in the Congolese industrial market, giving buyers and suppliers a common reference point.
Minister questions solar pricing
Speaking at the launch event, Djombo questioned solar electricity offers priced between XAF 130 and XAF 150 per kWh (about $0.22), describing some of them as opportunistic, and said international comparisons would help establish fair and sustainable pricing.
He also highlighted the cost of relying on diesel generators during periods when supply is disrupted, saying electricity generated that way can reach almost XAF 200/kWh.
Constraints on industrial operators
Electricity supply constraints are affecting industrial operators in the country, the minister continued, with some companies reportedly having had to suspend production lines. Despite high diesel prices, he added, some operators remain reluctant to commit to alternative energy solutions and are waiting for market conditions to become clearer.
The initiative also plans to examine different commercial arrangements for supplying industrial customers, including turnkey installations financed directly by businesses, financing services for equipment purchases and the introduction of independent power producers. It is expected to identify bankable projects capable of attracting public and private investment.
Existing solar base
According to figures in the project database of the Africa Solar Industry Association, the Republic of the Congo has 35.6 MW of operational solar to date, of which 27 MW is listed as unidentified commercial and industrial (C&I) projects.