Senegal - Energy Sector Adjustment Programme (ESAP)

The project aims to support Senegal’s implementation of Energy Sector Adjustment Programme (ESAP). The adjustment programme will help to revitalize the energy sector, eliminate the major constraints to the development of the country’s productive activities, guarantee the economic costs of energy sources and produce long-term improvements in the population’s well-being. Emphasis will be laid on liberalization and the State’s full diversiture from energy production and distribution, limiting it to its planning and regulatory role. The first stage of the programme consists in setting up a series of legislative and regulatory measures generally aimed at reforming the energy sector. The programme’s subsequent activities include the following four (4) components: (i) Privatization of the electricity sub-sector; (ii) Liberalization of the supply and distribution of petroleum products by ending SAR’s monopoly and gradually reviewing the level of taxes and subsidies; (iii) Decentralization of management of the biomass sub-sector by transferring responsibility to local authorities; and (iv) Feasibility study on an energy saving agency.