• Parliament approves loans for second phase of electricity reform program
• Project aims to improve access and strengthen national energy system
• Severe power gap persists, with just 11% of the population connected

Chad’s National Assembly has approved a bill ratifying two loan agreements to finance the second phase of its electricity sector support program, known as PASET-2. The vote, held on April 13, formalizes funding arrangements with the OPEC Fund for International Development and the Green Climate Fund.

The project is part of a broader effort to expand access to electricity, strengthen the national grid, and support economic growth while improving living conditions.

PASET-2 builds on the first phase of the program, launched in December 2022 with backing from the African Development Bank. That initial phase focused on boosting generation and distribution capacity, expanding access in both urban and rural areas, and laying the groundwork for a more sustainable energy system.

The new phase aims to improve the reliability of power supply and extend access further, with the goal of accelerating socio-economic development.

The stakes are high. Chad faces one of the most severe energy shortages in Central Africa. Only 11% of the population has access to electricity, with sharp disparities between urban areas (around 20%) and rural regions (less than 1%), according to the African Development Bank.

This is despite significant untapped potential. The country has strong solar resources, estimated at 4.5 to 6.5 kWh per square meter per day, as well as wind potential in the north and oil reserves. Yet electricity consumption remains the lowest in the Central African Economic and Monetary Community, at just 47 kWh per person per year, compared with a regional average of 109 kWh.

In response, the government has launched several initiatives, including upgrades to the distribution network and rehabilitation and hybridization of power plants. It is also implementing a $295 million World Bank-backed project aimed at raising electricity access to 30% by 2027.

Looking further ahead, authorities plan to mobilize $1.1 billion to accelerate electrification by 2030, with a target of reaching 60% access nationwide.

Lydie Mobio