• Senegal will end gas imports by 2026, saving $227M annually, but electricity tariff impact is uncertain.

• Domestic gas from Sangomar and GTA projects will replace imports, with 20-25% of GTA Phase 1 output for local use by 2027.

• Public electricity subsidies hit $455M in 2023; future tariffs depend on Senelec and CRSE decisions.

Senegal will stop importing natural gas in 2026, Prime Minister Ousmane Sonko said on August 27, in a move expected to generate annual budget savings of CFA140 billion ($227 million).

The government’s gas-to-power strategy envisions natural gas making up 75% of installed capacity, supported by the conversion of the 335-megawatt Bel Air plant and a new 366-megawatt facility. However, the effect on household and business electricity bills remains uncertain.

Output from the Sangomar field and the Greater Tortue Ahmeyim (GTA) offshore project, which started commercial production this year, will partly substitute imports. Authorities expect 20% to 25% of GTA Phase 1 output to supply the domestic market by 2027.

Senegal’s finance ministry said electricity subsidies reached nearly CFA280 billion ($455 million) in 2023. Despite this, households paid an average tariff of CFA109  ($0.19) per kWh in December 2024, according to GlobalPetrolPrices.

Any reduction in supply costs after 2026 will depend on how state utility Senelec and the Electricity Sector Regulation Commission (CRSE) set tariffs for consumers.

This article was initially published in French by Abdel-Latif Boureima

Adapted in English by Ange Jason Quenum