Sierra Leone government forms two new power utilities

powerlines-oranviriyincy-flickrSierra Leone has “unbundled” various electricity providers and integrated them to form two entities titled the Electricity Generation and Transmission Company (EGCT) and the Electricity Distribution and Supply Company (EDSA)

The West African nation’s National Power Authority, Bo/Kenema Power Station and other local providers have been “unbundled” or dissolved to form a different entity. The unbundling, according to government officials, is an attempt to transform the country’s power sector.

Ambassador Henry Olufemi Macauley, minister of energy in Sierra Leone, said, “The country's electricity sector has been experiencing epileptic and unreliable power supply, creating a harsh environment for economic development and especially, foreign investment.”

The country has been experiencing inadequate power supply, protracted power outages and several technical losses. In order to overcome the issues, the Ministry of Energy has plans to initiate the National Energy Strategy, which would help deliver 1,000MW of power to the country by 2017.

Macauley also noted that the separation of three core business functions – generation, transmission and distribution – would improve efficiency in the sector and allow independent power producers (IPP) access to the local power market.

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