(Business in Cameroon) - Cameroon will pre-fund the connection of 163,000 poor households to the electricity network in 2021-2023. According to the Ministry of Water and Energy, the connections will be made in the framework of a program launched in partnership with the World Bank.
As per the terms of the financing mechanism (revolving fund) chosen for the program, beneficiaries will refund the connection costs over seven years.
Although the program was set to run from 2021 to 2023, it will effectively be launched in early 2022. The initiative is aimed at facilitating access to electricity for a larger population, regularizing the situation of illegal users, and fighting electricity fraud.
According to electric utility ENEO, 30% of the energy distributed in Cameroon is swindled into illegal distribution networks and installations. The financial loss caused by such practices is estimated at XAF60 billion annually, therefore, depriving the Cameroonian electricity sector of the resources that could have been invested to improve service quality.