The Republic of the Congo has begun a study of the electricity supply needed by its special economic zones (SEZs) and industrial facilities, as rising demand puts pressure on existing supply arrangements.
Michel Djombo, the country’s Minister of Industrial Development, SEZs and Private Sector Promotion, launched the initiative earlier this week. The study will be supervised by the Ministry of Energy and Hydraulics, implemented by the National Agency for Rural Electrification and supported technically by the United Nations Development Programme.
Four supply options under review
The study will compare four potential approaches to meeting industrial electricity demand: solar generation paired with battery storage; biomass and cogeneration using agricultural, forestry and agro-industrial residues; connections to the national grid where available; and hybrid energy systems.
It is also expected to set a pricing benchmark for energy solutions in the Congolese industrial market. That benchmark would matter for companies weighing on-site generation against grid supply and diesel backup.
Pricing questions
At the launch event, Djombo questioned solar electricity offers priced between XAF 130 ($0.22) and XAF 150/kWh, describing some as opportunistic. He said international comparisons would help establish fair and sustainable pricing.
The minister also highlighted the cost of relying on diesel generators when electricity supply is disrupted, saying generated electricity can reach almost XAF 200/kWh.
Electricity supply constraints are affecting industrial operators in the country, according to Djombo, with some companies reportedly having to suspend production lines. Despite high diesel prices, he said some industrial operators remain reluctant to commit to alternative energy solutions and are waiting for market conditions to become clearer.
Commercial and financing models
The initiative plans to examine different commercial arrangements for supplying industrial customers. These include turnkey installations financed directly by businesses, financing services for equipment purchases and the introduction of independent power producers.
It is also expected to identify bankable projects capable of attracting public and private investment. The scope therefore extends beyond technical supply options to the contractual and financing structures that could move projects forward.
According to figures in the Africa Solar Industry Association’s project database, the Republic of the Congo has 35.6 MW of operational solar to date. Of that total, 27 MW is listed as unidentified commercial and industrial projects.
The study’s findings could clarify how solar, storage, biomass, grid connections and hybrid systems might compete or combine for industrial users. For now, the initiative is a planned assessment, not a commitment to a particular supply model or procurement outcome. The findings could also inform how future industrial projects are structured.