Governing rural electrification in Senegal: of monopolies, mini grids and beyond

Abstract Despite major progress in electricity access and renewable energy deployment over recent decades, Senegal continues to face challenges in achieving universal rural electrification, a country where 55% of the rural population lack access. A core issue is the absence of a coherent regulatory framework for rural electrification. Initiatives are fragmented, often pursue competing priorities, and involve a complexity of different actors and institutions. Within this context, mini grids have been promoted by donors and international organisations as a promising solution, and Senegal was once considered a regional leader in this sector. Today, most planned projects are solar or solar–diesel hybrid, as compared to the original diesel-generated systems. However, not only are a significant portion of the previously installed projects presumed to no longer be operational, but their actual and projected contribution to Senegal’s rural electrification rate is relatively small. In the case of mini grids more specifically, there have been inconsistencies with regards to licensing, tariff-setting and arrangements for the arrival of the main grid. Processes and standards for their installation, operation, maintenance and ownership have been carried out in a somewhat haphazard way. Despite the introduction of regulation intended to support an increased role for the private sector in the electricity sector more generally, most mini grids that have been developed to date have been government-owned and donor-funded. Private sector involvement has been largely confined to engineering, procurement, and construction, and operation and maintenance. With this in mind, this paper critically examines the political, institutional, and regulatory barriers to rural electrification in Senegal. It highlights the tension between grid extension and the introduction of decentralised/off-grid systems, finding a significant mismatch between donor ideals and expectations on the one hand and the preferences of the state utility, as well as national and local governments on the other.