Cameroon has taken another step toward improving rural electrification with a second loan from the African Export-Import Bank (Afreximbank). President Paul Biya authorized the Minister of Economy, Alamine Ousmane Mey, to sign a CFA24.8 billion financing agreement, furthering the nation’s solar electrification efforts.
A History of Solar Electrification Loans
This new loan follows a CFA35 billion loan signed in March 2023, which was used to bring solar power to over 13,000 rural households. Both loans are part of the third phase of Cameroon’s ambitious solar electrification project, which aims to power 1,000 rural communities.
Launched in 2016, the project has been implemented in partnership with Chinese technology giant Huawei. The first two phases are focused on electrifying 165 and 184 communities, respectively, and are still underway.
Tackling Cameroon’s Rural Electrification Challenges
The project addresses a critical need in Cameroon, where only 20% of rural areas currently have access to electricity. Despite this progress, the project will electrify only 11% of the 9,000 communities still without power. According to Minister of Water and Energy Gaston Eloundou Essomba, approximately CFA874 billion is required to achieve complete rural electrification across the nation.
Beyond providing access to electricity, this project is a significant step toward diversifying Cameroon’s energy mix. While the country relies heavily on hydroelectric power, renewable sources such as solar, wind, and biomass currently account for less than 1% of its energy production. Expanding solar power generation is critical to addressing this imbalance and ensuring energy sustainability.
A Path to Energy Sustainability
The solar electrification project will significantly boost Cameroon’s rural electrification rate, improve living conditions, and stimulate economic growth in underserved communities. With Afreximbank’s continued support, Cameroon is making strides toward a cleaner, more inclusive energy future.
