Monrovia – As Liberia anticipates the dawn of the Dry season, the Liberia Electricity Corporation (LEC) is already Eyeing its Dry Season Mitigation Strategy, FrontPage Africa has gathered.
By Gerald C. Koinyeneh, [email protected]
The strategy includes the plan to join other CLSG members including Guinea to bring in current from Ghana which boasts a sustainable method.
The move is Liberia’s latest effort to get additional current to close the power supply gap that is usually created as the result of the Dry season which causes the water level to drop significantly.
“We have negotiated 50MW from Ghana but we have to work out technical arrangements with the Ivorians to transit power through them. We are also negotiating with Guinea to get up to 20MW from now until December to manage increasing demand. But the biggest challenge is the Government of Liberia not paying its bills, now around $US17 million,” a government source speaking to FrontPageAfrica Monday on strict confidentiality said.
The announcement was confirmed by TRANSCO CLSG, the regional transmission company owned equally by the national utilities of the four countries: Côte d’Ivoire, Liberia, Sierra and Guinea. In a statement, TRANSCO CLSG said the new power flow from Ghana to Liberia is set to mitigate Dry Season power supply.
According to the TRANSCO CLSG, since it commenced commercial operations in 2021, the CLSG interconnection line has faced under-utilization, operating at only 25% of its 220MW capacity. In response, the management of TRANSCO CLSG is actively working to address these challenges and enhance the company’s operational viability.
How it started
In July 2024, TRANSCO CLSG conducted an exploratory mission to Ghana to explore alternative power supply options for the CLSG line. Consultations with the Energy Company of Ghana (ECG), which manages a pool of independent power producers, revealed that 100MW of capacity is available to supply the CLSG regional power network. A dedicated thermal plant has been identified to support this operation.
The statement further noted that at the July 2024 Board Meeting, TRANSCO CLSG informed its national utility partners of the mission’s findings and the opportunity to import power from Ghana. The Liberia Electricity Corporation (LEC) expressed firm interest in this opportunity and promptly dispatched a mission to Ghana to secure additional energy supplies for the upcoming dry season in Liberia.
To operationalize this process, LEC requested that TRANSCO CLSG facilitate a coordination meeting with key stakeholders, including LEC, VRA, GRIDCo, CI-ENERGIES, and WAPP-ICC. In response, TRANSCO CLSG organized a high-level meeting in Abidjan on Thursday, October 3, 2024. Chaired by TRANSCO CLSG’s General Manager, Mohammed M. Sherif, the meeting aimed to establish the technical and commercial frameworks for wheeling 50MW of power from Ghana to Liberia.
During the meeting, all parties reaffirmed their commitment to ensuring a steady power supply from Ghana to Liberia, helping LEC mitigate its dry season energy shortages.
In his remarks, Mr. Sherif emphasized the significance of the meeting as a critical step towards facilitating energy exports from Ghana to LEC. He called for collective commitment from all stakeholders to ensure the delivery of reliable and affordable electricity across the CLSG network and beyond. Mr. Sherif also acknowledged the key role of the World Bank, whose financial and technical support has been instrumental in advancing the CLSG project.
“The World Bank’s contributions, as one of the main financiers of the CLSG project, have laid the foundation for a reliable and secure energy trade,” Mr. Sherif stated. He expressed confidence in the readiness of TRANSCO CLSG, GRIDCo, and CI ENERGIES to coordinate power transmission across borders, further optimizing the CLSG line for greater efficiency. “This collaboration highlights the importance of regional partnerships in addressing the growing energy needs of our countries.”
Mr. Monie R. Captan, CEO of LEC, acknowledged the existing challenges and emphasized the critical role of TRANSCO CLSG and CI Energies in ensuring seamless power supply to Liberia. “Success depends on the collaboration of all key stakeholders,” Mr. Captan remarked. He also highlighted LEC’s ongoing efforts to reduce commercial losses, improve distribution reliability, and expand generation capacity, including enhancing the Mount Coffee Hydropower Plant and launching new projects like solar energy and the SP2 power plant.
Mr. Captan noted that utilizing the CLSG transmission network is essential for resolving LEC’s current challenges. “The operation of the CLSG line is crucial, as it ensures that the network can sustain itself and relieves the burden on national budgets,” he stressed, urging all parties to form a synergy to deliver reliable and affordable electricity across Liberia, Sierra Leone, and Guinea.
The Debt Burden: A Serious Challenge
While the Liberia Electricity Corporation (LEC) continues to work proactively to boost power supply, its growing debt burden threatens to undermine these efforts.
In August this year, the Ivorian government, a member of the CLSG power-sharing network, issued a stern warning to cut off Liberia’s power supply if the country failed to settle its substantial debt. This warning, relayed through the Compagnie Ivoirienne d’Electricité (CIE), highlighted that Liberia’s outstanding debt had reached US$19,691,647 by the end of June 2024. Facing financial strain due to rising energy generation costs, the Ivorian electricity sector declared this debt unsustainable.
In a letter dated August 26, 2024, CIE expressed its frustration over LEC’s repeated failure to make timely payments, cautioning that it would have no option but to suspend electricity supply to Liberia if the debts were not cleared.
In response, LEC urgently appealed to the Ministry of Finance for funds to prevent the Ivorian government from carrying out its threat. A letter from LEC CEO Monie Captan, dated September 3, 2024, notified the Ministry of Finance about the gravity of the situation. Captan explained that the government’s failure to disburse the necessary funds left LEC unable to meet its financial obligations, further requesting an immediate release of US$2,054,368.80 to cover payments from January to September 2024. He also asked for additional funds to partially settle the government’s US$16 million debt to LEC.
FrontPage Africa is yet to confirm whether any payments have been made by the government.
Ghana: A Timely Alternative Source?
Liberia, alongside Sierra Leone and Guinea, remains one of the countries with the lowest electricity access rates globally, a challenge driven by high fuel costs, insufficient generation capacity, and unreliable systems. The CLSG project, which enables Liberia to import electricity from Ivory Coast, has been a crucial lifeline due to Ivory Coast’s higher electrification rate and lower-cost electricity production.
The Boakai-Koung administration, upon assuming office, endorsed LEC’s plan to enhance Liberia’s energy supply. The combination of power from the Mount Coffee Hydro Plant and the CLSG line has significantly improved electricity availability, not only in rural regions but also in urban areas.
In March 2024, President Boakai visited Ivory Coast, where he held talks with President Alassane Ouattara. A major outcome of their discussions was Ivory Coast’s commitment to expanding its electricity grid to Liberia, expected to further bolster the country’s power supply.
However, if Liberia fails to settle its debts and the CLSG power line is disconnected, it would be a major blow to the country’s already struggling electricity sector, which continues to grapple with rampant power theft.
Currently, Liberia’s electricity supply remains relatively stable due to the ongoing rainy season. But with the dry season approaching, concerns are growing that losing the CLSG supply could severely cripple the country’s energy sector, especially when water levels at the Mount Coffee Hydro Plant drop, causing widespread shortages.
If a new arrangement with Ghana materializes, it could provide an alternative energy source to help stabilize Liberia’s electricity supply. However, observers remain cautious, urging the government to urgently address the mounting debt to avoid further setbacks.