Key Pathways
TABLE 4.1
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63
The World Bank Group’s energy program in Chad
Objective
DPF and related TA
(1) lncrease access to electricity
National electrification analysis (MPE)
(2) Enhance sector governance
• Performance contract • Auditing financial statements (SNE)
Chad Energy Access Scale-up MPA Electrification of N’Djamena, secondary city, and rural areas
n.a.
Cameroon-Chad lnterconnection Project
ROGEP
IFC and MIGA
Electrification of N’Djamena and locations along the HV transmission line
Support to the private sector for SSS electrification
• Financing private sector • PRG • Political risk insurance for solar projects
n.a.
(3) Diversify the energy mix to reduce costs and emissions
• Least-cost development plan • Switching from diesel to HFO • Competitive procurement of new generation capacity
Hybridizing grids in N’Djamena and secondary cities by leveraging private capital in solar PV and storage
Electricity imports from Cameroon
(4) lmprove performance of SNE
• Tariff methodology (ARSE) • Revenue Protection Program (RPP) (SNE)
lmplementation of RPP in N’Djamena and secondary cities
lmplementation of RPP in N’Djamena
n.a.
n.a.
n.a.
n.a.
• Containerized solar PV and storage • Scaling mini-grid program • Political risk insurance for solar projects
n.a.
Source: World Bank staff proposal. Note: ARSE = Autorité de Régulation du Secteur de l’Energie, the energy regulatory body; DPF = Development Policy Financing; HFO = heavy fuel oil; HV = high voltage; IFC = International Finance Corporation (of the World Bank Group); MIGA = Multilateral Investment Guarantee Agency (of the World Bank Group); MPA = Multiphase Programmatic Approach; MPE = Ministry of Petroleum and Energy; n.a. = not applicable; PRG = partial risk guarantee; PV = photovoltaic; ROGEP = Regional Off-Grid Electricity Access Project; RPP = Revenue Protection Program; SSS = stand-alone solar system; SNE = Société Nationale d’Electricité (national power utility); TA = technical assistance.
• Outsourcing road maintenance to the private sector to address operational inefficiencies. There is a global trend to transfer road maintenance from in-house public entities to the private sector through predefined arrangements called performance-based contracts or output-based contracts for road maintenance. Performance-based contracts have proven to be effective in reducing costs, improving road conditions, and delivering transport services. • Developing better funding mechanisms in the transport sector to achieve sustained improvements to transportation infrastructure. Currently, infrastructure projects and the maintenance of existing infrastructure are funded by the national government, with external support from donors. However, these funding sources have proven inadequate to meet the country’s transportation needs. In 2000, a specific fund was established solely for road maintenance, and it was intended to generate approximately US$19 million per year through a fuel tax. The resources accrued by the fund would be used to maintain approximately 7,500 kilometers of primary roads. However, the fund has failed to meet its goal due to low levels of collected resources, issues with the funds being transferred, and the exclusion of rural communities.
Improving the efficiency of the water sector The government needs to prioritize the implementation of reforms in the water sector, focusing both on the access and quality of services and on
