Mali earmarks $4bn to be spent on electricity supply over the next 5 years

In Mali, the inadequacies of the national electricity network and in the supply of fuel are the main problems of the sector. To address them, the government has put in place several initiatives, the majority of whose funding has already been mobilized.

According to The Director General of Energy of Mali (EDM) Oumar Diarra (photo), 2,300 billion CFA francs ($4.2 billion) will be spent on the supply of electricity in Mali over the next five years. This amount should make it possible to solve the problems related to the functioning of society.

For the manager, the majority of the amount has already been raised. Approximately $2.4 billion was mobilized through public-private partnerships. Private companies will be responsible for investing and selling electricity. The funds will also be obtained from the concession contracts that have already been signed.

“Already, a good part of the 2,300 billion is being mobilized. There are 1,300 billion that are already covered by the Public-Private Partnership. After that, there are 500 billion whose financial closing has already been completed. It is carried by traditional donors such as BOAD, IDB, etc. What remains to be sought is 499 billion. We will raise these 499 billion on the spot in Bamako by organizing in the coming weeks a round table of investors,” says Oumar Diarra.

These funds will be used to solve the fundamental problems that are causing power cuts in the country. These constraints are due to the defective state of the equipment. “The distribution networks are totally defective because of their obsolescence and the fact that they have not been rehabilitated for a very long time,”continues the head of EDM.

Source: Agence Ecofin

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