Senegal Set to Commit $2.7bn to Green Energy if Ruling Party Wins Elections

Senegal is on the verge of committing $2.7 billion to its international programme aimed at reducing emissions and cutting reliance on fossil fuels, contingent on the ruling party’s success in this weekend’s parliamentary elections.

“If Prime Minister Sonko’s party wins a majority, an announcement could come quickly after the election,” said Remy Rioux, CEO of France’s state development bank, Agence Française de Développement (AFD), in a Bloomberg interview published on Monday.

Senegal is one of several developing nations participating in the Just Energy Transition Partnership (JETP) with wealthier countries, an initiative aimed at supporting sustainable energy goals.

In June 2023, Senegal and its international partners—including France, Germany, the EU, the UK, and Canada—launched JETP to mobilise investments that would expand energy access and build a low-carbon, resilient energy system.

Under the partnership, international backers and development banks are expected to raise $2.7 billion (€2.5 billion) over an initial three-to-five-year period, beginning in 2023, to accelerate renewable energy deployment across Senegal.

Domestic politics have delayed Senegal’s investment commitment so far. Earlier this year, former president Macky Sall’s party lost the presidential election, with Bassirou Diomaye Faye now serving as president and Ousmane Sonko appointed Prime Minister.

The upcoming parliamentary election on November 17 is expected to secure a majority for Sonko’s party, paving the way for the €2.5 billion energy transition pledge.

Should this majority be secured, a funding announcement could come as soon as COP29 in Azerbaijan later this month.

While Senegal is committed to reducing emissions, it is also preparing for its first LNG shipment from a major BP-operated gas project, anticipated in early 2024.