Cameroon poised to launch public-private energy transport partnerships

The Cameroonian government is preparing to embrace public-private partnerships (PPPs) as a strategic solution to revitalize its energy transport infrastructure, according to insider reports from the Ministry of Water and Energy.

Government seeks private investment to resolve energy transport crisis

With the country losing approximately 30 MW of electricity daily due to transmission network inefficiencies—equivalent to the entire output of the Lagdo dam—the government is turning to PPP models to attract private capital. The initiative was disclosed during a high-level meeting between the Cameroonian Minister of Water and Energy and Italy’s Ambassador to Cameroon, Filippo Scammacca del Murgo, alongside Riccardo Rossi Van Lamsweerde, regional director of Italy’s public financial institution Cassa Depositi e Prestiti.

The proposed PPP framework would involve private partners handling the entire project lifecycle from design and construction to management, thereby excluding government officials from operational oversight. This approach aims to address long-standing issues of project delays and cost overruns that have plagued public-sector initiatives.

Financing challenges drive PPP adoption

Cameroon’s public finances face significant constraints, with a severe cash deficit and mounting debt servicing obligations that prevent timely payments to the Kribi Power Development Company (KPDC). This financial strain has resulted in the loss of 300 MW of potential electricity generation, further exacerbating the national energy deficit.

Economic analysts highlight that the PPP model could provide the necessary capital infusion while improving project efficiency. However, concerns persist regarding the government’s commitment to this approach, particularly in critical sectors like transportation infrastructure.

Calls for broader application of PPP models

Critics point to the Ministry of Transport’s reluctance to adopt PPPs, despite the sector’s evident need for modernization. Major road projects such as the Douala-Yaoundé and Yaoundé-Nsimalen highways have suffered from prolonged delays and cost overruns, illustrating the inefficiencies of traditional public-sector management.

«Why burden ordinary citizens with debt for poorly executed road projects when PPPs could resolve these issues? The loss of 30 MW in energy production has been known since 2014, yet successive governments have chosen to invest over 100 billion FCFA in the Mekin dam instead of addressing the transmission losses», noted a leading economic commentator.

PPP framework aims to eliminate white elephant projects

The PPP initiative seeks to mitigate the prevalence of incomplete or underutilized infrastructure projects—commonly referred to as «white elephants»—by leveraging private-sector expertise and efficiency. Under this model, private entities would assume full responsibility for project execution, reducing bureaucratic interference and accelerating delivery timelines.

The government’s pivot toward PPPs reflects a broader recognition of the limitations of traditional public financing in addressing Cameroon’s infrastructure gaps. While the approach holds promise, its success will depend on robust regulatory frameworks and transparent procurement processes to ensure accountability and value for money.