Cameroun’s transit fees from Chad oil pipeline hit 12.2 billion FCFA in early 2026
Cameroon’s revenue from transit fees on Chadian crude oil transported via the Chad-Cameroon pipeline has surged to 12.2 billion FCFA within the first four months of 2026. The Cameroon Pipeline Steering and Monitoring Committee (CPSP) reported this figure, highlighting an increase of 1.2 billion FCFA compared to the same period in 2025, marking an 11% rise. This growth is attributed to the transport of 16.1 million barrels of crude oil from Chad across Cameroonian territory during the reviewed period.
An essential infrastructure for Chad’s energy isolation
Stretching over 1,080 kilometers, the pipeline connects the oil fields in southern Chad to the Komé-Kribi export terminal on Cameroon’s coastline. With no direct maritime access, N’Djamena relies entirely on this route to ship its oil to global markets. Operational since the early 2000s under a consortium initially led by ExxonMobil, the pipeline remains Chad’s sole viable export corridor.
For Cameroon, this geographic advantage translates into steady budgetary inflows. Each barrel crossing its territory generates a transit fee of $1.321, paid to the national treasury. While the mechanism is straightforward, its cumulative impact is significant, especially as Yaoundé seeks to broaden its revenue streams amid a declining trend in domestic hydrocarbon production.
A tripling of transit fees over two decades
The current fee structure results from a series of negotiations initiated in 2013. Initially set at $0.41 per barrel, the unit rate was considered insufficient by Cameroonian authorities, given the environmental and logistical risks borne by the transit country. Under pressure from Yaoundé, a five-year review mechanism was established, leading to two successive revisions in 2013 and 2018 that pushed the fee to its current level.
In practice, the unit rent has more than tripled over fifteen years. This upward trend has gradually aligned Cameroon’s transit financial conditions with those observed in other African oil corridors, such as the BTC system in Central Asia or the arrangements governing the neighboring Chad-Cameroon pipeline operated by COTCO. However, the next phase of this indexation remains pending.
A long-awaited 2023 fee hike still unresolved
As per the agreed schedule, a new increase was supposed to take effect on October 1, 2023. Yet, more than two years later, no official announcement has confirmed the conclusion of negotiations or the implementation of a revised fee. The prolonged silence surrounding this issue raises questions, particularly as Cameroonian authorities have recently underscored efforts to enhance oil-related revenue optimization.
Several factors may explain this stalemate. Chad’s post-Deby political transition and N’Djamena’s budgetary constraints have narrowed the negotiating margin for Chadian stakeholders. Additionally, fluctuations in Chad’s oil production could prompt operators to advocate for tariff stability to sustain the profitability of declining fields. Conversely, Cameroon’s priority is to maximize revenue from an infrastructure with a finite operational lifespan.
Nevertheless, the current trajectory benefits the national budget significantly. If the trend observed in the first four months persists, annual transit fee revenue could exceed 35 billion FCFA in 2026. This would further cement the Chad-Cameroon pipeline’s status as a strategic foreign exchange generator for Yaoundé, alongside Kribi’s gas exports and agricultural shipments. To date, no official update has been released regarding the ongoing tariff negotiations with Chad.
