This marks a first for SENELEC, structuring the issuance as a securitization backed by unpaid electricity receivables. It is also among the first African operations to combine a sustainability-linked bond with a green component for environmentally compliant projects. According to SENELEC, 52.5% of the funds will be allocated to renewable energy and energy efficiency projects.
The initiative includes measurable commitments to reduce electricity transmission network losses and improve public access to electricity. Papa Toby Gaye, SENELEC's Director General, stated that this fundraising diversifies financing sources, improves debt management, and mobilizes medium- to long-term resources under more competitive conditions. He also noted it reflects international investor confidence in the company's economic model and Vision Senegal 2050.
While consumers will not see an immediate reduction in electricity bills, the investments are expected to yield medium- to long-term benefits. These include improved distribution quality, reduced outages, and better service continuity through infrastructure modernization and technical loss reduction. The development of renewable energies is also a key focus, aiming to reduce reliance on volatile fossil fuel prices and better control production costs.
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