| Approval Date | 26 Jun 2019 |
| Signature Date | 07 Nov 2019 |
| Planned Completion Date | 31 Dec 2021 |
| Last Disbursement Planned Date | 31 Dec 2021 |
| Sovereign / Non-Sovereign | Sovereign |
| Sector | Power |
| DAC Sector Code | 23630 |
| Commitment | U.A 341,651.9 |
| Status | Completion |
The proposed Technical Assistance project is a FAPA grant of USD 479,997 to support the pilot phase of the ringfencing of metering services program in Africa. The project seeks to address the metering gap in the Cameroonian electric industry by supporting the national electricity regulator and private sector (SMEs consortium) through the provision of technical assistance to draft regulations and guidelines to create and license new entities - Meter Assets Providers (MAPs) - for ring-fencing metering services and mass meter deployment in the country by the relevant stakeholders. The project will turn electricity meters, previously seen as consumable expense, into financeable asset for SMEs, taking advantage of relatively long life of meters, low failure rates, low maintenance and status as a continuous revenue generation asset. Project Main Components are: (i) Feasibility studies to assess meter demand in areas not under concession of and not covered by ENEO, determine the funding requirements, determine meter service charge component in the electricity tariff and define the modus operandi of prepaid/smart MAP; (ii) Drafting of prepaid/smart metering Regulations; (iii) Dissemination of the results of the Program to sector stakeholders. The Project will be implemented over a period of 18-month from donor approval.
The project will take a holistic review of meter services with the objective to establish the right enabling environment to attract private sector participation. Besides providing a response to address the huge metering gap in Cameroon, the project has significant economic benefits. (i) enable the ring-fencing of the privatization of the power sector that allows utilities to channel scarce resources to other key areas of their business (ii) improve distribution side revenue collections, thereby reducing collection and commercial losses; (ii) support and promote local private sector investment into the metering industry; and (v) creation of more than 36,000 new direct jobs in the metering sector alone is expected from meter manufacturers, meter installers, meter inspectors, meter technicians.
Target Beneficiaries are : (i) Agence de Régulation du Secteur de l’Électricité (ARSEL) - will be provided with technical assistance to develop and roll out the implementation of appropriate legal and regulatory frameworks including metering regulations which will allow private sector participation in metering services; (ii) SMEs consortium: Cameroon Employer’s Organization (GICAM) and Entreprises du Cameroun (ECAM) – Will contribute in the elaboration and drafting of Regulation by formulations the Private sector requirements for the successful roll-out of smart/prepaid metering by the private sector; (iii) Households - Under the project, an estimated 4.4 million19 households and residences which will have access to meters and allow customers pay their exact bills, eliminating the practice of estimated bill which has caused distrust between the private distribution companies and its customers, over the years.
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Funding
Fund for African Private Sector Assistance
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Extending
Government Of Cameroon
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Implementing
AGENCE DE REGULATION DU SECTEUR DE L#ELECTRICITE (ARSEL)
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| IATI identifier | 46002-P-CM-FA0-009 |
| Last Update | 24 Mar 2023 |
| Name | Francine Kyrène MVENG AMOUGOU Epse MBOCK |
| f.mbock@afdb.org |