Senegal Expands Renewable Energy and Oil Exploration

The government of Senegal has outlined plans to diversify its energy sources, aiming to reduce costs and enhance energy security. These efforts are part of the Vision 2050 plan, which includes developing both the oil and gas sector and expanding renewable energy capacity.

Senegal remains heavily dependent on petroleum products for electricity generation, with oil-based fuels accounting for about 72.5% of national power production in 2024. High electricity generation costs, estimated at between 34 and 38 US cents per kilowatt-hour, are being addressed through subsidies and a shift toward domestic natural gas and renewables.

In recent years, Senegal has made progress in expanding renewable energy, with installed capacity rising from 56 MW in 2014 to approximately 624.8 MW in 2025. Solar power now accounts for around 49% of the renewable energy mix, followed by wind at 35% and hydropower at 16%.

AXIAN Energy recently completed financing for the NEA Kolda photovoltaic plant in southern Senegal, which includes 60 MW of solar PV capacity and a 72-MWh battery storage system. The project, funded by the Emerging Africa and Asia Infrastructure Fund and FMO, will supply clean power to over 235,000 households through a 25-year power purchase agreement with Senelec.

In July, SEN’EAU, a Senegalese water utility, partnered with TotalEnergies to inaugurate two solar plants in Thiès and Louga regions. These projects, featuring 33,600 solar panels, will cover up to 32% of the energy needs at drinking water facilities and aim to reduce energy costs and the carbon footprint of the water sector.

The Taiba N’Diaye wind farm, operational since 2021, is Senegal’s first large-scale wind energy project, with a capacity of 158.7 MW. It provides clean power for over 2 million people and has increased the country’s electricity capacity by about 15%.