The government has allocated $20 million (equivalent to D1.4 billion) to the National Water and Electricity Company (NAWEC) to resolve outstanding arrears, according to the Minister of Finance and Economic Affairs, Seedy Keita.
This confirmation is in accordance with the recent disclosures made by the Minister of Petroleum and Energy, Hon. Nani Juwara, who informed legislators that NAWEC owes Senelec, Senegal’s electricity provider, $16.1 million, in addition to an additional $8.4 million debt to Karpower.
“Each Gambian is aware of the legacy issues associated with NAWEC and a portion of our expenditure pressures.” The government of the Gambia has allocated $20 million, which is equivalent to D1.4 billion, to assist in the payment of NAWEC’s arrears in the 2024 budget implementation. And why did we do that? “In order to safeguard the populace from impending tariff increases,” stated the minister.
He further elaborated, “If the government had not intervened to provide the $20 million (D1.4 billion), and this occurred as a result of the necessity to repurpose the budget.” It is an emergency. What economic management will you be discussing in the absence of water and light? That is why, when these emergencies occur, you must rise to the occasion, and the government deliberately did so.
Minister Keita also reassured the public that efforts are being made to resolve the persistent obstacles that NAWEC faces, such as the creation of an energy roadmap.”However, all is not lost.” A substantial amount of activity is currently underway. An energy roadmap has been established with a target date of 2025-2027. He stated, “We are confident that the majority of the issues will be resolved once the implementation is complete, as the cost pressure is the primary factor affecting NAWEC.”
These comments were delivered by the Finance Minister during The Brunch, a weekly program hosted by Kerr Fatou.
