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National Energy Policy and Strategy

National Energy Policy and Strategy

State 

completed

Date 

1 July, 2014 to 1 July, 2015

Country 

Madagascar

Region 

East Africa

Summary

The major energy challenges facing Madagascar to achieve its development goals are the current modest national electrification rate (about 15%), the implementation of large hydropower projects and the sustainability of the supply and demand of biomass for cooking. While Madagascar is not yet one of the countries selected under the SE4All framework, there is a political will from both the domestic institutions and the group of donors active in the energy sector to make the country benefit from international technical support for the development of an energy strategy that would help alleviate poverty and make progress on the MDGs.

Even though the electricity sector of Madagascar has been liberalised since 1999, private investments have not taken off and investments in maintenance and production have not been sufficient to meet growing demand and to prevent frequent power cuts. Therefore, additional power plants were built in a hurry, while oil prices were at their highest, which led to exceptional costs of production and solvency problems at the JIRAMA, the national state utility, which aggravated the energy problems of the country. In light of all these challenges, the country is in need for an updated and comprehensive energy policy and strategy.

Following the successful tenure of the 2013 presidential and legislative elections, the newly formed government of Madagascar has requested the assistance of the EUEI PDF with the update of Madagascar’s policy and national energy strategy and the preparation of a strategy for the energy sector of Madagascar.

The EUEI PDF technical assistance project is expected to be conducted in three phases:

1. A preparatory phase of technical assistance which will comprise the identification of the main stakeholders, a review of the energy sector, the setting up of a Pilot project committee and the holding of technical and stakeholders meetings to build national consensus on the strategic priorities and the preparation of a draft policy.

2. A phase of development of a national energy policy which will comprise the elaboration of a political vision, the drafting of a policy, a consultation process and the adoption of the policy.

 3. A phase of development of a national energy strategy which will comprise the development of scenarios for the fulfillment of the political objectives, the development of success indicators, a gap analysis and the development of an investment plan. This phase is expected to last between 6 and 12 months.

The objective of the project is the development of a comprehensive new energy policy and energy strategy and implementation plan based on an inclusive consultative process. Renewable energy is a central theme of the work.

 

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