In Senegal, the public water service companies (DSPs, the French acronym) responsible for operating drinking water supply systems face many challenges in rural areas. Most drinking water pumping systems run on diesel, a costly resource that is difficult to supply in remote areas. Urbanization and rapid population growth, the impact of climate change on water resources, and growing inter-sectoral competition for water further strain DSPs' financial conditions. Not to mention, diesel releases planet-warming greenhouse gases into the atmosphere.
The USAID Scaling Up Renewable Energy (SURE) program aims to support DSPs in modernizing their rural borehole pumping systems. Through SURE, USAID has awarded a $264,415 grant to Société de Gestion des Eaux du Sénégal (SOGES) and provided technical support to convert diesel and manual water pumping systems to solar power. SOGES manages the DSP in Tambacounda, Senegal, which has 231 water supply systems serving around 498,000 inhabitants. Almost 79 percent of the boreholes managed by SOGES are diesel-powered.
With the support of SURE Senegal, eight sites in the Tambacounda region have been solarized. SOGES plans to solarize an additional 15 sites by the end of 2024 to achieve the following expected results:
Despite the potential benefits of solar energy, several challenges hinder the financing and implementation of solar solutions in rural Senegal:
Despite these constraints, solar pumping systems remain a sustainable and environmentally friendly solution for water supply, especially in rural areas, and the long-term benefits can offset the initial costs.
The transition to solar energy offers undeniable advantages, including strengthening the capacities of local service providers and creating new jobs. SURE Senegal has created 241 direct jobs and 410 indirect jobs.
Switching to solar power ensures service continuity and increases water production. In Tambacounda, diesel shortages and high temperatures often leave generators inoperable, depriving people of water. The extra water from the transition to solar can also supply small agricultural plots near the boreholes.
Solar energy boosts profitability of local water companies and ensures sustainable service in rural areas. Before the switch to solar power in Tambacounda, production costs were high, averaging $0.40/cubic meter with a 99 percent network efficiency rate. After transitioning to solar, energy-related costs dropped by around 30 percent, reducing operating costs by almost 75 percent. Fuel price fluctuations, a major factor in production costs, will no longer affect water prices. The project’s loan will be repaid in five years, with annual fuel savings covering the payments.
Unlike diesel, the solar-powered pumping systems reduce CO2 emissions, cut noise pollution, and reduce fuel spills and other environmental hazards, supporting Senegal’s goal of a 10 percent emissions reduction by 2030. Energy transition in the water sector makes it possible to minimize production costs, reduce dependence on fossil fuels, and open up investment opportunities to reduce water shortages, particularly in communities far from the power grid. Involving local authorities in this process is crucial to better integrate renewable energy into public policies and into the water sector in particular.
SURE Senegal is a success story in financing renewable energy projects, which remains challenging in Senegal due to lengthy financing times. SURE's financing approach has demonstrated that catalyzing private investment can increase access to water for rural populations. The grants awarded by USAID via SURE Senegal facilitated the granting of loans by financial institutions. Banque Agricole approved a $200,000 loan to SOGES, enabling the mobilization of the funds needed to complete SOGES’s contribution and guarantee effective implementation of its activities.
This blog was originally published on Climatelinks.
Gamou Fall is a planning engineer who began his career in 2002 with the consulting firm MSA, a shareholder of Société de Gestion des Eaux du Sénégal (SOGES), as Water & Sanitation Program Manager. From 2018-2021 he held this position and also served as Director of Operations at SOGES. Since 2022, Mr. Fall has been the Deputy Managing Director of SOGES, where he is responsible for managing water supply systems in rural areas of the Tambacounda perimeter in Senegal.