EDC to collect 6 to 8 billion dam royalties in 2016

From the year 2016 and in accordance with regulations governing the electricity sector in Cameroon, Electricity Development Corporation (EDC) will collect royalties from Eneo, for the water it uses from the dams to produce electricity.

According to Nsangou Théodore, CEO of EDC quoted by Jeune Afrique magazine, “these royalties for the first year, will fetch between 6 to 8 billion FCFA.”

"Our operating budgets is revolving around FCFA 5-6 billion, we could, therefore, manage our budget without the government subsidy and do more investments," says Mr. Nsangou.

However, in addition to investments, Theodore Nsangou said some of these royalties will be used to repay donors loans granted to the State of Cameroon, which EDC use to build the Lom Pangar dam in the Eastern Region of the country.

As a reminder, in the last quarter of 2015 and after several years (since 2001) of free exploitation, Eneo which is managed by the British fund Actis, officially transferred the royalties of Mape, Mbakaou and Bamendjin dams to EDC.

The waters used by these four dams are about 9 billion cubic meters.