Juan Lupercio Nsibi Omogo, Director General of Sociedad Eléctrica de Guinea Ecuatorial (SEGESA), talks to ECP about targeting enhanced energy security in Equatorial Guinea, as power demand is expected to grow by 10-12% per year to supply new users and industries.
AS THE NATIONAL ELECTRICITY COMPANY OF EQUATORIAL GUINEA, WHAT IS SEGESA’S ROLE IN GUARANTEEING DOMESTIC ENERGY SECURITY?
The primary purpose of SEGESA is the commercialization of electricity and participation in the distribution of electricity throughout the country, along with the employment of 2,537 employees. Electrical energy is important for economic development. In fact, the policies for development implemented by the Government of Equatorial Guinea, under the leadership of H.E. President Obiang Nguema Mbasogo, for the “National Plan for Sustainable Development 2035” is to make a reality the slogan, “Light for Everyone.”
It is important to emphasize that the actual production of electricity is not within the core activities of SEGESA. In Equatorial Guinea, there are three power plants engaged in the generation of electricity: one in the island region (Turbo-Gas plants I and II) and two in the continental region (Djibloho Power Plant and another 24 MW plant that is currently inactive). All of them are owned by the State. In the exploitation contract signed decades ago, the role of both parties was established.
As far as guaranteeing energy security in Equatorial Guinea, it must be noted that electricity is strategic for the development of the entire economy. It is difficult to imagine a society without electricity, or one which has deficiencies in the supply and provision of electrical services. SEGESA, given its role as a state-owned company, and the company’s commitment, fulfills the most basic and fundamental principles of Corporate Social Responsibility. Currently, our activities are in harmony with the policies of the State, and above commercial interests which imply measures of social inclusion, caring for the environment, fair practices and good relations with personnel, as well as all stakeholders.
WHAT HAVE BEEN THE PRIMARY DEVELOPMENTS IN EQUATORIAL GUINEA’S ELECTRICITY NETWORK IN THE PAST FIVE YEARS?
- Key recent developments in the domestic electricity network are as follows:
- The expansion of electrical transmission networks in order to guarantee the supply to various industries.
- Expansion of the electrical distribution network of Medium Voltage for the purposes of guaranteeing the capacity to supply users with this type of electricity.
- The considerable increase of Transformation Centers to guarantee a high-quality supply of electricity for new users.
- Expansion in the Low Voltage distribution networks with the same objective of improving the overall well-being of the clients using the electricity.
- Supervision and control of the National Electrical-Energetic System and the development of qualified human resources.
WHAT IS YOUR EVALUATION OF EQUATORIAL GUINEA’S INSTALLED GENERATION CAPACITY TO DATE; PRIMARY TRENDS IN POWER DEMAND; AND EXPECTATIONS FOR DEMAND GROWTH BETWEEN NOW AND 2023?
The total installed electricity generation capacity in Equatorial Guinea in the island region is 154 MW. Thermal diesel generation accounts for 24 MW, or 15.7% of total current generating capacity. Thermal generation from natural gas is 129 MW, equivalent to 84.3% of total current electrical generation. The maximum demand from the island region is 91.5 MW, with a growth rate of 10% per year. Forecast demand growth for 2022 is 100.7 MW, while forecast demand growth for 2023 is 109.9 MW.
In the continental region of the country, the total installed generation capacity is 155.9 MW. Thermal diesel generation is 33.9 MW, equivalent to 21.7% of current generation capacity. Generation from hydroelectricity is 122 MW, equivalent to 78.3% of the total current generation. The maximum demand in the continental region is 78.8 MW, with a growth rate of 12.6% per year. Forecast demand for 2022 is 88 MW, while forecast demand for 2023 is 97.2 MW.
WHAT ACTIONS HAS SEGESA TAKEN TO MINIMIZE ITS COSTS, MAXIMIZE EFFICIENCIES AND CONTINUE DEVELOPING EQUATORIAL GUINEA’S HUMAN CAPITAL?
SEGESA is doing everything possible to decrease the category of expenses that depend directly upon our management practices. As far as the optimization of revenue, from 2018 onwards, the State contacted the Spanish company INDRA, to acquire an information technology program that contained an accounting and a commercial application. This was done to better manage the company and maximize our profitability and generation of revenue. In previous years, SEGESA subscribers, after having made payments at the bank, would then also have to go to our headquarters to receive the paid invoice. Now, thanks to the technology and annual billing system obtained through INDRA, it is no longer necessary for subscribers to return to SEGESA after making payments at the banks.
As far as the development of human capital, among the clauses of the contract between SEGESA and INDRA was one stipulating the training of our human resources at SEGESA with the goal of optimizing our utilization of this new application. The objective is to help maximize benefits obtained, and thus progressively recuperate the investment made on this platform. The training of our human capital includes employees of all departments, inspectors, accountants, financial personnel, commercial team, etc.
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