Senegal: Affaire ASER AEE Power EPC Loi Finances Funds Non-Performing Firm

• The Senegalese government's rectified finance law includes a 1.5 billion CFA franc disbursement from Santander bank for AEE Power EPC.
• AEE Power EPC previously received 37 billion CFA francs but has not commenced any work on the project.
• The Ministry of Energy informed the Prime Minister of AEE Power EPC's non-performance on August 26, 2024.
• The Financial Judicial Pool has opened an inquiry into the project, investigating allegations of corruption and money laundering.
• Hundreds of Senegalese villages remain without electricity due to the stalled project.

This allocation is specifically earmarked to cover a bill presented by AEE Power EPC, a company that previously received a substantial advance of 37 billion CFA francs without commencing any work on the ground.

The Senegalese government has introduced a rectified finance law to the National Assembly, which includes a provision for a 1.5 billion CFA franc disbursement from Santander bank. This allocation is specifically earmarked to cover a bill presented by AEE Power EPC, a company that previously received a substantial advance of 37 billion CFA francs without commencing any work on the ground. This development, central to the `Affaire ASER AEE Power EPC loi finances`, has drawn scrutiny, particularly given the company's documented non-performance.

Critics argue that this move effectively sanctions payment to a company that has failed to deliver on its obligations. The proposed disbursement from Santander is not a grant but a loan, meaning Senegalese taxpayers will ultimately bear the burden of repayment, including interest. This financial commitment, part of the `Loi de finances rectificative Sénégal ASER`, comes at a time when the state faces increasing deficits, cuts in public investment, and citizens grapple with rising energy costs, making the allocation particularly contentious.

The issues surrounding the `AEE Power EPC Sénégal` project are not new; its failure has been extensively documented for the past two years. Despite this, the government appears poised to honor further financial claims. High-level officials were reportedly aware of the project's stalled status well in advance. On August 26, 2024, the Ministry of Energy formally communicated to the Prime Minister that AEE Power EPC had not initiated any work, despite having already received the significant 37 billion CFA franc advance.

This explicit notification confirms that the highest echelons of the state were informed about the company's non-performance. Yet, two years have passed since the initial documentation of the project's shortcomings, with little apparent action taken to rectify the situation or hold the responsible parties accountable. The continued pursuit of payments for a project with a documented history of non-delivery underscores a perceived lack of urgency in addressing the underlying issues.

The protracted `Affaire ASER AEE Power EPC loi finances` has escalated beyond administrative concerns, attracting the attention of the judiciary. The `Pool judiciaire financier ASER` has initiated a formal inquiry into the matter, specifically investigating allegations of `Corruption blanchiment ASER Sénégal` and money laundering. While all individuals remain presumed innocent until proven otherwise, the judicial process is now actively scrutinizing the circumstances surrounding the project's financial dealings and lack of progress.

Meanwhile, the real-world consequences of the stalled project continue to affect ordinary citizens. Hundreds of villages across Senegal remain without promised electricity, enduring prolonged periods of darkness. This lack of power impacts essential services, including the ability to preserve medicines and agricultural harvests, and severely restricts economic and social activities after nightfall, highlighting the significant human cost of the project's failure.

The government's handling of the `AEE Power EPC Sénégal` contract presents a significant challenge to its foundational promises. The current administration campaigned on a platform of "Jub, Jubal, Jubbanti" – a commitment to change, transparency, and accountability. However, the decision to potentially disburse an additional 1.5 billion CFA francs via the `Santander prêt ASER 1.5 milliard` to a non-performing contractor, especially amidst a judicial inquiry by the `Pool judiciaire financier ASER`, appears to contradict these core tenets.

The move to include this payment in the rectified finance law, despite the documented failures and ongoing investigations, raises serious questions about governance and the use of public funds. It suggests a prioritization of certain financial interests over the immediate needs of the populace and the principles of fiscal responsibility that the government pledged to uphold.

Source: Original reporting via local media