Senelec Akilee New Contract Controversy Reignites Public Procurement Concerns

• Me Massokhna Kane of SOS Consommateurs has warned of an imminent new agreement between Senelec and Akilee.
• Senelec's board is set to review a "protocole d’accord transactionnel" that includes a new 10-year contract with Akilee.
• The original 2019 contract for 186 billion FCFA was signed without a tender and violated public procurement rules, according to ARCOP and OFNAC.
• A new contract would create industrial incoherence, as Senelec already has a 15-year contract with AMCO for its annual meter needs.
• SOS Consommateurs plans legal action and parliamentary referral if the board approves the controversial deal.

Me Kane has expressed alarm that this new contract, intended as an annex to the protocol, has not been made public or even seen by Senelec's own executives.

Me Massokhna Kane, president of SOS Consommateurs and a legal expert, recently issued a stark warning regarding a potential new agreement between Senelec and Akilee. Speaking on Sud FM's "Objection" program on October 18, he highlighted an impending procedure that could finalize a new deal within days. This development brings back into focus a contentious issue that many believed had been resolved in 2020.

The core of the current concern revolves around a "protocole d’accord transactionnel" that is slated for review by Senelec's board of directors next Friday. This proposed agreement aims to resolve existing legal disputes between Senelec and Akilee, which are currently active before the Common Court of Justice and Arbitration (CCJA) in Abidjan, as well as in various Senegalese courts. A critical component of this transactional protocol, and the source of significant criticism from Me Kane, is the stipulation for a new ten-year contract with Akilee to be signed within eight days of the protocol's approval. Me Kane has expressed alarm that this new contract, intended as an annex to the protocol, has not been made public or even seen by Senelec's own executives.

The proposed new contract rekindles memories of the initial agreement signed in 2019, which was fraught with irregularities. That original ten-year contract committed Senelec to acquiring 2.7 million electricity meters from Akilee, valued at 186 billion FCFA, without any competitive bidding process. Me Kane, representing SOS Consommateurs, underscored the highly unusual nature of this procurement, noting that Senelec typically employs competitive tenders even for much smaller quantities, such as lots of 50,000 meters.

The initial contract's non-compliance with established procedures was formally recognized by the Public Procurement Regulatory Authority (ARCOP), which concluded that the agreement violated public procurement regulations. Further compounding the issues, a 2023 report from the National Office for Combating Corruption (OFNAC) identified eight distinct offenses related to the contract, including allegations of fraud and the embezzlement of public funds. Despite these serious findings, Me Kane asserts that the public prosecution remains active, and he views the likelihood of any court ratifying the proposed "protocole d’accord transactionnel" as extremely low, given the gravity of the previous infractions.

Beyond the legal and procedural concerns, Me Kane also points to a significant industrial inconsistency. Senelec's current director general previously entered into a separate fifteen-year contract with AMCO two years ago. This agreement guarantees the annual delivery of at least 300,000 meters, a volume that Me Kane identifies as precisely matching Senelec's yearly requirements. Consequently, entering into a second long-term commitment with Akilee would effectively double Senelec's meter supply without any apparent operational justification, raising questions about resource allocation and strategic planning.

For SOS Consommateurs, the implications of this potential new agreement extend far beyond mere meter procurement. Me Kane argues that entrusting a third party with such a substantial portion of Senelec's core responsibilities to its subscribers would fundamentally undermine the public utility's purpose and operational integrity. He warns that such a move could effectively "empty Senelec of its substance and missions." In response to these concerns, SOS Consommateurs has announced its intention to file a formal complaint and refer the matter to the National Assembly's energy commission should Senelec's board approve the new agreement. Me Kane has also publicly challenged the leadership of both Senelec and Akilee to engage in a transparent public debate to address these critical issues.

Lawyers and compliance officers should closely monitor the proposed 'protocole d’accord transactionnel' between Senelec and Akilee, as its approval could expose Senelec to significant legal and reputational risks, including renewed scrutiny over public procurement violations, potential corruption charges, and further litigation from civil society organizations, despite ongoing proceedings before the CCJA and Senegalese courts.

Source: Original reporting based on SenePlus analysis.