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Sierra Leone

Understanding Mini-Grid Tariffs in Sierra Leone: A Quantitative and Comparative Analysis of Price Drivers

Publication date: 10 March 2023

Author: SEforALL

Description: The Government of Sierra Leone has made significant progressive policy and regulatory enhancements to support initiatives to increase electricity access. The policies provide for decentralized solar power and for mini-grids within the rural electrification strategy to increase access to energy in rural areas of Sierra Leone. The regulations provide for cost-reflective mini-grid tariffs necessary for market-driven mini-grid development and long-term sustainable mini-grid operations. However, cost-reflective end-user tariffs cause concerns around affordability of mini-grid electrification for rural customers. In Sierra Leone, various subsidies as well as the removal of the goods and services tax (GST) on operators have been provided to reduce mini-grid end-user tariffs. But it is recognized, by Sierra Leone stakeholders, that further interventions are still needed to address mini-grid tariff affordability and therefore access.

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