Report No. 4743-GM

The Gambia: Issues and Optionsin the Energy Sector

November 1983

Report of the Joint UNDP/%brld Bank Energy Sector Assessment ProgramThis document has a restricted distribution. Its contents may not be disclosedwithout authorization from the Govemment, the UNDP or the World Bank.

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JOP T IIUTNDP/ ORL BAN\K ENrYV C,ECICR ASSESSMIENT MTISSION

REPOPTS .- READY ISSULED

Country 'Dace No

Indcnesi`.a Novenmber 1981 3543-LND

U-'-uI-.itius Decen. P'er 1981 3510-HAS

Kcn,va May 1982 3800-KE

Sri Lanka lay 1982 3794-CE

Z I T ,7 e J,une 1982 3765-ZIM

M a,t:i June 1982 3672-HA

Papua New Guinea June 1982 3882-PNG

Buri.undi June 1982 3778-BU

Rwanda June 1982 3779-RW

Malawi August 1982 3903-MAL

Bangladesh October 1982 3873-BD

Zambia January 1983 4110-ZA

Turkey February 1983 3877-TU

Bolivia April 1983 4213-BO

J L June 1983 4462-FIJ

Solomon Islands June 1983 4404-SOL

Senegal July 1983 4182-SE

Uganda July 1983 4453-UG

Sudan July 1983 4511-SU

Nig,eria Au,gust 1983 4440-UNI

Nepal Au,gust 1983 4474-NEP

FOR OFFICIAL USE ONLY

Report No. 4743-GM

THE GAMBIA

ISSUES AND OPTIONS IN THE ENERGY SECTOR

November 1983

This is one of a series of reports of the Joint UNDP/World Bank EnergySector Assessment Program. Finance for this work has been provided, inpart, by the UNDP Energy Account, and the work has been carried out bythe World Bank. This report has a restricted distribution. Its contentsmay not be disclosed without authorization from the Government, the UNDPor the World Bank.

ABSTRACT

The Gambia relies completely on imported petroleum to meet itscommercial energy needs, including the generation of electricity which isentirely diesel based. At present, the Government is facing acute diffi-culties in servicing the petroleum import bill because of depressed ex-port prices for the Gambia's major export, groundnuts. This reportreviews the implications of recent changes in petroleum supply arrange-ments for the Gambia and recommends technical assistance to enable theGovernment to decide on a least-cost option to improve the energy situa-tion. The capital city of Banjul has been short of power since late1977, when an explosion damaged the existing power station at Half Die;efforts to restore adequate capacity for the Banjul also are examined.The performance of isolated diesel-based power systems in the provincesis reviewed, as is GUC's request for assistance to carry out an emergencyoverhaul and rehabilitation program to prevent permanent breakdown andloss of several units. Progress on developing indigenous energy re-sources is examined, including the application of groundnut residues andsolar energy to substitute for diesel uses. The status of technicalassistance to energy sector institutions is reviewed and recommendationsare made for strengthening the Energy Unit of the Ministry of EconomicPlanning and Industrial Development. The report concludes with adetailed list of investments and technical assistance requirements fordeveloping the Gambia's energy sector.

ABBREVIATIONS AND ACRONYMS

boe barrel of oil equivalentDCD Department of Communty DevelopmentDOF Department of ForestsEMPS Energy Master Plan Study (UNSO)GDP Gross Domestic ProductGGFP Gambia-German Forestry ProjectGJ gigajoule = 1 million kilojouleGPMB Gambia Produce Marketing BoardGTZ German Technical Assistance AgencyGU Geological UnitGUC Gambia Utilities Corporationha hectareHDS Half Die StationHFO Heavy Fuel OilKPS Kotu Power Stationkcal kilocaloriekg kilogramkj kilojoulekW kilowattskWh kilowatt hourm3 cubic metermm millimeterMEPID Ministry of Economic Planning and Industrial

DevelopmentMW megawattMWh megawatt hourNEC National Energy Commissionp.a. per annumRE Rural Electrificationtoe tonne of oil equivalenttonne metric ton

Currency Equivalents

D 2.70 = US$1.00D 4.00 = UK Pound 1.00 1/

US$1.48 = UK Pound 1.00

11 The exchange rate of the Gambian currenLcy, the Dalasis (D), is peggedat 4 to 1 UK Pound Sterling. Conversions to US dollars are made atprevailing quotations of the US dollar exchange rate with that of theUK Pound Sterling. The above reflect exchange rates for August 1983.

This report was prepared by Mr. Amarquaye Armar on the basis of informa-tion available in a number of studies of Gambia's energy problems (listedin Annex III), and through additional information gathered during amission in August 1983. That mission, which comprised Messrs. M. Ahmed(mission leader), A. Armar (energy planner) and R. Chronowski (energytechnology consultant) also discussed a draft of this report with theGovernment of the Gambia and agreed upon the recommendations for policyaction and technical assistance requirements described in the report.

Energy Conversion Factors

Fuel toe per Physical Unit I"

Petroleum Products (tonnes) 2/

LPG 1.08

Gasoline 1.05

Kerosene/Jet Fuel 1.03

Diesel Oil (LDO) 1.02

Electricity (MWh) 0.25 3/

Biomass Fuels (tonnes)

Firewood 0.33-0.35

Groundnut Husk/Shell 0.37

1/ 1 toe = 10 million kcal

= 6.61 boe

= 39.68 million Btu

2/ LPG = 1730 liters/tonne

Gasoline = 1357 liters/tonne

Kerosene/Jet Fuel = 1229 liters/tonne

Diesel (LDO) = 1187 liters/tonne

3/ Converted at thermal efficiency of 34% or 4 MWh per toe.

Table of Contents

Page No.

SUMMARY OF FINDINGS AND RECOMMENDATIONS ................ i

I. ENERGY AND THE ECONOMY ........................ 1Country Economic Situation .................. 1Petroleum Imports ........................... 2Energy Balance for 1982 ..................... 3

II. ENERGY DEMAND, PRICES AND SUPPLY OPTIONS ...... 5Petroleum ................................... 5Historical Demand ......................... 5Petroleum Projections ..................... 7Petroleum Prices .......................... 7Petroleum Supply Arrangements ............. 9Petroleum Handling Facilities ............. 11

Electricity ................................. 13Electricity Tariffs ....................... 14Power Supply Options ...................... 16

Woodfuel .................................... 21Fuelwood Consumption ...................... 21Cooking Fuel Options forUrban Households ........................ 22

Stove Development ......................... 23

III. ENERGY RESOURCE DEVELOPMENT PROGRAMS .......... 24Overview .................................... 24Forest Energy Resources ..................... 24Reforestation ............................. 25Utilization of Mangrove Resources ......... 26

Hydropower in the Gambia River Basin ........ 27Hydrocarbon Prospects ....................... 29

Oil and Gas ............................... 29Peat ...................................... 30

Nonconventional Energy Resources ............ 30

IV. FUEL SUBSTITUTION OPTIONS ..................... 32Utilization of Groundnut Residues ........... 32The Role of Solar Water Heaters ............. 33

V. DEVELOPMENT OF ENERGY INSTITUTIONS ............ 35Management and Coordination of the Sector... 35Energy Subsector Operations ................. 35Gambia Utilities Corporation (GUC)........ 36Department of Forestry (DOF) .............. 37The Geological Unit ....................... 38Other Responsibilities .................... 39

Page No.

VI. ENERGY TECHNICAL ASSISTANCE ANDINVESTMENT REQUIREMENTS ....................... 40

Summary of Energy Demand Projections...... 40Energy Investments ........................ 40Summary of Technical AssistanceRequirements ............................ 42

ANNEXES

Annex I Notes on the Energy Balace .45Annex II Energy Technical Assistance

Proposals .46Annex III Gambia Energy Assessment" .............. 52Annex IV Solar Water Heating Analysis .55Annex V The National Energy CommiLssion

Terms of Reference .59Annex VI Petroleum Product Pricing Zones

in The Gambia .60

FIGURES

2553 17

MAPS

IBRD 17424IBRD 17169IBRD 15416

SUMMARY OF FINDINGS AND RECOMMENDATIONS

Overview

1. The Gambia relies entirely on imports to meet all its petroleumneeds. This includes electricity which is based on diesel systems. TheGovernment's difficulties in servicing the country's growing oil importbill have become acute in recent years because declining groundnut pro-duction and low export prices have reduced foreign exchange earnings tocritically low levels. The net effect is that oil imports, which ab-sorbed only about 9% of commodity export earnings in 1974/75, now accountfor over 22% of such earnings in a good year. In a bad year such as1980/81, when the country was particularly hard hit by the poor groundnutharvest, oil imports absorbed about 70% of such earnings. The outlookfor improvement is not favorable, as export prices for groundnuts are notexpected to improve much over current levels, and the Government mayeventually be compelled to introduce some form of rationing petroleumproducts to ensure essential supplies to important sectors of the eco-nomy. In practical terms, the country's options for reducing petroleumimports are limited by a relatively modest indigenous energy resourceendowment. There is some possibility of economically exploitable oil andgas deposits in the Gambia's sedimentary basin but this requires system-atic exploration. Hydropower and peat are marginal energy resources, andapplications of nonconventional sources (solar, wind) are yet to be fullyassessed.

2. The Gambian economy is based on non-energy intensive agricultureand groundnut production. The modern sector, which comprises commerce,public works, tourism and small industries, is growing in importance dueto the Gambia's role as an entrep8t serving neighboring Sahelian coun-tries. The economy has suffered from a persisting drought which hasseriously cut agricultural output. Groundnut production reached a recordlow of 45,000 tonnes in the 1980/81 growing season. The Government cur-rently is proceeding with the Second Development Plan which assumes afive percent yearly growth in GDP over the period 1980 to 1986. Thislevel of growth reflects the Government's projection that groundnut pro-duction will rebound from the weak 1980/81 performance to previous levelsof about 135,000 tonnes a year. The Mission projects that commercialenergy demand (excluding fuelwood and other biomass) will grow at aboutseven percent a year, due mainly to the restoration of adequate dieselpower generating capacity in the Banjul area which has been short ofpower since an explosion at the Half Die Power Station in 1977. Theseprojections need to be reviewed in 1985 as part of the proposed medium-term power development plan.

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Energy Sector Issues

3. The Government's basic energy policy as outlined in the currentDevelopment Plan is: (i) to secure adequate energy supplies to meetfuture requirements ofi the economy; and (ii) to minimize the cost ofenergy to the economy by improving the efficiency of energy use in theeconomy. Immediate problem areas in the energy sector are rooted ininstitutional weaknesses which have developed from inadequate staffing ofenergy institutions that control day-to-day operations in subsectors suchas power, petroleum and forestry, and the lack of a well articulatedenergy policy or strategy with which to guide planning and other effortsby these institutions and the Ministry of Economic Planning and Indus-trial Development (MEPID). The Government is fully aware of the serious-ness cf these problems and has requested technical and financial assis-tance from external sources to tackle them. The response to this requestfrom foreign agencies has been good, and progress is being made on someof the more pressing operational problems of the Gambia Utilities Corpor-ation (GUC), the Department of Forests (DOF), and the Geological Unit ofthe Ministry of Local Government and Lands (for petroleum exploration).This report is based on a critical evaluation of outstanding energyissues and options which have yet to be addressed as part of a comprehen-sive energy sector development program for the Gambia, and review of on-going programs to identify areas for further assistance.

4. Banjul Power System The Banjul area has been short of powersince late 1977, when an explosion destroyed part of the Half Die PowerStation in Banjul. The GUC is in the process of restoring adequate capa-city for the area by expanding installed capacity at the new Kotu PowerStatioin which took over base load operations in July 1982. The Govern-ment and GUC have secured external financing from the Japanese Governmentand KfW (West Germany) for two diesel power units (one 5.0 MW and one 3.8M!W). Both units are to be installed by the end of 1985, at which timeG3UC expects to have enough capacity to meet the short-term load require-ments in the area. However, because GUC is holding up action on some.2600 applications for new connections, further capacity will be neededshortly after 1985. GUC plans to commissiona a medium-term power develop-ment study to determine system capacity requirements (generation, trans-missionl and distribution) beyond 1985. In the Mission's view, this studyis needed to clarify the scope and timing of additional investments inthe Banjul system. KfW and the German Technical Assistance Agency (GTZ)have indicated interest in sponsoring the study (2.16).

5. Provincial Power Systems GUC operates isolated small dieselpower generating systems in the administrative headquarters for theprovinces. Because of GUC's operational arLd financial weaknesses, theseprovin,cial systems, with a total installed capacity of 5.2 MW, have beenneglected and their current total available capacity is only 2.6 MW. TheMissionl endorses GUC's request for asssistance to carry out an emergencyoverhaul and rehabilitation program for the provincial systems. A few ofthe units have broken down recently and several more are likely to breakdown permanently unless such a program is begun immediately. The

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Government is waiting for a response to its request for technicalassistance from the bilateral program with the U.K. Government (2.17).

6. Petroleum Supplies The Government relies on private oilcompanies (Shell, BP and Texaco) to furnish the country's petroleumsupplies. Current difficulties in maintaining this arrangement reflect(i) a breakdown of the West African Replenishment Program (WARP) whichwas a pooling system for supplying petroleum to the region, and(ii) foreign exchange shortages which have undermined the ability ofprivate oil companies to maintain their lines of credit to the Gambia.In March, 1983, the Government introduced a temporary arrangement whichallows the oil companies to procure products from Senegal. This arrange-ment has led to significant price increases because of: (i) higherprocurement and handling charges through Senegal; and (ii) payment ofSenegalese taxes on petroleum products although duties have been waived.The Government would like to establish a more permanent arrangement whichcould both reduce costs and assure relative security of supply. TheMission recommends that the Government commission a study to evaluate therelative costs of the current arrangement and alternatives before decid-ing on a permanent arrangement (2.9). In the Mission's view, an arrange-ment similar to the recently established Special Oil Purchasing Facilitycould form one basis for supplying the entire country's petroleum needs.The Facility was established by the Government, with financing from theIslamic Development Bank, to procure GUC's diesel oil requirementsdirectly from Algeria. The Mission also recommends the development of acontingency allocation program to replace the existing ad hoc system fordistributing and retailing products during supply interruptions andshortages. A more uniform and rational set of criteria could be estab-lished through joint consultations between the Government and represen-tatives of the private oil companies (2.10).

7. Petroleum Storage Facilities Despite the recent installation ofa sophisticated fire protection system at the Shell operated depot, thereis still some concern in the Government about the safety of its locationin Banjul city center. The Government has identified a site for a newstorage depot on land reclaimed for the Banjul Port Expansion Program butit is not clear what portion of the investment required for this newdepot will need to be financed by the Government. The Mission recommendsthat the Government carefully review the costs and benefits of such arelocation before deciding on its next move (2.11).

8. Energy Efficiency and Savings The Mission reviewed a number ofoptions for improving the efficiency of energy use, and reducing energycosts through fuel substitution. The Mission identified a sizeable unex-ploited potential for saving diesel oil and electricity by retrofittingexisting water heating systems in the commercial/industrial sector. Spe-cifically, about 720,000 liters of diesel oil a year and some electricitycould be saved by installing solar water heating systems at seven majorhotels and the Banjul Brewery. Both the Government and potential usershave expressed interest in pursuing this option. The Mission recommendsa comprehensive technical assistance program to prepare detailed designs,tender documents for procurement and installation of equipment, and to

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supervise and monitor the initial operation of these systems. Equipmentfor the proposed Solar Retrofit Program could be financed througlh theforeign currency line-of-credit of the Gambia Commercial and DevelopmentBank (GCDB). GCDB will, however, need external financing to replenishits foreign currency reserves (4.5).

9. Energy Pricing The Government's policy is not to subsidize pe-troleum; as a result, prices fully reflect the cost of imports. Retailprices are well above the c.i.f. import 'Levels due to high Governmentduties. Retail prices are adjusted on a semiannual basis after consulta-tion with the private oil marketing compan:ies. The differential betweenretail prices for petroleum products in Senegal and the Gambia has beenalmost completely eliminated in the past two years. Despite regular in-creases that have more than doubled electricity tariffs in 1976, GUC isstill facing financial difficulties. GUC has, however, been able to im-prove its liquidity position by adopting cost-cutting measures and by re-ceiving strong Government support to pursue outstanding bills. AlthoughGUC had requested another 20% increase to be effective in September 1983,the Government is reluctant for social reasons to approve further in-creases until GUC exhausts other avenues for reducing costs. As the op-erating losses for provincial stations are also a major contributor toGUC's high costs, the Mission has also recommended that the scope of theproposed study of provincial electricity systems to be funded by theIslamic Development Bank be expanded to include a detailed assessment ofthe costs to GUC of operating and maintaining such isolated systems.Fuelwood prices are not controlled by the Government. At current prices,fuelwood remains the cheapest energy source for cooking in the Gambia.

Development of Indigenous Energy Resources

l0o Fuelwood The first phase of the Gambia-German Forestry Project(GGFP) is almost complete, and a second phase which is estimated to costDM 5.0 million (US$2.0 million) is to start in November, 1983. The USAIDsponsored Forestry Project also has been completed. Because of the highcosts of establishing fuelwood plantations, future support from USAID maybe for only communal woodlot schemes. The Mission endorses the GGFP re-commendation that greater emphasis be placed on managing the country'snatural woodlands to sustain the production of fuelwood and other forestproducts. This approach will be developed during the second phase of theGGFP. In the Mission's view, the Department of Forests (DOF) needsstrengthening at the professional level to effectively carry out theproposed approach. At least five more persons need to be trained to theBachelor's and/or Master's level before DOF can adequately manage itsfield operations staff under a proposed five-zone system. In theMission's view, the efforts of the GGFP need to be supplemented by tech-nical assistance: (i) to do a comparative analysis of the financialaspects, including evaluation of economic costs and benefits of alter-native schemes for producing fuelwood in relation to the different mar-kets in the Gambia; and (ii) to evaluate the appropriateness of existinglicense fees and royalties (3.4).

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11. Oil and Gas The Gambia is collaborating with Senegal andGuinea-Bissau in a joint study of the region's sedimentary basin. Pro-gress is being made by the Government's consultants, Atlantic ResourcesLimited of Portugal, who have completed the first stage of retrieving,reevaluating and reprocessing available geological and geophysical dataon the basin. The Government is also being assisted by the PetroCanadaInternational Assistance Corporation (PIAC) who also has completed a 600km marine seismic survey in part of the basin. The data will also beused for the regional basin study (3.9).

12. Hydropower There is no hydropower potential in the Gambiabecause of the very flat nature of the country's landscape. The maximumelevation of the country is only 30 meters. The Gambia will have accessto future hydropower developments upstream on the river because of itsmembership on the Joint Commission for the Development of the GambiaRiver (OMVG). The prospects for obtaining hydropower supplies throughthis arrangement before the 1990s are remote (3.7).

13. Peat Recent discoveries of mangrove peat occurrences alongsections of the Casamance River in Senegal have raised some interest inthe possibility of similar occurrences along the Gambia River. However,there is the likelihood that the fuel quality of any mangrove peat depos-its found along the Gambia River will be as poor as that of the depositsin western Senegal which were found to have a high ash and salt content.In the Mission's view, a limited reconnaissance survey would appear to bethe next step for the Government (3.10).

Institutional Framework for Energy Planning

14. Further to the recommendations contained in the final report onthe Energy Survey and Master Plan Study (EMPS) on the Gambia (financed bythe United Nations Sudano-Sahelian Office), the Government established aNational Energy Commission (NEC) comprising public and private officialsto advise the Cabinet on energy matters. The Energy Unit, first estab-lished within the Ministry of Economic Planning and Industrial Devel-opment (MEPID) to monitor and review the EMPS, is to function as thepermanent secretariat to the NEC. The Energy Unit currently is staffedon a part-time basis with a Principal Planner and an expatriate technicaladviser to the MEPID. The Government has allocated resources for MEPIDto recruit an economist to work full-time in the Energy Unit. The econo-mist will be supervised by the Principal Planner of MEPID and continue toreceive support from other MEPID staff as required. A resident expatri-ate energy economist/planner also will be needed for about 18-24 monthsto assist in establishing the unit, defining its work program vis-a-visNEC's priorities. In the Mission's view, the need for the expatriateenergy economist/planner is critical during the formative years of theEnergy Unit and NEC because the counterpart economist is likely to havelittle energy sector experience (5.2).

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Implications for External Assistance

15. The most pressing requirement for external financial assistanceis for the emergency overhaul and rehabilitation of the eleven provin-cial, diesel-based power generating systems. About US$1.0 million inspare parts is urgently required to prevent. the possible permanent break-down of some units. A substantial part of the investment required toreestablish adequate electric power generating capacity for the Banjulsystem has recently been secured from bilateral assistance programs withJapan and West Germany. However, because of the large suppressed demandfor electricity services in the Banjul area, additional capacity will berequired soon after 1985. The Solar Retrofit Program will require ex-ternal. financing of about US$0.6 million for solar water heating equip-ment.

16. The main focus of external technical assistance for energy de-velopment in the Gambia should be institution building in the operationalentities (GUC, DOF, Geological Unit), and planning/investment programmingtasks to be carried out by the Energy Unit of MEPID and the NEC. Theseare discussed in Chapter VI and terms of reference are presented in AnnexII.

Summary of Technical Assistance Requirements a/

Estimated Cost b/Sector (IJS$ '000) Source

PowerRehabilitation of Provincial Systems 100 UK-ODARural Electrification Program Review not determined ISDBMedium Term Power Plan for Banjul System not determined KfW/GTZ

Institution BuildingResident Energy Economist/Planner

(18-24 months) 240 none identifiedGUC Diesel Mechanics Training Program not determined none identifiedProfessional Forestry Training not detrmined none identifiedPetroleum Supplies Specialist 50 none identifiedForestry Economist 12 none identified

Energy DevelopmentSolar Retrofit Program 150 none identifiedPilot .Mangrove Harvesting Program 20 none identified

a/ Details in Annex II.b/ Estimated at US$10,000 per man-month of specialist consulting.

Source: Mission estimates

I. ENERGY AND THE ECONOMY

Country Economic Situation

1.1 The Gambia is geographically surrounded on three sides bySenegal. The country's total land area of 10,360 sq. km lies entirelywithin the lower basin of the Gambia River. 1/ The maximum elevation ofthe Gambia is 35 meters, and there are three main ecological regions:the mangrove belt which borders the river from its mouth at the AtlanticOcean to over 240 kilometers inland; the swampy areas lying on slightlyhigher ground known as the "banto faros"; and the sandstone plateau wheremost of the crops are grown. The climate in the Gambia is Sahelian witha long dry season (November to May) and a season with sparse rainfall(800 mm to 1700 mm in June through October). The Gambia is currentlysuffering the effects of a prolonged drought. The latest census (1983)estimates the population at 696,000, giving a population density of about70 persons per square kilometer. Urban incomes are reported to be overfour times those of rural areas. Consequently, the rural to urban driftis high and the urban population growth rate has averaged 7.0% a year,compared to 2.9% a year for the country overall.

1.2 The Gambian economy is based on agriculture and commerce. In1981, it had an estimated GDP of US$250 per capita. Activities in themodern sector are based on commerce and transport and reflect Gambia'srole as an entrep8t serving parts of Senegal and other neighbouringSahelian countries. The value of commodities reexported through theGambia increased from D 1.5 million in 1974/75 to D 18.2 million in1979/80. Another growth sector is tourism, 2/ which currently accountsfor about eight percent of GDP and provides direct employment for some2700 persons. Industrial activity is still limited to groundnut oilmilling by the Gambia Produce Marketing Board (GPMB), a brewery, somebrick making enterprises and a shoe factory.

1.3 GDP growth in the Gambian economy was 2.9% p.a. (in constant1976/77 prices) during the First Plan period (1974-1980). Since thepopulation grew at 2.9% p.a. during the same period, there was no realgrowth in per capita GDP. The decline in the agricultural sector outputwas offset by increased transit trade activity and by an increase inGovernment services and public works. The share of GDP from constructionand public works grew from 18% to 27% during the First Plan. The Govern-ment expects a 5.1% p.a. real GDP growth during the current or SecondPlan period (1980-1986) based on a recovery of groundnut production fromthe 1980/81 record low level of 45,000 tonnes, to 135,000 tonnes a yearby 1986. However, during the Second Plan, the Government expects: (i) a

1/ The Gambia is a member country of the Organisation de Mise en Valeurdu Fleuve Gambia (OMVG).

2/ The Gambia attracts mostly beach-oriented tourists from Europe.

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stabilization of imports and the reexport trade; and (ii) a reduced pub-lic investment program. 1/ Preliminary estimates of actual GDP (constant1980/81 prices) for the initial three years of the plan period are shownin Table 1.1.

1.4 The Mission's commercial energy demand projections are to someextent based on expected trends in the transport, commerce and construc-tion sectors. Specifically, the demand for diesel oil and gasoline islikely to stagnate because of reduced construction and freight transpor-tation activity but should increase from use by a larger bus transportfleet of GTP, 2/ the commissioning of some 8 MW of diesel generatingcapacity at the Kotu Power Station, and a six percent p.a. growth in thefleet of taxis and mini-buses.

Table 1.1: GDP Projections and Trends (1980-1983)(Constant 1980/81 Prices)

1980/81 1981/82 1982/83 1983/84 1984/85 1985/86

Total GDP at factor cost 369.0 411.1 439.8 459.5 481.4 502.6(2nd Plan Projections)

Actual GDP at factor 353.6 389.7 422.1 - - -cost a/ (estimates)

a/ Preliminary estimates by MEPID

Source: NEPID

Petroleum Imports

1.5 The Government is having serious difficulties servicing thecountry's growing oil import bill because of declining groundnut produc-tion and export prices which have reduced foreign exchange earnings tocritically low levels. The net effect has been that oil imports whichabsorbed only about 9% of commodity export earnings in 1974/75, nowaccount for over 22% of such earnings in a good year. In a bad year suchas 1980/81, when the country was particularly hurt by the very poor

1/ Construction activities have slowed down, mainly because of reducedGovernment development (in 1982/83) and a reduction in private con-struction of commercial buildings such as for the tourist industry.

2/ GTP plans to increase its fleet of buses from 20 to 45 by December11983, and to 70 by mid-1984.

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groundnut harvest, oil imports absorbed about 70% of commodity exportearnings (Table 1.2). The outlook for.a general improvement is not hope-ful, as export prices for groundnuts are not expected to improve muchover current levels, and the Government may eventually be compelled tointroduce some form of rationing petroleum products to ensure essentialsupplies for important sectors of the economy.

Table 1.2: Cost of Petroleum Imports(million Dalasis)

1974/75 1976/77 1978/79 1980/81

Total Petroleum Imports 7.9 11.3 21.0 39.3

(i) Petroleum as % of mer-chandise imports (c.i.f.) a! 8.9 6.7 9.5 14.2

(ii) Petroleum as % of merchan-dise exports (f.o.b.) a/ 9.3 10.3 22.3 70.3

a/ includes reexported goods.

Source: MFT

Energy Balance for 1982

1.6 In 1982, annual per capita energy use in the Gambia (1982) wasabout 0.25 toe (1.7 boe). Wood and groundnut residues 1/ accounted for70% of total energy supplies. However, since estimates of fuelwood con-sumption are much less reliable than for the other commercial fuels, thecontribution of wood may have been overstated (2.24). Electricity gener-ation is diesel based. The total supply of commercial energy (petroleum)in the Gambia was 53,400 toe or 77 kilograms of oil equivalent on a percapita basis. This is one of the lowest in Africa.

1.7 The transport sector accounts for 54% of overall petroleum use;Government services, including the operation of its vehicles, consume 24%of petroleum, and the industrial and commercial sectors combined use upabout 10%. The main source of energy used by households is wood. House-holds however, account for about three percent of the petroleum used inthe form of kerosene and electricity in the Gambia. The 1982 energybalance (Table 1.2) must be further refined as data improve and when theEnergy Unit of MEPID becomes fully operational.

1/ Only groundnut residues used by GPMB at Denton Bridge Mill are in-cluded in the energy balance.

Table 1.4: The Gambia: Energy Balance 1982 a/('000 toe)

Total Groundnut Total TotalPetroleum Electricity commercial Fuelwood b/ Residues Noncommercial Energy

Primary SuppliesProduction - - - 125.0 1.6 126.6 126.6Imports 53.4 - 53.4 - - 53.4

Total 53.4 - 53.4 125.0 1.6 126.6 180.0

ConversionPublic Power Generation (9.2) 9.2 - - - -

Conversion Losses (5.5) (5.5) - - (5.5)Distribution Losses (0.8) (0.8) - - - (0.8)

Net Supplies 44.2 2.9 47.1 125.0 1.6 126.6 173.7

Final ConsumptionResidential 0.4 1.1 1.5 110.0 - 110.0 111.5

Industry/Commercial 3.3 1.2 4.5 15.0 1.6 16.6 21.1

Agriculture 4.5 - 4.5 - - - 4.5

Transport 25.4 - 25.4 - - - 25.4Government/Others 10.6 0.6 11.2 - - - 11.2

Total 44.2 2.9 47.1 125.0 1.6 126.6 173.7

a/ Negative flows indicated by parentheses. See Annex I for notes.bi/ Although some charcoal is still produced and used in the Gambia, no data are available.

Source: Mission estimates.

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II. ENERGY DEMAND, PRICES AND SUPPLY OPTIONS

Petroleum

Historical Demand

2.1 Petroleum requirements in the Gambia consist of gasoline (pre-mium and regular), diesel oil (gasoil), kerosene, LPG, and aviation (jet)fuel. LPG was introduced in 1975. The consumption of liquid productsgrew from about 30,000 toe in 1975 to 54,000 toe in 1982. There was asteady growth in the demand for diesel oil (14.9% p.a.) and aviation fuel(11.2% p.a.) but the demand for gasoline has dropped sharply from the1980 level (Table 2.1). Data supplied from Shell Co. also indicate asubstantial switch from regular to premium gasoline in 1982. 1/ The in-crease in demand for aviation fuel reflects the increased air traffic dueto tourism and the commissioning of the new international airport. Theuse of LPG, which is imported and marketed in bottles, has dramaticallyreduced the demand for kerosene. Data on LPG show sales to be somewherebetween 200 and 400 tonnes a year.

Table 2.1: Petroleum Consumption (1975-1982)(million liters)

average growth % p.a.Fuel Type 1975 1980 1982 (est) (1975-1982)

Aviation Fuel 3.81 6.05 8.02 11.2Gasoline 17.50 26.52 21.59 3.0 c/Kerosene 1.59 1.28 0.50 -15.2Diesel Oil 12.71 26.15 33.07 b/ 14.9

Total 35.61 60.00 63.87 8.7

a/ Combines premium and regular gasoline sales.b/ Combines diesel oil sales by oil companies plus direct imports by

GUC.c/ Gasoline demand grew at 8.7% p.a. until 1980 and declined 9.8% p.a.

from 1980 to 1982.

Source: Shell Co., GUC, Energy Master Plan Study

1/ The breakdown in consumption between regular and premium gasolinewas 12,430 m3 and 11,120 m3, respectively, in 1981; but 4,701 m3 and16,890 m3 in 1982. Disruptions in supplies of regular gasolineappear to have caused this switch.

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2.2 A sectoral breakdown of consumption is not available for 1982but is likely to resemble that of 1980 (Table 2.2). The main petroleumconsuming sectors are transport, construction and electricity generation.Goverrment services consumed just over six million liters of gasoline anddiesel oil combined in 1980 (Table 2.3). The Government's concern aboutwaste has led to the introduction of mandatory fuel allocations for itsfleet vehicles. The effects of this directive on conserving fuel needsto be ascertained during the preparation of the contingency allocationplan (2.10).

Table 2.2: Gasoline/Diesel Consumption by Sector (1980)(Percent)

Sector Gasoline Diesel

Agriculture a/ 12.1 8.1Industry/Commerce b/ 0.7 10.9Transport 67.3 23.4Public Sector c/ 19.9 23.9Power Generation - 33.7

Total 100.0 100.0

a/ includes consumption by fishing enterprises.b/ includes consumption by hotels.c/ includes consumption for administrative services, public

works andL construction.

Source: Oil Marketing Companies; EMPS, May 1983

Table 2.3: Petroleum Consumption by Government Service (1980)(percent)

Zone Gasoline Diesel Total

Banjul/Kombo St. Mary 61 71 63Lower River 22 17 21Upper River 12 9 11North Bank/McCarthy 5 3 5

Total (million liters) 4.90 1.38 6.28

Source: EMPS

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Petroleum Projections

2.3 Petroleum demand projections in the Gambia are based on the rateat which power generation capacity can be restored in Banjul since thereis substantial suppressed demand for electricity. Banjul power genera-tion capacity is projected to increase from a current peak level of 7.3MW to over 13 MW by 1990. The growth in petroleum demand from non-powersectors is relatively low because of: (i) the expected lower levels ofimport/export trade activity; and (ii) reduced public works activities.The increase in the fleet of taxis, mini-buses and the GTP bus fleet alsowill contribute to some growth in petroleum demand. Overall petroleumdemand (excluding LPG) will increase at (a) eight percent a year up to1985, representing an increase in per capita consumption of about threepercent a year; and (b) about seven percent a year from 1985 to 1990.Diesel oil demand will continue to grow at a much higher rate than theother products. As prospects for kerosene are uncertain, they areassumed to remain roughly at current levels.

Table 2.4: Petroleum Demand Projections('000 toe)

(1982-1990) GrowthProduct 1982 1985 1990 % p.a.

Aviation Fuel 6.7 8.9 13.1 8.7Kerosene 0.4 0.5 0.5 2.5Gasoline 16.8 16.8 20.4 2.5Diesel Oil (non-power) _/ 20.3 23.3 30.8 5.3Diesel Oil (power) 9.2 17.6 28.3 15.1

Total 53.4 67.1 93.1 7.2 a/

a/ weighted average growth rates will differ if units other than toeare used.

b/ incorporates savings of about 600 toe per annum due to solarretrofit program (4.5).

Source: Mission Estimates

Petroleum Prices

2.4 Retail prices are adjusted on a semi-annual basis after consul-tation between the Ministry of Finance and Trade and representatives ofthe oil marketing companies. The pricing formula is based on the follow-ing elements and margins: (i) landed cost, c.i.f., in Banjul; (ii) Gov-erinent duties; (iii) terminal and storage depot charges; (iv) marketingmargin; and (v) retailing margin (Table 2.5). Since March 1983, the

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Government has been importing products froma Senegal through a temporaryarrangement with the SAR Refinery in Dakar. The arrangement allows for awaiver of Senegal Government duties on petroleum products destined forthe Gambia. But other Senegalese taxes must be paid, hence a much higherlanded cost in Banjul of supplies brought in through this arrangement(Table 2.6). Prevailing retail prices (as of April 1983) in differentzones of the Gambia are presented in Table 2.7. Although the differen-t:ial between petroleum prices in Senegal arLd the Gambia almost has beeneliminated in the past two years, there may be a need to revise thepricing formula to equalize retail prices across provinces or zones asSenegal has done.

Table 2.5: Price Buildup for Petroleum Products in Banjul(post-April 1983 in Bututs per liter)

Premium Gasoline Regular Gasoline Diesel Oil

c.i.f. (Banjul) 84.0 80.0 77.0

EDuties 83.00 83.00 76.00Terminal Charges/Losses 2.45 2.42 2.31Diepot Charges 2.00 2.00 2.00

Ex-depot Price 171.45 167.42 157.31

Distribution Expenses/Marketers' & Retail Margins 17.55 16.58 16.69

Retail Prices (Banjul) 189.00 184.00 174.00

Source: Oil Companies; Customs Department

Table 2.6: Recent Changes in Landed Cost of Petroleum Products(Dalasis per liter c.i.f.)

Product December 1982 July 1983 a % change

Premium Gasoline 0.52 0.84 61.5Regular Gasoline 0.51 0.80 56.9Kerosene 0.56 0.78 28.2Diesel Oil 0.51 0.77 51.0

a/ Supplies from Senegal.

Source: Customs Department

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2.5 The price of bottled LPG, which is imported by Shell, GUC andseveral private enterprises, 1/ is unregulated. Current wholesale 2/ andretail prices of Shell are D 38.00 and D 40.00 per 12.5 kg bottle, re-spectively. A significant amount of LPG in small 2.7 kg bottles 3/ isimported through unofficial channels from Senegal, where the Governmentmaintains a large subsidy as part of a 'butanization' program. TheMission finds no justification for introducing a similar LPG subsidy inthe Gambia.

Table 2.7: Retail Prices for Petroleum Products by Zone (April 1983)(Dalasis per liter)

Zone a/ Regular Gasoline Premium Gasoline Kerosene Diesel Oil

1 1.89 1.84 1.69 1.742 1.91 1.86 1.71 1.763 1.92 1.87 1.72 1.774 1.94 1.89 1.74 1.795 1.95 1.90 1.75 1.806 1.97 1.92 1.77 1.82

a/ See Annex VI for description of zones.

Source: Petroleum Marketing Companies

Petroleum Supply Arrangements

2.6 Current difficulties with petroleum import arrangements in theGambia reflect the breakdown of the West African Replenishment Program(WARP) for supplying products, and the country's foreign exchange prob-lems which have caused some delays in paying for delivered products. 4/In March 1983, the Government introduced a temporary arrangement wherebypetroleum was to be imported by the oil companies from the SAR refineryin Dakar. The Mission reviewed several aspects of the petroleum supply

1/ Mobil previously was involved in marketing LPG.

2/ Wholesale prices of LPG are on average 20% higher than the importcost, c.i.f.

3/ The small bottles are known locally as the 'Blip Banekh'.

4/ Petroleum products are imported by the private oil marketing com-panies, Shell (West Africa) Ltd., BP (Gambia) Ltd., and Texaco(Gambia) Ltd. Mobil has suspended its operations in the Gambia.

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issue as a basis for assessing what measures the Government could take toimprove matters.

2.7 Until the mid-1960s, deliveries to the Gambia and several othercountries in West Africa 1/ were handled jointly by several internationalmajors under the WARP system. Under WARP, each of the companies de-livered products into petroleum storage depots at ports along the WestAfrican coast on a three-month rotation. Subsidiary oil marketing com-panies in each country then lifted products from these depots to meettheir individual market shares. The system functioned efficiently andsubstantially improved the logistics of supply to the region. 2/ Thesystem also provided significant savings to countries in the region astheir individual markets for petroleum during the 1960s were too small towarrant separate deliveries. Later in the 1960s, the larger countries inthe region such as Ghana, Nigeria, Cameroon, and the Ivory Coast, optedout of the WARP pooling arrangements in favor of new arrangements whichincluded establishing national refineries. 3/ By the mid-1970s, thecoverage of WARP had been greatly reduced and the oil companies decidedto freeze operations under WARP. The Gambia currently is serviced byTexaco, BP and Shell through separate deliveries. Shell's operations arenow confined to operating the storage depot in Banjul (2.11).

2.8 The country's precarious foreign exchange situation has compli-cated matters in recent years because it has undermined the ability ofthe private oil companies to maintain their 90 day credit facility forsupplies to the Gambia. 4/ The decision by Mobil to suspend its oper-ations in the Gambia and that by Shell to withdraw from marketing prod-ucts can be attributed in large part to this problem. On a number ofoccasi'ons petroleum stocks have fallen to critically low levels and theGovernment has had to resort to emergency purchases from Senegal. TheGovernment's decision to procure products through Senegal was therefore anecessary albeit temporary measure to arrest a worsening situation. TheGovernment's rationale for this new arrangement was that the Gambia had

1/ Senegal, Ivory Coast, Ghana, Nigeria and Cameroon were part of WARP.

2/ WARP simplified the logistics of supply for the companies by allow-ing easier purchases from sources in either Europe, the Mid-East orthe Caribbean, depending on prices and the availability of tankers.

3/ Ghana, for examp:Le, constructed a ref'inery in a joint venture withENI, the Italian Oil Company.

4/ Each of the companies has a credit arrangement with its parent com-pany. Texaco (Gambia) Ltd., for example, is in large arrears on itspayments to Texaco International and the amounts involved have beenescalating in local currency terms because of appreciation of the USdollar.

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better access to CFA francs (through the West African Monetary Clearing-house) to settle its petroleum import bill than to the rapidly appreciat-ing US dollar. Nevertheless, this move has led to significant increasesin the landed cost (c.i.f.) of the products (Table 2.5) because of therequirement to pay Senegal's petroleum taxes, 1/ higher freight andhandling charges from Dakar to Banjul, and the higher ex-refinery pricesat the SAR Refinery in Dakar.

2.9 The Government would like assistance in establishing a morepermanent supply arrangement which could both reduce costs and ensuresecurity and continuity of supplies. In the Mission's view, technicalassistance for a comprehensive evaluation of the costs of alternativearrangements for importing petroleum products should be a first step.The Government could also examine the option of extending the recentlyestablished Special Oil Purchasing Facility for supplying GUC's dieseloil requirements to cover the entire country's needs. 2/ The currentarrangement with the Islamic Development Bank (ISDB) would, however, needto be modified to allow for the financing of deliveries on a quarterlybasis.

2.10 To improve the internal management of supplies and stocks, theMission sees a need for the Government and the private oil companies totake measures to replace the current ad hoc system for allocating petro-leum products during shortages with a more uniform system, using criteriawhich ensure an uninterrupted flow of essential supplies to importantsectors of the economy. The Mission recommends technical assistance fordeveloping a contingency allocation plan which would respond to varyingsevernties of shortages by introducing rationing on a voluntary andmandatory basis (Annex II).

Petroleum Handling Facilities

2.11 Existing facilities for handling petroleum supplies and distri-bution in the Gambia consist of: (i) an oil pipeline for dischargingsmall tankers 3/ at the Banjul Main Wharf; (ii) a storage depot located

1! Supplies for the Gambia are exempted from Senegal duties but nottaxes.

2/ This Special Oil Purchase Facility allows for the direct supply ofdiesel oil from Algeria to GUC and is financed by the IslamicDevelopment Bank (ISDB). Two consignments of 9 million liters ofLDO in November 1981, and 7 million liters of LDO in 1982, have beendelivered to GUC.

3/ The average size of these tankers is 16,200 gross registered tonnage(grt). An ongoing project, the Banjul Second Port Project (IDACredit 3073-GM), includes financing for emergency rehabilitation ofthe wharf and repairing fire fighting systems.

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in Banjul; and (iii) about 42 retail stations. 1/ The petroleum storagedepot, which covers an area of about 1050 square feet in the commer-cial/residential section of Banjul, was built by the UK Royal Navy whichoperated it until 1949. Shell now owns and operates the depot which isalso used by BP and Texaco who pay a throughput charge for storing theirproducts. Available storage capacities by product type are indicated inTable 2.8. The Government is concerned about the safety of the depot inits present location. Although the risk of fire at the depot has beensubstantially reduced since Shell installed an automatic fire protectionsystem, the officials still would prefer to have the depot relocated.This would require the construction of a new depot, most likely locatedon land reclaimed as part of the Banjul Port Expansion program. The nextstep should be a detailed feasibility study to determine the costs ofbuilding new facilities. 2/ It is also not clear what portion of theinvestiment required for this new depot will need to be financed by theGovernment. In the Mission's view, the Government should not decide onthis matter until the results of a study, which could be done as part ofthe technical assistance program (Annex II), are complete.

Table 2.8: Product Storage Capacities at Banjul Depot(million liters)

Product Capacity

Premium Gasoline 2.37Regular Gasoline 2.93Kerosene 2.37Diesel 6.65Reserve (Standby) 1.81

Total 16.00

Source: Shell Co. (West Africa) Ltd.

1/ The retail stations are owned and operated by private dealershipswhich are financially independent of the marketing companies. Thecombined total capacity of these stations is about one millionliters.

2/ The IDA-financed First Banjul Port Project (Credit 187-GM) identi-fied and made provision for a new storage depot site. The Govern-ment's consultants PORTCONSULT have started implementing studiesrelating to the port expansion, but no special studies on a newpetroleum storage depot are included. The site is located adjacentto the Bund Road, about 0.5 km from the Banjul Port Terminal.

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Electricity

Historical Demand

2.12 The public power supply system in the Gambia consists of aninterconnected grid serving the Banjul area, and isolated small dieselgenerating systems in several of the administrative centers in theprovinces (IBRD Map 17424). There are a large number of small privategenerators, and Gambia Produce Marketing Board (GPMB) generates part ofits own power requirements using groundnut shells at its oil millingfacility at Denton Bridge. As there are no data on private generation,the review in this section covers only the operations of the GambiaUtilities Corporation. The reliability of GUC sales data is also poorbecause of frequent outages and load shedding in the Banjul area sincethe 1977 explosion which destroyed the Half Die Station (HDS), and ex-tremely high losses which are partly attributable to fraud and unmeteredconsumption (2.18). The average growth in sales to the Banjul area was12.5% p.a. over the period 1975 to 1982 (Table 2.9). Sales in the prov-inces have increased fivefold since 1975, due to an extension of serviceareas and connections. Table 2.10 shows generation and sales statisticsfor the provincial stations in 1982. Problems with operations at provin-cial stations are discussed below (2.17).

Table 2.9: Electricity Statistics for Banjul System(MWh)

1975-1982Sales Category 1975 1982 average growth rate

(% p.a.)

Government 1242 3930 17.9Street Lighting 141 260 9.1Domestic 6321 12600 10.4Industrial/Commercial 3318 5920 8.6Hotels 1840 6920 20.8GUC Waterworks 1393 2900 11.0

Total Sales 14255 32530 12.5Total Generation a/ 20245 41040 10.6Losses (%) (30) (21)

a! Total Generation, less station's own power use.

Source: GUC

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Table 2.10: Electricity Statistics for Provincial Systems, 1982( MWb)w

Total a/ SalesSystem Location Generation GUC Workshop Other Customers Totals

Brikama 550.0 45.0 419.0 464.0Mansakonko 250.0 28.0 182.5 210.5Farafenni 550.0 30.0 434.5 464.5Georgetown 270.0 20.0 207.5 227.5]3ansang 380.0 16.0 204.5 220.5Bansang 650.0 50.0 498.5 548.5

a/ Including power house consumption.

Source. GUC

E]lectricity Tariffs

2.13 Despite regular increases 1/ which more than doubled electricitytariffs between September 1976 and August 1979, GUC's financial positionhlad worsened in 1979. The main causes include losses of revenue due togenerator breakdowns, inefficient power distribution, and rapid fuel oilprice increases. Fuel prices rose from 28.8 bututs per liter in 1975 to73.0 bututs per liter in 1981. Fuel costs increased from 40% of operat-ing expenses of GUC's Electricity Division in 1975 to about 54% in 1982(Table 2.11).

Table 2.11: Fuel Costs in GUC Powier Generation (1982)(% of total station opera.ting cost)

Fuel Cost

Banjul SystemKotu 85.6Half Die 50.9

Total Banjul 72.1

Provincial SystemsBrikama 74.5Mansakonko 53.2Farafenni 60.0Georgetown 57.5Bosang 55.6Basse 65.7

Total Provincial 53.7

Source: GUC Annual Report (Electricity Division)

1 Tariffs were raised 33% in September 1976; 15% in October 1977, and33% in August 1979.

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2.14 In August 1981, the Government approved a major financialrecovery plan for GUC, which included a 15% increase in electricitytariffs effective October 1, 1981. The Government also agreed to coverGUC losses on the provincial electricity power systems. The Governmentapproved another tariff increase (20% for electricity, 15% for water) inApril 1983 (Table 2.12). This increase helped GUC reduce its financiallosses by about 50% (from about D 6 million in FY82/83). The Governmentis reluctant for social reasons to approve any further increases intariffs 1/ until GUC exhausts other avenues for reducing costs (2.19).GUC has adopted some cost cutting measures which include laying off tem-porary staff and vigorously pursuing outstanding bills. Several cus-tomers with large outstanding bills have been disconnected. GUC's liqui-dity position appears to be improving and its bank overdraft has beenreduced by D 0.5 million (40%).

Table 2.12: GUC Electricity Tariffs(Dalasis)

October 1981 April, 193 Increases (1981-83)Tariff Category Rates a Rates ' (%)

General/DomesticFirst 30 Units 0.33 0.33Next 100 Units 0.37 0.40 8.1Next 1000 Units 0.40 0.48 20.0Balance 0.42 0.51 21.4Minimum Charge 10.00 10.00 -Reconnection Fee 15.00 15.00

Street Lighting 0.35 0.35 -

Commercial/IndustrialPer kVA Recorded .! 35.00 42.0 20.0Per Unit 0.26 0.31 12.2Minimum Charge d/ 1600.00 1900.00 18.7

a/ became effective October 1981.b/ approved by GUC Board in November 1982, but not yet effective.c/ maximum demand meter reset annually.d/ also charged if customer is disconnected for nonpayment of arrears.

1/ GUC had requested another 20% increase for both electricity andwater services for September, 1983.

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Power Supply Options

2.15 Restoring Generating Capacity in Banjul System Ever since theNovember 1977 explosion which destroyed one 2.2 MW diesel unit and seri-ously damaged another 2.2 MW diesel unit at the Half Die Power Station(HDS), the Banjul area has been short of power. GUC was able to restorepower supply to the area temporarily through emergency purchases ofreplacement generators. The African Development Bank later financed theconstruction of a new power station at Kotu which was commissioned inmid-1981. The nominal ratings of diesel generators currently installedat the two stations in the Banjul grid are::

(i) Half Die Station (HDS)3 x 775 kVA Caterpillar4 x 1000 kVA Mirrlees Blackstone (rated 3.3 kV; 1000 rpm)1 x 2750 kVA Mirrlees K8 Major

(ii) Kotu Power Station (KPS)2 x 4300 kVA Mirrlees (rated 11 kV; 600 rpm).

Various factors including aging, high speciLfic fuel consumption rates andlack of spares and maintenance have reduced the available firm capacityof the HDS to 1.0 MW. The KPS, which has a firm capacity of 3.4 MW, tookover base load generation in July 1982, and the HDS now is only used forproviding daily peaking capacity (Figure 1). GUC incurs high losses bykeeping the HDS in daily operation (about D 1.2 million a year) andtherefore proposes to have the station retired from service as soon asnew capacity is commissioned at KPS. GUC, however, plans to retain twoof the Mirrlees Blackstone Units as an emergency reserve at HDS in caseof a major breakdown at the KPS (e.g. due to severe weather). Otherarguments for shutting down HDS are its remoteness from the main loadcenter which is the Kombo St. Mary area, 1/ and the poor state ofphysical facilities at HDS which would require major civil works torestore it for slow speed diesel units using heavy fuel oil (2.20).

2.16 The KPS will be maintained as the central power station for theBanjul grid and, because existing civil structures at the KPS can accom-modate five units, three new generators will be installed in addition tothe existing two Mirrlees Blackstone units. GUC has secured financing ofUS$4.5 million (DM 7.0 million) from the German Agency, KfW, to expandthe KPS during 1984-85. 2/ The Japanese government also has provided theGovernment with a grant to purchase one addLitional diesel generator (5.0-6.0 MW) for KPS. The Mission was informedL that the unit supplied under

1/ The scope for further urban expansion in central Banjul is verylimited.

2/ The concessional loan from KfW would provide approximately D 7.0million for one 3.8 MW diesel unit, and D 2.0 million to expand theBanjul transmission/distribution system.

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BANJUL POWER SYSTEM LOAD FORECAST (SHORT-TERM)

14

13-

10 ow|ePr Grwh

8~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~12~~~~~~~~~~~~~~~~~~.'

Peak Load 7.25MW Wth Reduced |Voltage and LoAd Shedding Nta

7 _ Capaclty Inst./Avallable Kotu /w

Firrn Capacity at Kotu

1973 1975 1977 1979 1981 1983 1985

StInsuMfclent Generating Cpo&)ciySourctP: GUC

Worici Bank -25537

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the Japanese grant will be installed in late 1984, and the other twofinanced by the KfW in late 1985. Until then, the Banjul system willcontinue operating with frequent load shedding, especially during periodswhen one of the two units at KPS has to be shut down for routine mainten-ance. Until the proposed study to determine the medium term (10 year)load forecast for the Banjul system is completed, 1/ GUC plans to expandcapacity as quickly as possible through available financing. GUC'sshort-term load forecast (Figure 25537) clearly illustrates the nature ofthe current deficit in generation capacity. In the Mission's view, anadditional diesel generator -- possibly another 3.8 MW diesel unit -- maybe required at KPS before 1990 to allow GUC to cope with the backlog ofoutstanding connections. 2/

2.17 Provincial (Rural) Electrification The Government's objectivesfor provincial or rural electrification (RE) are socioeconomic: (i) tostimulate rural development, including attracting industrial activity tothe provinces; and (ii) to counteract the rural to urban drift. REservices consist of some 5.2 MW of installed small isolated diesel gener-ating stations for vital administrative and social services at mostprovincial centers. The RE targets during the past Plan period were notachieved because resources had to be diverted to tackle the emergencysituation in Banjul. Nevertheless, new RE services were introduced atFarafenni, Basang, and Mansakenko. 3/ The existing provincial stationsoperate without adequate supervision and maintenance by GUC. Most oft:hem are in very poor working order and a number have broken down re-cently. 4/ The total available capacity in the provinces has beenreduced to 2.6 MW. The Mission agrees with GUC on the urgent need for anemergency program to overhaul and rehabilitate about eleven provincialdiesel-based power generating plants. In 1982, GUC had requestedM,irrlees Blackstone, the UK manufacturers of most of the units in use inthe provinces, to do a survey to ascertain requirements for such a majorunderta-king. The results of the survey indicated a need for about US$1.0million in spare parts and equipment to overhaul the units. The proposedoverhaul should prevent further damage and, possibly, the permanentcbreakdown or loss of some units which are vital for maintaining adminis-trative services in the provinces. GUC would require the services of anexpatriate diesel engineer for about one man-year to supervise the reha-bilitation program. The mission was informed that the Goverrment hadrequested UK bilateral aid for the program and was awaiting a response.

1/ The study has been proposed by GTZ and will be financed by the KfW.

2/ GUC has suspended action on applications for new connections untiladequate generating capacity is in plac:e. There are currently some2600 outstanding applications for new connections in addition to newindustrial loads due to the Plan.

3/ About D 2.0 million (US$1.0 million) has been allocated in thecurrent Plan for new RE installations.

4! Ca-terpillar Diesel Generators from HDS have been redeployed at someof the provincial centers.

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2.18 The Mission also supports the Government's plan to make a com-prehensive evaluation of the RE program. The Mission recommends that thescope of the study, which may be financed by the Islamic Development Bank(ISOB), include: (i) a review of technical and operating standards forRE services; (ii) a review of the capital requirements for such services;and (iii) a review of operating costs and the implications for annualsubsidies for RE (Annex II). 1/ Following this study, the Governmentwill be able to determine what level of RE services it can effectivelyprovide within its overall financial constraints and also whether sumsallocated to subsidizing rural electrification can be better utilized tomeet other energy needs of the rural population.

2.19 Power System Loss Reduction An evaluation done in 1975 duringthe appraisal of the IDA-financed Gambia Infrastructure and Tourism Proj-ect (Credit 602-AM) identified high electricity losses in the Banjul sys-tem -- on the order of 32%. The losses were attributed to generationlosses of HDS (2.5%), transmission/distribution losses (12%), and lossesdue to unmetered consumption and fraud (18%). A component of the projectwas designed to upgrade the rudimentary transmission system, 2/ therebyreducing the transmission/distribution component of losses from 12% to10% over a five-year period. The measures were to include installationof new transformers and circuit breakers in three 33 kV/11 kV substa-tions, construction of four new 11 kV/0.4 kV substations, and installa-tion of a total of about 5 km of overhead lines and underground cables inthe Banjul area. Unfortunately, the crisis which followed the explosionand damage of the HDS generators in 1977 disrupted implementation of theproject. A new attempt is being made under the IDA-financed EnergyProject (Credit 1187-GM) to continue rehabilitation of the Banjul trans-mission/distribution system. GUC expects that total losses will bereduced to about 12-15% at the end of 1983, after the new facilities areinstalled and after the "Special Task Force", set up by GUC to systemat-ically check meters and to investigate and eliminate unmetered consump-tion and fraud, has achieved its objectives.

2.20 Conversion to Heavy Fuel Oil The Government requested GUC toinvestigate the option of converting diesel generating units at KPS andHDP stations to slow speed operation using heavy fuel oil (HFO). TheGovernment expected that the conversion would lead to (i) a reduction in

1/ Under existing arrangements, the GUC is reimbursed for operatinglosses at the provincial stations. GUC losses from provincialoperations have increased from D 0.27 million in 1975/76 to D 0.86million in 1981/82.

2/ The transmission/distribution system was overloaded. The load ex-ceeded design thermal limits during peak hours and the number ofswitching points was inadequate. At the time, the 11 kV trans-mission system in Banjul consisted of about five miles of 30-year-old underground cable with ten indoor-type substations; and about 18miles of copper conductor overhead line in the Kombo St. Mary areaterminating at Yundum Airport.

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the fuel cost of power generation and in the oil import bill; and (ii) apossible extension in the life of generating units at the two stations.To implement this program, GUC commissioned a feasibility study which wasfinanced by KfW. The study concluded that, while both units at KPS couldbe converted to run on HFO, substantial investment in new equipment wasrequired to complete the retrofit, including: (i) a new HFO storage tankof 750 tonnes capacity; (ii) pumps for discharging and transporting theHFO from the jetty at Banjul port to the Kotu station; (iii) fuel prepa-ration facilities such as a pre-centrifugation tank and fitters; (iv) astorage tank at the Kotu power station; (v) smaller holding tanks for thedaily generation requirement (one tank for the two Kotu units); and(vi) electric preheaters for the HFO circuit. The study also indicatedthat the operational units at HDS (2.15) could be converted. 1/ Theestimated total cost of conversions was D 2.0 million, D 1e7 million forKPS, and D 0.3 for HDS.

2.21 The Mission discussed the HFO option with GUC in the context oftheir current plans to rehabilitate generating capacity in the Banjul/Kombo St. Mary system, and agreed with GUC's position that conversion toHF0 would not be an appropriate strategy for now. First, GUC cannotraise the necessary financing under the current constraints imposed bythe Financial Recovery Program, and second, the option of conversion toHFO could best fit inito GUC's plans after the base load in the Banjulsystem had exceeded 10.0-12.0 MW. Nevertheless, GUC will ensure thatspecifications for all additional diesel generators for KPS are compat-ible uith the future use of HFO.

2.22 Power Interconnection The possibility of interconnectingthe power transmission grids of Senegal and the Gambia wuas recentlydiscussed by representatives of the two Governments. Interconnectionwould involve a link-up of the GUC system with that of the SocieteS6n&galaise de Distribution D'Energie Electrique (SSDEE) at eitherKaolack or Ziguinchor. An agreement at the governmental level wouldallow GUC and SSDEE to proceed with an interconnection study along thelines proposed by the Union of Electrical Power Producers in Africa. Inaddition to determining more reliable estimates of the cost per kilo-watt/hour (including power purchases and transmission) to Gambia loadcenters, the Mission recommends that such a study include a least-costanalysis of the following options: (i) a link between Banjul, Sokone,and Kaolack; and (ii) a link between Banjul, Diouloulou, Bignona, andZiguinchor. In the Mission's view, interconnection is a long-ternm optionwhich should not be given priority until problems with the Banjul systemhave been resolved.

1/ The manufacturers of the HDS units later ruled out the possibilityof converting all but one of the units and also revised upwards theestimated cost of conversion to D 0.8 niillion.

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Woodfuel

Fuelwood Consumption

2.23 A household energy consumption survey 1/ carried out in May-June1981 as part of the EMPS provides the most recent estimates of fuelwooddemand in the Gambia. Average daily consumption was found to be rela-tively high--between 580 and 650 kg per capita on an annual basis. Allof this is in the form of wood, as charcoal production was banned in July1980 and sales are reported to have ceased by September 1980. This isequivalent to a total annual consumption for households of about 390,000tonnes in 1981, of which 291,000 tonnes were consumed by rural inhabi-tants, and 99,000 tonnes by urban dwellers. Other non-household consump-tion (for commercial enterprises, etc.) accounts for an additional40,000, bringing the national total to 430,000 tonnes for 1981. Theresults of the survey also indicate that per capita consumption patternsare roughly uniform in different regions of the Gambia. There are noreliable data on fuelwood consumption during the 1970s, so no assessmentof historical trends can be made.

2.24 In the Mission's view, the above estimates of per capita fuel-wood consumption in the Gambia need to be reevaluated because of severalfactors which are discussed in detail in a more recent report prepared bythe GGFP. 2/ These factors relate specifically to the observation in theGambia and other Sahelian countries that fuelwood consumption levels aretied more to the number of fireplaces or households than to the number ofindividuals. This being the case, projections of future demand for fuel-wood are likely to have been overestimated, as the rate of growth in sep-arate fireplaces would usually be much lower than the population growthrate. 3/ Demand could actually be half of the estimates derived from theEMPS survey, with significant implications for the rate of replantingwoodlands. The Mission expects that the USAID-sponsored fuelwood

1/ About 500 households were included in the UNSO-financed energysurvey of 1982.

2/ "Comments on the Estimation of the Present and Future Fuelwood De-mand in Sahelian Countries with Special Consideration on the Situa-tion in the Gambia" by Gambia-German Forestry Project, Banjul.

3/ The rate of increase in the number of households or fireplaces willalmost always be less than the rate of increase in populationbecause household sizes would tend to increase. Also, an increasein the number of persons per household would lead to a reduction inper capita consumption of fuelwood.

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consumption survey would be designed and implemented in a way to obtainthe necessary information to resolve these issues. 1/

2.25 Fuelwood Prices The supply to urban centers is commercializedand prices are not controlled. The standard measure is a bundle ofchopped wood. The pricing of fuelwood appears to incorporate severalcomponents, including:

(i) stumpage fees or royalties paid to the Forestry Department orlocal autlhorities; 2/

(ii) cost of handling felled logs or branches to roadside; and

(iii) transportation to urban centers.

Data collected during the survey indicate that one of the main determi-nants in pricing is the distance from point of collection to Banjul.Fuelwood is sold either directly to consumers from the roadside, or in-directly through dealers who independently arrange transportation toBanjul. Representative retail prices at the time of the mission were a'uniform1 D 1.00 per bundle but varying in weight from 20 kg per bundleon thie roadside (about 200 km from Banjul) to only about 3 kg per bundlein Banjul. 3/

Cooking Fuel Options for Urban Households

2.26 Urban households in the Gambia have access to three sources ofenergy for cooking: fuelwood, kerosene, and LPG. Charcoal was the mainfuel before 1980, when GOTG banned its production and use throughout thecountry. The extent of electric cooking irn these households is not like-ly to be very significant. An analysis of the relative prices of thesesources per unit of useful heating energy (Table 2.13) indicates thatfuelwood is much cheaper than electricity, LPG, or kerosene. There istherefore no clear price incentive for consumers to switch from fuelwood.

1/ The fuelwood consumption survey has been planned as part of the on-going project (3.3). The Mission, however, was informed that thesurvey had been postponed and probab]Ly would be incorporated in afollow-up forestry project.

2/ This is about 1 butut (0.1 dalasis) per kilogram of wood.

3/ Bundles in Banjul contain 6 or 7 smaller sticks, each weighing about0.4-0.5 kg. The size of the sticks increases in the surroundingareas up to 0.6-0.8 kg. Hence, a D 1.00 bundle outside Banjul couldweigh 4-5 kg.

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Table 2.13: Energy Equivalent Costs of Cooking Fuelin the Urban Household

Energy Fuel Retail Cooking EnergyFuel Type Content Unit Price Efficiency Cost

(Units/GJ) (bututs/Unit) (%) (bututs/Useful GJ)

Fuelwood 19.3 kg 37 b/ 0.1 7,150Kerosene 28.7 liters 147 0.3 14,063LPG 21.6 kg 283 0.6 10,188Electricity a/ 280.0 kWh 52 0.7 20,800

a/ Represents current domestic tariff for consumption above 1100 kWhper month.

b/ Based on Banjul retail price of D 1.00 per bundle of 7 small sticks,each weighing approximately 0.5 kg.

Source: Mission estimates

Stove Development

2.27 The Government has recently started a stove development programto address the issue of fuelwood conservation. 1/ The Government's im-plementing agency is the Department of Community Development (DCD) whichworks in collaboration with extension staff of DCD, DOF, and theAppropriate Technology Center at Mansakonko. The current stove programbegan in October, 1982 and is funded in part by UNSO and DANIDA. Tech-nical support for the program is being provided by personnel of theIntermediate Technology Development Group of the UK. Over the period1982-1985, the program's aims are to develop, test and begin dissemi-nation of: (i) about 1000 metal stoves (Kumba Gaye Stoves) for use withgroundnut shell briquettes and fuelwood in urban areas; and (ii) about6000 clay and sand stoves for use with fuelwood in rural communities.The project provides funds for 75% of the cost of materials used forstove making. In the Mission's view, it is too early to assess the im-pact of this program on fuelwood demand. The approach being used iscomprehensive and takes into account experiences with similar stovedevelopment projects in Africa. The targets appear to be too optimisticfor a three-year project.

1/ Other projects by DCD resulted in the development of the ALTONA ovenfor smoking fish.

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III. ENERGY RESOURCE DEVELOPMENT PROGRAMS

Overview

3.1 The Gambia's energy endowment is modest. The natural woodlandsare bieing depleted through conversion to accommodate the needs of arapid:Ly growing population. There is some possibility of economicallyexploitable oil and gas deposits offshore, based on limited past explora-tion and geophysical inference. The country is very flat, with a maximumelevation of 35 meters, which precludes any major hydroelectric poten-tial. No coal, oil shale, or uranium deposits have been discovered.Groundnut shells presently are being used for cogeneration at GPMB'sprocessing plant at Denton Bridge. The potential for wind power appearsto be limited to the coast, but the solar regime appears to be veryfavorable for applications such as water heaters. This chapter brieflyexamines the indigenous energy resources cf the Gambia and the progressbeing made to develop them.

Forest Energy Resources

3.2 There are no recent, reliable data on the extent and distribu-tion of natural woodlands in t e Gambia. The standing volume in woodlandareas is estimated to be 25 m wood per hectare. Table 3.1 shows esti-mates presented in the Energy Master Plan Study (EMPS). These estimateswould need to be revised to reflect the results of the more comprehensiveland use survey and forest inventory which has just been completed underthe Gambia-German Forestry Project (GGFP). The standing stock of man-groves is estimated to be 5.0 million m3 The results of the USAID-financed Mangrove Feasibility Study 1/ indicate that some 1.2 million m3of margrove growing upstream of the crossing point for the Trans-Gambiahighway would have to be removed after construction of the proposedYellentinda Dam. A large portion of the hardwoods could be utilizes asfuel. The remaining mangroves stands could yield about 100,000 m offuelwood on a sustainable basis if systematic harvesting methods are in-troduced. The USAID-sponsored study also indicated that the mangroveswere endangered by disease and pointed to the worsening environmentalconditions along the Gambia River.

1/ Mangrove FeasibiliLty Study by Checchi and Company, Washington, D.C.,SeBptember 1981.

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Table 3.1: Distribution of Woodlands in The Gambia (1980)

Category Area (ha)

Closed forest 7,200Woodland 155,280Woodland savannah and bush fallow 201,495Mangrove 66,770

Source: EMPS

Reforestation

3.3 The Government proposes to expand the replanting program fromthe First Plan target of 250 ha/year to 570 ha/year by the end of thecurrent Plan period. 1/ The justification for this increase appears tohave been recent evaluations of the fuelwood supply/demand situationwhich project widening fuelwood supply deficits for the future (2.24).The Mission reviewed ongoing forestry operations of USAID and GTZ in theGambia:

(i) USAID/Gambia Forestry Project: 2/ The project is due forcompletion in 1983 and the achievements include the estab-lishment of about 604 ha of Gmelina plantations and ten com-munal woodlots, each 5 ha in size. Communal woodlots willcontinue to be established during the second phase of theproject, but additional fuelwood plantations will not becauseof high establishment costs (about US$350 per ha), and thedifficulties of maintaining the plantations due to theprolonged drought and uncontrolled bushfires;

(ii) Gambia-German Forestry Project (GGFP): Phase I of the proj-ect (DM 4.0 million) has been completed and (i) a comprehen-sive land use plan has been submitted for Government review;(ii) the field work and data processing for the forest inven-tory have been completed; 3/ (iii) trials on the propagation

1/ Since 1978, the Government has sponsored an annual 'National TreePlanting Festival'. About 500,000 tree seedlings are distributedeach year to volunteers in communities for planting.

2/ USAID Project No. 635-0205 Gambia, provided services worth US$1.5million.

3/ A final report on the forest inventory is being prepared. The in-ventory will, in future, be updated by surveying quantitative andqualitative changes in the forest canopy.

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of selected tree species are continuing; (iv) a plan for man-aging three or four of the forest parks is complete; and(v) surveys 1/ are continuing on the remaining 29-30 forestparks. Phase II of the project (DM 5.0 million), scheduledto start in November 1983, will continue for three years andemphasize methods for managing production and harvesting ofproducts from the natural woodlands and include buildingaccess roads, setting up an infrastructure to systematicallyrecover dead wood, and exploit selected species for fuelwood.Other aspects involve starting a logging and saw millingoperation which would eventually handle some 1000 to 2000 m3

of timber for the domestic market.

3.4 The Mission supports the findings of GGFP personnel that themain causes of deforestation in the Gambia are the widespread use of un-controlled bushfires to create grazing areas for livestock, and shiftingcultivation practices. The Department of Forestry (DOF) needs to bestrengthened at the professional level to implement the above approach(5.8). There is also a need to review relative costs and economics ofongoing reforestation efforts and the field operations of DOF to betterascertain the appropriateness of existing license fees and royaltiescharged for obtaining forest products (6.3).

Utilization of Mangrove Resources

3.5 The main recommendation of the USAID-sponsored study on man-groves was for an accelerated harvesting program in two phases: (i) torecover as much fuelwood as possible from mangrove stands that would haveto be removed when the proposed Yelletinda danm (IBRD Map 17169) was con-structed; and (ii) to extract about 100,000 m of fuelwood on an annualtsustainable basis from diseased mangroves in the remaining stands down-stream of the Yelletinda dam. Estimates of the production and distribu-tion costs for such a scheme are shown in Table 3.2. The report proposesan institutional framework for the scheme involving the Forest ProductsMarketing Board, the DO)F, and the Gambia River Transport Co. The Missionrecommends that the Goverrment proceed first with a pilot mangrove har-vesting project to test the viability of the scheme. Technical assis-t:ance would be required to design and cost the pilot project (Annex II).

1/ Surveys include erecting posts and demarcating areas in the parks.

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Table 3.2: Mangrove Woodfuel Distribution Costs

Transported b,y Barge (80%) Transported by Truck (20%)Operation Large wood 22! Small wood - Large wood Small wood

70% 30% 70% 30%- dalasis per cubic meter --

Felling, bucking, stacking 12.0 19.5 10.0 17.0Transport to roadside - - 5.0 5.0Barge or truck loading 2.3 2.3 1.5 1.5Transportation 20.0 17.5 15.0 15.0Unloading barges and stacking wood 1.5 1.5 -

Other storage yard costs 2.4 2.4Truck loading and transport to

retail yard 5.0 5.0 - -

Additional cost related to drying - - 8.0 8.0

Total direct cost to retail yards 43.2 43.2 39.5 46.5

a/ Stems of trees larger than 20 centimeters in diameter.b/ Tops of all trees and stems of trees 20 centimeters in diameter and

smaller.

Source: Mangrove Feasibility Study, Final Report, September 1981.

Hydropower in the Gambia River Basin

3.6 The only identified dam site within Gambian territory is atYelletinda, near Farrafeni, off the Trans-Gambia Highway (IBRD Map17169). When built, this dam will carry the Trans-Gambia Highway, serveas a salt barrier on the Gambia River, and store water for irrigationpurposes. The dam has no hydropower generation potential. However, theGambia could have access to power from other sites in the Gambia RiverBasin which together have an estimated firm hydro capacity of 203 MW (939GWh annual firm hydro energy capability). The three most promising sitesfor development on the Gambia River are: 1/

(i) Niokolo Koba (3-50 MW)

The proposed site is on the Nikolo Koba, which is a tributaryof the Gambia River, and lies in Senegal close to the conflu-ence of the two rivers. The proposed dam, either of concreteor earth, would be small, about 23 m high and 930 m long, and

1/ Shawinigan (Canada): Plan Directeur, Secteur de l'Energie Elec-trique (July 1981).

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the reservoir volume would be 416 million m3. The estimatedhead for electricity generation would be about 10 to 15meters.

(ii) Kekreti (75 MW)

The proposed site is on the Gambia River in Senegal, about160 km upstream from the eastern border of the Gambia. Anearth fill dam with a height of 80 meters and a 1,500 metercrest length would have to be constructed.

(iii) Sambangalou (125-135 MW)

The proposed site is on the Gambia River in Senegal, but thereservoir would extend upstreamn into Guinea. 1/ In a 1977preliminary study, consultants proposed a 110 meter high and570 meter long rockfill dam. OMVG has commissioned anotherstudy to reevaluate those proposals.

3.7 All the identified projects are multipurpose, and due to otherfactors in the Sahelian region, the irrigation component will determinethe feasibility and priority given to each of them. The next stage ininvestigations appears to be more detailed engineering and cost estima-tion (site boring investigations, etc.) Thes three sites are distant fromthe main power loads in the Banjul area and in western Senegal. 2/ TheGambia has little control over the timing of these projects which will bedetermined by load growth and power supply options in Senegal. An energyassessment mission to Senegal has determined that these three projectsare among the least viable options for Senegal.

1/ Senegal and the Gambia signed a series of agreements on cooperativeexploitation of the Gambia River in 1967, 1968 and 1976. Theseagreements defined the river as a common resource for energy gener-ation, irrigation, and navigation. The two countries establishedOMVG (L'Oganisation pour la Mise en Valeur du Fleuve Gambie) in 1979with headquarters in Dakar, Senegal, to carry out a systematicdevelopment program. Guinea joined OMVG in 1981.

2/ The sites are also some 500-750 km from main loads in WesternSenegal.

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Table 3.3: Hydropower Potential of The Gambia River

Capacity, MW Production, GWhNo of Other d/

Project Installed Firm Units Average Firm Type Purposes

Kekreti a/ 75 40 3 450 320 Storage I,FSambangalou b/ 135 - 3 710 610 Storage I,N,FNiokolo-Koba - 50 - - - Storage I

a/ Preliminary Study complete; feasibility study underway and estimatedconstruction period is four years.

b/ Preliminary Study complete and indicates that dam would cause exten-sive flooding in Guinea.

c/ Preliminary Study complete.d/ Other purposes are I for irrigation; N for navigation; and F for

flood control.

Source: "Les Grande Bassins Fluviaux et Lacustres du Sahel", December1980 by CIDA.

Hydrocarbon Prospects

Oil and Gas

3.8 The Gan ian sedimentary basin covers an area of 7,6002 km2 on-shore: 5,000 km on the continental shelf and about 4,000 km on thecontinental slope (IBRD Map 15416). This area has been explored forhydrocarbons since 1956, mostly by companies which also were holdingexploration permits on adjacent areas in Senegal. Five companies have inthe past held exploration permits: British Petroleum, Shell Interna-tional, Aracca Petroleum, Chevron and Societe Nationale Elf Aquitaine(SNEA). Chevron relinquished its rights on the continental slope inearly 1980, and only SNEA currently holds an exploration license coveringboth the continental shelf and onshore.

3.9 As a result of past exploration by these companies, a signifi-cant amount of information has been collected. About 5,000 km of seismichave been shot (mostly offshore). Three wells have been drilled. BPdrilled two wells onshore in 1960-61 (SK-1 and BK-1); and Chevron drilleda well (Jammah-1) in the deep offshore in early 1979. 1/ The three wellswere dry. The onshore wells were drilled on poorly-defined structures,while Chevron drilled a large, north-south tending structure. The recent

1/ SK-1 bottomed at 3,710 m in Upper Aptian, BK-1 at 2,104 m in LowerCenomanian, and Jammah-1 at 3,020 m in Albian (IBRD Map 15416).

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dry well, Jammah-l, undoubtedly has downgraded the continental slopeareas. The shelf and coastal margin area were not drilled enough toallow a thorough evaluation of the potential. Senegal, Guinea-Bissau and

the Gambia currently are collaborating in a basin-wide study financed bythe IDA Energy Project. 1/ The Government's consultants, At:LanticResources Ltd. of Barcarena, Portugal, have started work on the re-trieval, reevaluation, and reprocessing of geological and geophysicaldata on the Gambia. The Government also concluded an agreement (US$1.2million) with the Government of Canada to allow the PetroCanada Inter-national Assistance Corporation (PIAC) to do a marine seismic survey toenhance the data and information base for the regional basin study. PIAChas completed an 800-km seismic survey in the area that was formerly theconcession of Chevron and expects to interpret the new data by November1983.

Peat

3.10 Some occurrences of mangrove peat recently have been detectedalong the valleys of the Casamance and Sine Saloum rivers in Senegal.The Government would like to investigate the possibility of similardeposits in the mangroves along the Gambia River. If peat is found insignificant quantities, the Government expects that it could be used insolid briquetted form as a supplementary fuel for rural industries suchas brick making. The Mission supports the need for a reconnaissancesurvey to locate mangrove peat deposits (Annex II). Such a survey couldbe undertaken as an extension of the proposed survey to be implementedwith French aid in the Casamance region of Senegal. However, the Missionexpects that any mangrove peat deposits along the Gambia River are likelyto have fuel characteristics similar to t:hose in the river deltas ofwestern Senegal, that is, with high ash and salt contents.

Nonconventional Energy Resources

3.11 Solar Energy The Gambia is located in a region with abundantsunshine. Existing records indicate that most parts of the countryreceive an annual mearn daily radiation of over 480 cal/cm . Radiationlevels are generally higher during the long dry season when cloud coveris minimal. From an energy viewpoint, the most promising application ofsolar energy appears to be water heaters to substitute for electric anddiesel oil-fired water heating systems in Banjul (Chapter IV). Otherexisting applications of solar energy in the Gambia include:

(i) Solar Evaporation: The salt works at the Darsilameh villagein the Kerewan District, are based on solar evaporation tech-niques. In 1977, UNIDO provid,ed technical assistance for afeasibility study to expand the salt works from 50 to 500

1/ Gambia Energy Project (Credit 1187-GM). Guinea-Bissau's share ofthe basin study is financed under Credit 1095-GUB.

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tonnes/year. 1/ The expansion project is to be implementedduring the current Five Year Plan with support from theGambian Artisans Marketing Cooperative (GAMCO) and the Indi-genous Business Advisory Service (IBAS).

(ii) Solar Powered Water Pumps: One pilot unit has been installedat a borehole near Jambanjole. The system was donated by theGovernment of Saudi Arabia and installed by German techni-cians. A second pilot unit will be installed at Mandina Baas part of a UNDP-financed project. 2/ The implementingagencies for this project, the Water Resources Department andthe UN Department for Technical Cooperation for Development,plan to evaluate the performance of the unit at a later date.

3.12 Wind Surface windspeeds are low over most of the Gambia. Thereis, however, some potential for using windpumps at several coastal siteswhere investigations have confirmed the availability of windspeeds overthree meters per second. As part of the UNDP project on experimentationwith pumping systems, one wind pump will be installed at a borehole 15meters deep near Tanji. The prospects for more widespread use of windpumps in non-coastal areas appear to be poor.

3.13 Biogas The Department of Community Development has initiated asmall biogas development program. In the Mission's view, it is too earlyto draw any firm conclusions on biogas potential in the Gambia, butsocio-cultural factors make it unlikely that biogas will play a largerole in the Gambia's energy situation.

1/ About 20% of the total consumption in the Gambia.

2/ UNDP Project "Preliminary Groundwater Investigations and Experi-mentation of Pumping Systems".

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IV. FUEL SUBSTITUTION OPTIONS

4.1 The Mission's assessment of energy efficiency and fuel substitu-tion options in the Gambia are presented in this chapter. The most prom-ising options involve the use of groundnut residues for cogeneration, andsolar systems to reduce the consumption of diesel oil for heating water.

Utilization of Groundnut Residues

4.2 Cogeneration Groundnut processing facilities are owned andoperated by the Gambia Produce Marketing Board (GPMB). The GPMC has twoprocessing facilities: one at Denton Brid[ge which combines two decorti-cation plants, two groundnut oil mills, a refinery, and a soapmakingfactory; and another at Kaur which consists of a decortication mill and asmall groundnut shell briquetting plant. The oil mill, refinery, soap-making factory and one of the decortication plants at Denton Bridge aresupplied with steam and electricity from an on-site power plant which isfired with groundnut shells. The decortication plant, located across theroad, however, is connected to GUC supplies. 1/ The existing power plantis equipped with two vintage 1930 Babcock boilers, each rated nominallyat 20,000 lb/hr steam. The steam drives two separate condensing turboalternators of 650 kW and 450 kW capacity. During the processing season,GPMB is able to meet peak loads of between 700 and 800 kW because thegenerators can be operated simultaneously. GPMB has decided to install anew plant to replace the existing power plant. The new plant is rated at1.5 MW and consists of two boilers, each of 11 tonnes/hour steam capacitywhich would feed two 750-kW turbo generaLtors. The plant is scheduledfor commissioning in mid-1984 and will make the entire Denton Bridgefacility self-sufficient in power and steam requirements. As the ground-nut processing season coincides with the peak season for tourists, GUCwill have an additional 200 to 400 kW to cover the increased hotel elec-tricity load. The Mission fully supports GPMB's program for DentonBridge. The feasibility of power generation also has been investigatedat GPMB's processing facility at Kaur, but electricity demand for the de-cortication plant is too small to justify a captive power plant of thesame size. Kaur is also remote from provincial electricity load centers.

4.3 Fuelwood Substitution The technical options for reclaiming thesurplus shells at Kaur to use as a fuelwood substitute are based oneither: (i) a briquetting plant to produce groundnut shell briquettes byan extrusion process; or (ii) a continuous carbonization plant to producecharcoal briquettes from groundnut sheLls. A 1.5 ton/day pilot

1/ There is one decortication plant attached to the oil mill. Theother decortication plant is located on the other side of theBanjul/Yundum highway. The peak load for the latter is estimated atbetween 200-400 kW.

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briquetting plant, 1/ installed at Kaur is out of operation because oftechnical problems. The unit produced groundnut shell briquettes whichwere found to be a poor substitute for fuelwood because they were toopliable and produced too much smoke. Nevertheless, UNSO is funding anongoing project to improve the operation of the plant at Kaur, 2/ topromote the use of groundnut shell briquettes as a cooking fuel for urbanhouseholds, and to develop an appropriate stove for this type of fuel.The Mission also reviewed another proposal by the Gambia Commercial andDevelopment Bank (GCDB) to convert available groundnut shells at Kaurinto 4000 tonnes of charcoal briquettes a year through a horizontal con-tinuous carbonizing process. 3/ Despite the high initial investmentrequired to establish the plant at Kaur (D 4.0 million), the Missionfound that its product, charcoal briquettes, could be competitive as afuel, for example, for ironing, in Banjul. In the Mission's view, theimpact of both options will be marginal in terms of substituting forwoodfuel requirements in the Gambia.

The Role of Solar Water Heaters

4.4 All the larger hotels in the Gambia use either diesel oil-firedboilers or electric boilers for heating water (Table 4.1). The BanjulBrewery also uses a diesel oil-fired boiler to produce hot water forwashing and sterilizing bottles, and although there have been no surveys,most residential hot water systems are reported to be electric. The po-tential for saving diesel oil by retrofitting existing hot water systemswith solar is good, as illustrated by the results of the Mission'sstudies of the Senegambia Hotel and the Banjul Brewery (Annex IV). Thediesel heating system of the Senegambia Hotel could be retrofitted with asystem comprising a solar collector array, two storage tanks, and ancil-liary pumps, piping and controls at an estimated cost of US$70,000. Ascurrent diesel heating requirements amount to about US$4,800 per month,the payback period in simple terms on the solar retrofit would be about15 months. The estimated payback time would be similar for the otherhotels and possibly shorter for hotels with electric heaters. TheMission's assessment also indicates that the existing diesel oil heatingsystem at the Banjul Brewery could be retrofitted with a similarlydesigned solar heating system for about US$111,000. The payback period,

1/ Annual output would be 7500 tonnes of 55 mm. diameter briquettes.The plant was financed by a grant from the Danish agency, DANIDA.

2/ UNSO/DANIDA Project: "Improving the Production of Fuel Briquettesin KAUR Plant, and the Use of Agricultural Waste Products for Fuel"Project UNSO/DES/GAM/81/006.

3/ The process is a proven one and equipment is available through rep-utable suppliers such as Aldred Process Plant Ltd., UK. The feasi-bility of the project is presented in a 1980 report "Agro-basedEnergy" by the GCDB.

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in simple terms, given projected savings in diesel consumption costs ofUS$5,350/month, would be about 21 months.

4.5 In the Mission's view, converting these diesel-fired and elec-tric water heating systems would be both financially profitable to thecompanies involved and economically viable and attractive for theGambia. Converting the five large hotels and the Banjul would require aninvestment of about US$600,000 but would result in savings of about720,000 liters of diesel oil a year, or about US$500,000 a year iLn thecost of diesel imports. The main bottleneck appears to have been thelack of awareness of the potential benefits and/or the difficulty inobtaining reliable information on suppliers and costs, given that thereis no local firm representing such a supplier. As the Government,potential users, and the Gambian Commercial and Development Bank areinterested in pursuing the solar water heating option, the Mission rec-ommends a program of technical assistance: (i) to prepare the necessarydetailed designs and cost estimates for each site; (ii) to prepare tenderdocuments for the supply and installation of the equipment; and (iii) toevaluate bids and supervise installation and monitor the initial opera-tion of the solar water heating systems. (Detailed terms of referencefor this work are included in Annex II). The potential size of themarket for domestic solar water heating systems could also be surveyedduring this exercise.

Table 4.1: Water Heating Systems in Tourist Hotels

Hotel Number of Rooms Type of Water Heater

Atlantic 235 diesel oil firedKombo Beach 256 diesel oil firedFajara 272 diesel oil firedSenegambia 305 diesel oil firedSunwing 200 electricBungalow Beach 114 electricWadner Beach 160 electric

Source: Mission survey

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V. DEVELOPMENT OF ENERGY INSTITUTIONS

Management and Coordination of the Sector

5.1 Overview The responsibility for formulating policy, makingdecisions and implementing programs in the energy sector is fragmented.Although the Ministry of Economic Planning and Industrial Development(MEPID) is responsibile for the energy sector, other ministries maintainkey responsibilities pertaining to the sector. The Ministry of Financeand Trade (MFT) is responsible for regulating and monitoring energyprices; electricity operations of GUC are supervised by the Ministry ofWorks and Communications; hydrocarbon exploration is coordinated by theMinistry of Lands and Local Government; and forest energy programs areadministered by the DOF in the Ministry of Water Resources and Environ-ment. The Government established an Energy Unit in MEPID to monitor andreview the UNSO-financed Energy Survey and Master Plan Study.

5.2 National Energy Commission In January 1983, the Governmentdecided to create a National Energy Commission, comprising public andprivate officials, to take over responsibilities for formulating energysector policies. NEC also would be the principal advisory body to theCabinet for decision making purposes. NEC is to be headed by either theVice-President or the Minister of Economic Planning and IndustrialDevelopment and will be supported at the working level by the Energy Unitof MEPID. The Government has allocated resources to allow MEPID torecruit a full-time economist for the Energy Unit. Other staff of MEPID,including the Principal Planner, would provide assistance on a part-timebasis as required. As the full-time economist of the Energy Unit islikely to have limited energy sector experience, the Mission recommendstechnical assistance in the form of a resident expatriate energy econom-ist/planner for 18-24 months. During this period, the resident energyeconomist/planner will help in: (i) establishing a work program for theUnit; (ii) assisting the Government through NEC in formulating energypolicies and energy investment plans. The Gambian economist would be hiscounterpart and would benefit from on-the-job training from the expatri-ate (Annex II).

Energy Subsector Operations

5.3 Energy sector problems in the Gambia are rooted in institutionalweaknesses which have developed from: (i) the inadequate staffing ofenergy institutions which control day-to-day operations in subsectorssuch as power, petroleum and forestry; and (ii) the lack of a well arti-culated energy policy or strategy with which to guide planning and otherefforts by these institutions. The Government is fully aware of theseriousness of these problems and has requested technical and financialassistance from external sources to tackle them. The response to thisrequest from foreign agencies has been good and progress is being made on

the immediate, critical needs of the Gambia Utilities Corporation (GUC),

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the Department of Forests (DOF), and the Geological Unit (GU) of theMinistry of Local Government and Lands.

Gambia Utilities Corporation (GUC)

5.4 The GUC has faced severe management and financial problems sinceit took over responsibilities for public utilities from the Ministry ofWorks and Communications (MWIC) in 1972. The German Agency for TechnicalCooperation (GTZ) currently is providing technical assistance to resolvethese problems. GTZ recently completed a detailed study of GUC's opera-tions and organizational structure. Its recommendations on financial andinstitutional matters have been accepted by the Government. Theyinclude:

(i) a Financial Recovery Plan which was approved by the Cabinetin 1981, and which provides funds from the Government tocover cost overruns for the Kotu power station project, andto cover cummulative losses from the provincial stations(1973-1980); and

(ii) placing GUC, for the duration of the assistance program,under direct responsibility of the Presidency.

5.5 The GTZ team in Banjul now includes personnel for the key GUCpositions of: (i) Managing Director; (i) Manager, Water Division;(iii) Manager, Electricity Division; (iv) Generation Engineer; (v) Trans-mission-distribution Engineer; (vi) Manager, Kotu Power Station. Theteam will remain in charge of GIJC until 1985. Other experts will be usedon a short-term basis to analyze specific problems in GUC finances, per-sonnel management procedures, and the operation of the Statistical De-partment. On-the-job training will be provided to Gambian counterpartswho are expected gradually to take over managerial functions. GUC's pro-vincial operations also have been poorly managed, and many of thestations are in disrepair due to lack of adequate maintenance and skilledoperators. GUC's financial crisis has contributed to this problem andimmediate action is required to rehabilitate the provincial dieselgeneration units (2.17).

5.6 The GTZ technical assistance program is therefore well underwayand should help resolve most of GUC's problems. There is a need foradditional assistance to allow GUC to train enough diesel mechanics andoperators for their expanding system in Banjul and the provinces. GUC'smanagement had proposed establishing an Ele!ctrical Training Center whichwould teach job-oriented diesel mechanic skills to 10 to 12 persons on athree-year rotation. The Mission discussed this proposal with the Gov-ernment, who agreed to it. However, the Government decided that in theinterest of better utilizing existing facilities, such a training programcould be organized using the facilities at the Gambia Technical TrainingInstitute. The Mission supports this approach, which has been reflectedin the scope of technical assistance for establishing the trainingprogram. (Annex II).

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Department of Forestry (DOF)

5.7 Until 1981, the Forestry Department was one of the nine depart-ments of the Ministry of Agriculture and Natural Resources. DOF wastransferred after the creation of the new Ministry of Water Resources andthe Environment in February, 1981. The DOF has three divisions:

(i) Forestry Plantation Division: responsible for the planning,protection and management of the Gmelina plantations. TheDivision is responsible for replanting 200-300 ha/year anddeveloping working/management plans in collaboration with theGGFP;

(ii) Forest Protection Division: responsible for patrolling for-estry reserves, organizing villages to fight fires, control-ling licenses for the exploitation of wood and other forestproducts, controlling unauthorized felling, etc; and

(iii) Forest Research/Utilization Division: responsible for theGovernment-owned sawmill and lumber yard at Nyambai. 1/

5.8 A new Director of Forestry was appointed in late 1982. He isone of only three graduate foresters in DOF. One of the Director's maintasks has been to prepare a program of action to implement the forestrycomponent of the IDA-financed Gambia Energy Project, and to coordinateother bilaterally funded schemes. The DOF has a total staff of about 134persons comprising: Forest Scouts (66), Forest Guards (33), ForestRangers (14), Senior Forest Rangers (15), Assistant Foresters (3), Super-visor Foresters (3). Each of the three Assistant Foresters heads aDivision Forestry Unit in the Upper River, the Lower River, and theWestern River Division. DOF plans to divide field operations into fivezones, each to be headed by a graduate forester. This would require moreresources to train more personnel at the professional level (Annex II).Ongoing projects by GTZ and USAID include training for only middle leveltechnical personnel in DOF: GTZ has sponsored four persons at Diplomacourses in Liberia and Cyprus and proposes to sponsor an additional fiveat the same level; and USAID also has sponsored six persons. 2/

5.9 The DOF cooperates with the Senegalese Forestry Department forjoint management and development of forests, especially along the borderareas. 3/ The Directors of the two services meet every six months todiscuss areas of mutual concern, and once a year for a joint tour of a

1/ The sawmill was recently rehabilitated under the USAID ForestryAssistance Project.

2/ Four persons recently have completed two-year forestry degreecourses in Nigeria, and one person is working toward a Bachelor'sdegree in Tanzania.

3/ A Bilateral Agreement on Forestry Matters was signed in May, 1975.

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selected border area. Joint treks also are arranged at the field stafflevel. Other areas of cooperation include training, the exchange ofplanting stock, extension materials, etc. Consultation on matters offorest policy is another important facet of this cooperation. Forexample, when the Gambia banned the production of charcoal, Senegalagreed not to issue any charcoal licenses within 10 km of the bordler inan effort to discourage smuggling. Plans are underway to coordinateforestry research in the two countries.

The Geological Unit

5.10 The Geological Unit is part of the Ministry of Local Goverrmentand Lands (MLGL) and is responsible for monitoring petroleum exploration.It has a total staff of ten, headed by a senior geologist. Due tostaffing and budgetary limitations, the unit has not been in a positionto acquire geological information or even to monitor the work of foreignprivate petroleum exploration companies. The Unit currently is receivingtechnical assistance to improve its capabilities and facilities as partof the IDA-financed energy project which includes:

(i) about 16 man-months in services of exploration consultants(including an explorationist, a geophysicist and otherexperts on short-term assignments) to assist in:

(a) retrieving, compiling and integrating existing geologi-cal and geophysical data;

(b) test reprocessing of seismic data;

(c) providing the petroleum potential information to oilcompanies;

(d) negotiating exploration contracts;

(e) monitoring the activities of operating companies.

(ii) about six man-months of advice by a legal firm to review thelegal and contractual framework for petroleum exploration andto assist in negotiations with companies;

(iii) equipment to support the work of the Geological Unit andconsultants, including storage and reproduction equipment,vehicles andi a modest expansion of office space.

On-the-job training would be provided to Urnit personnel by consultants.A few local staff will also be sent abroad for further training.

Other Responsibilities

5.11 Three international oil majors --- Shell, BP, and Texaco --handle various responsibilties for the supply, storage, and domesticmarketing of petroleum products in the Gambia. Until recently, Shell was

- 39 -

engaged in all aspects but now has withdrawn from the importation anddomestic marketing functions. Importation, storage and petroleum pricingissues are discussed in Chapter II.

- 40 -

VI. ENERGY TECHNICAL ASSISTANCE AND INVESTMENT REQUIREMENTS

Summary of Energy Demand Projections

6.1 The Mission's projections of overall primary energy demandbetween 1982 and 1990 are shown in Table 6.1. The projections have beenkept simple but take into account: (i) progress being made in restoringadequate diesel power generating capacity in the Banjul system; (ii) theinterest shown by the Government and potential users (hotels and .indus-try) in reducing diesel consumption through solar water heating systems;and (ii) the poor chances of converting from diesel-based generation atKPS to heavy fuel oil (HF0). The result is that primary energy demandwill increase at about four percent a year, and seven percent a year forpetroleum and electricity combined. The major investment decisionsrelate to the Banjul power system. Minor investments are also req,uiredfor the Solar Retrofit Programs and for the emergency overhaul ofprovincial diesel generators.

Table 6.1: Projected Primary Energy Demand ('000 toe)

1982 1985 1990

Petroleum fuels 44.2 49.5 64.8Diesel Electricity a/ 9.2 17.6 28.3Fuelwood b/ 125.0 133.0 146.0

Total c/ 178.4 200.1 239.1

Growth % p.a - 4.0 3.7

a/ represents diesel oil consumption for electricity generation.b/ excludes consumption of other biomass fuels such as groundnut

residues.c/ the solar retrofit program (4.5) would result in a reduction in

demand of at least 600 toe per annum when implemented.

Source: Mission estimates

Energy Investments

6.2 The Second Development Plan includes D 26 million (US$9.6 mil-lion) for energy related investments (Table 6.2). Of this amount, D 20million (US$7.4 million) is being sought from external sources in theform of grants or loans to supplement D 6 million (US$2.2 million) in

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local financing. The Mission's findings are that external sources offinancing for the Banjul power system have for the most part been iden-tified. There is, however, an urgent need for an additional investmentto overhaul provincial electricity generation facilities.

Table 6.2: Energy Related Investments in Second Plan(million Dalasis)

Total Investment Source of FinancingInvestment in Local External

Project Cost 2nd Plan Grant Loan

1. Kotu Power Station 19.0 3.0 2.0 - 1.02. KPS Third Generator 6.0 6.0 - 6.0 -3. Banjul Transmission/

Distribution System 5.0 5.0 1.0 - 4.04. Rural Electrification 2.0 2.0 2.0 - -

5. Carbonization Plant 4.0 4.0 - - 4.06. Solar Salt Expansion 0.2 0.2 0.2 - -

7. Forestry Development 9.0 6.0 1.0 5.0 -

Source: MEPID

6.3 The main energy sector investments during the Second Plan are:

(i) Power: A third generating unit (5.0 MW) for KPS has beensecured through a grant from the Government of Japan, a forthunit (3.8 MW) for KPS will be financed by a DM 7.0 million(US$2.9 million) loan from KfW (West Germany), and loans fromthe IDA and KfW 1/ have been secured for further rehabilita-tion and expansion of the Banjul transmission and distribu-tion system. The Emergency Overhaul and Rehabilitation Pro-gram for provincial diesel-based power generating plantswould require immediate external financing of about US$1.0million for spare parts and equipment. The Government hasmade a request for assistance from the UK bilateral aid pro-gram and is awaiting a response.

(ii) Forest Energy Development: Phase II of the Gambia-GermanForestry Project (GGFP) will be providing grants of about DM5.0 million (US$2.0 million). USAID will not be establishing

1/ KfW may be providing an additional DM2.0 million (US$0.8 million) in1984. IDA has provided a credit of about US$500,000 for upgradingdistribution facilities as part of the ongoing Energy Project (Annex

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new fuelwood plantations but will continue supporting com-munal woodlot projects. A more precise appraisal of invest-ment requirements in forestry/fuelwood supply schemes canonly be available after a decision has been made on theproposed mangrove harvesting project (Annex II).

(iii) Petroleum: Although no investments in petroleum facilitiesare planned by the Government during the Second Plan, adecision to move the existing depot (2.11) will requireinvestments to construct a new storage depot in the BanjulPort area. The exact investment required can only be deter-mined after a detailed feasibility study.

(iv) Petroleum Exploration: A grant of US$1.2 million wasobtained from the Canadian Government and used in part tofinance a recently completed 800 km marine seismic survey bythe PIAC (Annex III).

(v) Solar Retrofit Program: Some 720,000 liters of diesel oilcan be saved by converting existing diesel oil-fired waterheaters in the Banjul Brewery and about five large hotels tosolar water heating systems. An additional three largehotels could effect substantial savings by retrofitting theirexisting electric water heaters with solar systems (4.5).The required investment for equipment in this program isabout US$0.6 million which could be financed in part throughthe Gambia Commercial and Development Bank (GCDB). 1/

(vi) Utilization of Groundnut Residues: The Government may re-quire external financing for an investment of D 4.0 million(US$1.5 million) to install the 4000 tonne per year con-tinuous carbonizing plant at Kaur. The proposal, which wasprepared by the GCDB, has been presented to the European De-velopment Fund (EDF) and a decision is awaited. The totalinvestment required could be reduced by using briquettes fromthe existing plant at Kaur (4.3).

S3ummary of Technical Assistance Requirements

6.4 In addition to ongoing technical assistance programs (Annex[II), the mission recommends external assistance for the following tasks:

Top Priorities

(i) evaluation of petroleum product import arrangements to estab-lish the relative costs of present and other alternatives to

1/ GCDB will require external financing to replenish its foreigncurrency line of credit.

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allow the NEC and the Government to decide on a morepermanent arrangement (2.9);

(ii) preparation of a contingency plan to replace the current adhoc system for allocating petroleum products during emergen-cies (2.10);

(iii) emergency overhaul and rehabilitation of provincial diesel-based power generating plants (2.17);

(iv) a comprehensive review of provincial electricity services(RE) to determine operating and maintenance costs to GUC, andthe required level of Government expenditures to ensure an

efficient program (2.17);

(v) preparation of detailed solar system designs for each site(hotel and the brewery), of tender documents for supplyingand installing the equipment, evaluation of bids, andsupervision of the installation and initial operation of thesystems (4.5); and

(vi) strengthening the capabilities of the Energy Unit of MEPID(5.2).

Other requirements include:

(i) preparation of a medium-term power load forecast to use inplanning investment in future generating capacity and thetransmission/distribution network of the Banjul grid (2.16);

(ii) establishment of a training program for GUC diesel operatorsand mechanics (5.6);

(iii) evaluation of the costs and benefits of establishing a newstorage depot for petroleum products (2.11);

(iv) preparation and implementation of a pilot mangrove harvestingprogram (3.5);

(v) fuelwood consumption survey (2.24);

(vi) comparative analysis of the costs and benefits of alternativefuelwood production schemes in relation to existing royaltiesand license fees for obtaining fuelwood from natural wood-lands (3.4); and

(vii) reconnaissance survey on mangrove peat occurrences in theGambia River Delta (3.9);

(viii) sponsorship for professional training of five or six Gambiannationals (at Bachelor's and/or Master's degree level) totake up vacant positions in the DOF (5.8).

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6.5 The Government proposes to approach multilateral and bilateralagencies for financial and technical assistance for the above energy de-velopment tasks. This will be arranged in the context of the Gambia'snext donor conference which is scheduled for early 1984. Detailed pro-files on these proposals for technical assistance are presented in AnnexII of this report and summarized below.

Table 6.3: Summary of Additional TechnicalAssistance Requirements b/

Cost Estimates a/Sector (US$ '000) Source

PowerRehabilitation of Provincial Systems 100 UK-ODARural Electrification Program Review n.s. ISDBMedium Term Power Plan for Banjul System n.s. KfW/GTZ

Institution BuildingResident Energy Economist/Planner

(18-24 months) 180-240 None identifiedGUC D)iesel Mechanics Training Program n.s. None identifiedProfessional Forestry Training n.s. None identifiedPetroleum Supplies Specialist 50 None identifiedForestry Economist 12 None identified

Energy DevelopmentSolar Retrofit Program 150 None identifiedPilot Mangrove Harvesting Program 20 None identified

cl Estimated at US$10,000 per man-month of specialist consulting. Costestimates do not include related investments in hardware.

b/ Details in Annex II.

Source: Mission estimates

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ANNEX I

NOTES ON THE ENERGY BALANCE

1. Agriculture includes fishing operations.

2. Public works are included under the Government sector.

3. Energy consumption from groundnut residues represents shells usedonly by the GPMB oil well at Denton Bridge.

4. Electricity figures do not include private generation, and genera-tion by GPMB.

5. Fuelwood estimates are based on EMPS of 1982.

6. Electricity consumption by hotels is included in commercial/indus-trial sector estimates.

7. Electricity consumption by the Government sector includes streetlighting and water works.

8. LPG data is not inc]-ided because of unreliable data, and the smallsize of the market.

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ANNEX IIPage 1 of 6

ENERGY TECHNICAL ASSISTANCE PROPOSALS

I. Technical Assistance to Energy Unit of MEPID

A. Petroleum Supplies Specialist

Source of Funding: none identified.

Starting Date: to be determined.

Scope of Work: about 10-12 week assignment to assist the EnergyUnit (MEPID) review and develop a strategy for managing andcoordinating petroleum supply/distribution operations in theGambia. Terms of reference cover:

(i) preparing (in collaboration with representatives from Shell,BP, and Texaco) a Contingency Allocation Plan for petroleumproducts to be used during shortages;

(ii) evaluating the feasibility (and financing implications to theGovernment) of establishing a new storage depot for petroleumproducts;

(iii) evaluating the relative costs of alternative petroleumproduct import arrangements, and assisting the Government inestablishing a permanent arrangement.

(iv) reviewing existing information on oil industry in the Gambiaand estab:Lishing a system within the Energy Unit for basicoperations such as: (a) monitoring petroleum imports againstforeign exchange allocations; (b) forecasting petroleumdemand levels and foreign exchange requirements; establishingan analytical f'ramework for reviewing product prices inrelation to import costs, exchange rates, duties, etc.

(v) training key staff of MEPID and the Government in theseareas.

Estimated Cost: US$50,000

Comments: This assignment requires immediate follow-up. The reviewalso could include an assessment of the financial requirements toestablish a National Petroleum Reserve (Buffer Stocks).

B. Resident Energy Economist/Planner

Source of Funding: none identified

Starting Date: to be determined

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ANNEX IIPage 2 of 6

Scope of Work: 18-24 man-months for a Resident Energy Econo-mist/Planner to help MEPID establish the Energy Unit, define itswork program, and assist NEC and the Government in addressingenergy policy and investment issues as they arise. Terms of

reference cover:

(i) training of the couterpart Gambian economist of the Unit.

(ii) development of an Energy Statistics Data Base for planningpurposes.

(iii) development of a strategy and guidelines for monitoring andreviewing domestic energy prices (petroleum, power, fuel-

wood).(iv) series of decision papers/reports on selected energy issues

and options in the Gambia for consideration and policy for-mulation by the NEC.

Estimated Cost: US$180-240,000

Comments: none

II. Technical Assistance to GUC

A. Emergency Overhaul and Rehabilitation ofProvincial Diesel Generators

Source of Funding: request made to UK-ODA

Starting Date: to be determined

Scope of Work:

(i) Diesel Engineer full-time for 6-10 months to supervise theoverhaul of the units in each of the 11 provincial stations;and

(ii) spares and equipment to be used in overhauling and servicingthe diesel units.

Estimated Cost: About US$100,000 for services of DieselEngineer; and US$1.0 million for spare parts and equipment.

Comments: top priority and requires urgent follow-up. Basicinformation available in a report prepared after a 1982 surveyof provincial stations by an engineer from the UK firm, MirrleesBlacks tone.

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ANNEX IIPage 3 of 6

B. Establishment of a Training Program for GUC Diesel Mechanics

Source of Funding: n.s.

Starting Date: to be determined.

Scope of Project: to provide training for 10 to 12 students percycle of three years duration in basic skills in diesel engineoperation and maintenance. Training program could be imple-mented under joint supervision of the Gambia Technical Instituteand the GUC, and requirements include:

(i) Two Instructor/Trainers (specialized in diesel engines andbasic machine tooling skills) and one Instructor/Trainer(Specialized in electro-mechanical skills) for specialcourses at the Technical Institute.

(ii) adaquately equipped diesel engine training workshop underGUC.

Estimated Cost: to be determined.

Comments: none

C. Rural Electrification Study

Source of Funding: Islamic Development Bank (ISDB)

Starting Date: to be determined.

Scope of Work: To formulate a coherent policy with regard toselection criteria, technical standards and financing of elec-tricity supplies to provincial centers and rural areas. Theterms-of-reference cover two phases:

Phase I

(i) to appraise the existing rural electricity systems with par-ticular reference to plant value, expected lifetime, fueland maintenance costs, condition of distribution network,number and quality of personnel, arrangements for managementand control of systems, and required capacity in view ofprojected demand for electric.ity up to 1990;

(ii) to ascertain, with due regard to the geography of the Gambiaand the spatial distribution of population centers, thetechnical standards for provincial electricity systemsincluding (a) the voltage levels for transmission and dis-tribution; (b) the availability and suitability of localmaterials for constructing pyLons and poles;

- 49 -

ANNEX IIPage 4 of 6

(iii) to evaluate the costs and benefits of extending electricitysupplies from the Banjul grid to nearby areas and provincialcenters such as Brikama;

(iv) to prepare a report presenting the results of the analysisof Phase I and outlining recommendations for Governmentfollow-up in the short to medium term.

Phase II

(v) to evaluate the costs of establishing entirely new provin-cial electricity systems at three representative locationsas a basis for projecting developmental expenditure perprovincial system for planning purposes;

(vi) to evaluate the technical and economic feasibility of GUC'sproposal to establish one or two central power stations withtransmission to provincial load centers;

(vii) to evaluate the technical and economic feasibility of elec-tricity generation by a small biomass-fired steam powerplant using groundnut residues or mangrove wood;

(viii) to prepare a report presenting results of the analysis ofPhase II, and giving recommendations to the Government whichidentify the least-cost methods for supplying electricity tothe provinces over the long term.

Estimated Cost: to be determined.

Comments: Consultants would need to consult with the Utility Managerof GPMB on the experience with the groundnut residue-fired steampower plant at Denton Bridge.

III. Technical Assistance for Fuel Substitution

A. Commercial/Industrial Solar Energy Retrofit Project

Source of Funding: to be determined

Starting Date:

Scope of Project: to provide sufficient technical supportservices to allow six commercial/industrial solar hot waterheating systems to be installed in the Gambia within a 12 monthperiod. Terms of Reference cover:

(i) Selection of suitable hotels for solar application to amaximum of five hotels, and confirmation of compatability ofexisting brewery system for solar integration.

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ANNEX IIPage 5 of 6

(ii) Assistance to Gambian government in developing Program Docu-mentation, with complete preliminary engineering.

(iii) Preparation of Specifications and Bid Documentation forProcurement.

(iv) Review of Proposals and Supplier Selection.(v) Monitoring of Site Installations.(vi) Assistance in Preparation anel Implementation of Staff Train-

ing Programs.(vii) Survey of Size of Domestic Solar Hot Water Heating Market.

d. Cost Estimates: US$150,000 total consisting of:

(i) Consultant Services: $120,000(8 mm over 12 month period)

(ii) Training Program $ 30,000

Comments: Financing of hardware will require some US$600,000.

IV. Technical Assistance to DOF

A. Pilot Mangrove Harvesting Project (Phase 1)

Source of Funding: n.s.

Starting Date: to be determined

Scope of Work: one to two man-month assignment for a LoggingEngineer, with experience in handling mangroves, to design apilot projecit to test a proposed scheme for harvesting mangrovesalong the banks of the Gambia River, for distribution as fuel-wood to Banjul.

Cost Estimate: about US$20,000 excluding investments andequipment purchases required to implement the pilot project.

Comments: Basis for the pilot project is presented in detail inUSAID Project report "Mangrove Feasibility Study" by Checci andCo., September 1981.

B. Forestry Economist

Source of Funding: n.s.

Starting Date: to be determined

Scope of Work: one man-month assignment comprising a compara-tive analysis of the costs and benefits of alternative methods

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ANNEX IIPage 6 of 6

of supplying fuelwood in the Gambia (plantations, thinning wood-lands, harvesting mangroves, etc.), with a view to determiningappropriate levels of license fees and royalties charged for theacquisition of fuelwood and other forest products. The ForestryEconomist will also be required to provide on-the-job trainingto counterparts from the Energy Unit and DOF on the methods usedin the analysis.

Estimated Cost: US$12,000

Comments: Considerable data on the cost of fuelwood production

through different techniques have been generated from a varietyof sources. These data have to be arranged consistently andevaluated from the viewpoint of the different markets they arelikely to cater to.

C. Professional Training for Forestry Personnel

Training at the BSc and MSc degree level for five or sixGambians to take up vacant professional forester positions inthe Department of Forestry.

V. Technical Assistance to Geological Unit

Peat Reconnaissance Survey

Source of Funding: n.s.

Starting Date: to be determined

Scope of Work: Survey of the mangrove stands in the GambiaRiver Delta to identify peat occurrences. The survey wouldinclude:

(i) photogeological survey(ii) geological survey(iii) collection and analysis of samples(iv) estimation of fuel potential of deposits.

Cost Estimate: US$59,000, of which about 50% would be for geo-logical survey and analysis.

Comments: Survey could be done as an extension of ongoingsurvey by a French team in Casamance, Senegal.

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ANNEX IIIPage 1 of 3

GAMBIA ENERGY ASSESSMENT

Summary of Ongoing Energy Technical Assistance Activitiesin the Gambia (August 1983)

Subsector Project Scope oi Technical Assistance

Electric IDA Energy (i) optim4ze distribution from HalfPower Technical Die and Kotu Power Stations

Assistance Credit serving the Banjul area;(Cr. 1187-GM) (ii) reinforce 11 kV and lower

voltage network in Banjul areato reduce the risks in over-loaded circuits;

(iii) enhance substation and trans-f'ormer capacity and safety inthe Banjul area.

GTZ Technical (i) technical experts to take upAssistance to GUC Fiositions of GUC Managing(3 to 4 year Director, Managers for Waterprogram) Division and for Electricity

Division (2 positions), andEngineers for Generation, andfor Transmission/Distribution;

(ii) short-term consultants toanalyze GUC finances, personnelmanagement and training issues,and operation of the GUC sta-tistical division.

Petroleum IDA Energy (i) exploration promotion senricesTechnical for: retrieving, compiling, andAssistance Credit integrating geological and geo-(Cr. 1187-GM) physical data; reprocessing of

seismic data; and assistance toGOTG for negotiating and moni-toring exploration contracts;

(ii) legal services to review legis-lative and contractual frame-work for exploration;

(iii) training of designated Gambianstaff and upgrading facilitiesof Geological Unit;

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ANNEX IIIPage 2 of 3

(iv) completion of basin study (incooperation with Senegal andGuinea-Bissau).

Petro Canada (i) 800 km marine seismic survey;International (ii) legal services for petroleumAssistance (Corp.) exploration;PAC) (iii) technical training for per-(Can $1.5 million) sonnel of Geological Unit.

Forestry IDA Energy (i) consultancy services to DOF toTechnical prepare program for effi-Assistance Credit cient management of forest(Cr. 1187-GM) resources for wood energy

requirements;(ii) equipment to upgrade oper-

ational capabilities of DOF.

GTZ Forestry (i) preparation of land use plan;Technical (ii) forest inventory;Assistance (iii) trials on selected species;(Phase I) (iv) preparation of plan for man-

aging and utilizing 33 ofGambia's forest parks;

(v) scholarships to Gambians forforestry related training.

USAID Forestry (i) establishment of 10 villageProject (635-0205) woodlots;

(ii) feasibility study on mangroveutilization as fuel;

(iii) establishment of 1300 ha ofGmelina plantations;

(iv) training of extension special-ists and forestry techniciansfor DOF;

(v) modernization of sawmill;(vi) fuelwood consumption survey

(postponed).

UNDP/UNSO (i) stove development assis-Forestry Project tance to DOF for reforestation.

FAO/BADEA (i) establishment of forestryForestry Program nurseries for DOF's reforesta-Grant tion program.

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ANNEX IIIPage 3 of 3

Energy UNDP/UNS0 (i) fuelwood consumption survey;Planning Energy Survey (ii) review of energy pricing;

and Master Plan (iii) energy supply/demand analysisStudy and projections to 1990;

(iv) eniergy investment programming1990.

Renewable UNDP Experimental (i) demonstration of solar PV waterEnergy Water Pumping pumping system at borehole near

Systems Sub-Project Mandina Ba;(ii) demonstration of wind pump at

borehole near Tanji.

UNIDO (i) feasibility of expanding pilotSolar Salt Works solar salt evaporation system

at Darsilameh from 50tonnes/year to 500 tonnes/year.

Saudi Arabia/GTZ (i) demonstration of a pilot solarSolar PV Water PV powered water pumping systemPump. at a borehole near Jambanjali.

UNSO/DANIDA (i) development and disseminationStove Development of 1000 metal stoves (KumbaProject. Gaye);

(ii) development and disseminationof 6000 clay and sand stoves.,

Available Reports on the Gambia's Energy Sector

1. Republic of The Gambia/United Nations Sudano-Sahelien Office (UNSO):Energy Survey and Master Plan Report, May 1983.

2. Mangrove Feasibility Study: Report of Gambia Forestry Project No.635-0205 by Checchi and Company, September 1981.

3. Agro-Based Energy: Study by Gambia Commercial and Development Bank,1980.

4. Hydrological and Topographical Studies of the Gambia River Basin(6 Volumes), by Howard Humphreys and Sons:, July 1974.

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ANNEX IVPage 1 of 4

SOLAR WATER HEATING ANALYSIS

A. Senegambia Hotel (305 - two bed rooms)

Hot water used in rooms, in kitchen, and in laundry; the hot water isproduced by a German-made "OMNICAL" boiler rated at 235 kW at 110°C and 5.5Bar. The boiler fuel consumption is as follows: 1/

Diesel consumption

Total average diesel cost/month =D 15,50080% allocated to hot water = D 12,400 or $4,769/monthat D 1.74 per liter = 7,126 1/monthBtu requirements per day = 7,136 1/month = 237.5 1/day

= 237.5 1/day

Heat Rateat 44,375 Btu/l x 237.5 1/day = 10.5 x 106 Btu/dayat 80% boiler efficiency = 8.4 x 106 Btu/day

heat transferred into the waterAs a check: (305 rooms x 2 beds per room = 610 beds)

At maximum occupancy:610 people x 20 gal/day 2/ = 12,200 gal/day12,200 gal/day = 101,626 lbs/day

Assume water temperature into boiler =75 0F

Assume water temperature intostorage tank = 140°F

Heat pickup by water = 101,626 lbs/day x 65 Btu/lb=6.6 x 106 Btu/day

8.4 x 106 =6.6 x 106 + 1.8 x 106

Btu/day

1/ Information provided by Hotel Managing Director, Chief Accountant,and Engineer.

2/ 20 gpd assumed, as hotel is tourist hotel on beach with multipleshowers per day per person. This is a high use rate but is neces-sary for proper design and estimating purposes. Tourist season isclose to full occupancy.

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ANNEX IVPage 2 of 4

Kitchen plus laundry in hotel can account for some or all ofthe 1.8 x 106 Btu/day, or the 140°F can be 160°F, suggestingestimates are close enough for this stage.

For this application, the most cost effective solar system wouldbe of the low cost plastic unglazed type producing hot water at 120°Finter-tied with the existing storage tank, and lowering the system. tem-perature to 120°F if possible, but still maintaining the existing oil-fired boiler for trim if necessary, and for emergency usage. The un-glazed system under those conditions experienced in the Gambia can berated at 800 Btu/ft2/day. Collectors have an installed cost of approxi-mately $5.00 per ft2. To pick up the full 8.4 x 106 Btu will require10,500 ft2 of collectors.

The total installed cost can therefore be estimated as follows:

Collector $52,500Pumps 2,0002 Storage Tanks 2,500Piping and Controls 2,000

$59,000Contingency (20%) 11,000

$70,000

The simple payback based on the current average of $4,769 permonth :Eor diesel oil water heating is about 15 months. Adding in ship-ping charges and time cost escalation still will result in less than at:wo year payback. It is unlikely that specific site problems could drivethe cost over to the three year payback point. While each hotel has itsown specific demand requirements, it is assumed that those using dieseloil for hot water heating will present sim:Llar payback situations whilethose with electric water heaters should look even better.

Glazed flat plate collectors have not been considered for thisapplication as the higher cost per ft2 of collector surface -- at least425.00 per ft2 -- is not compensated for by the somewhat higher thermalperformance. With glazed flat plate collectors the total installed costis estimated at $195,000 for the Senegambia Hotel. This would provide atbest, EL 41-month payback. Shipping, time cost escalations, unique siteproblems all will result in driving the payback out further from thispoint.

B. Banjul Brewery Ltd.

The Brewery uses 22,000 liters of diesel oil a month to heatwater in a hot water boiler rated at 110°C at 10 Bar. At 22 working daysper month this works out to 1,000 liter/day. Assuming 100% make-up, the

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ANNEX DPage 3 of 4

water is heated from 750C to 230°F or 155 Btu is added to each pound ofwater. If a substantial condensate return is used, the system can bemodified to be a higher temperature, lower flow configuration.

1,000 liter/day x 44,375 Btu/liter = 44,375,000 Btu/day

44.375 x 106 Btu/day = 286,290 lb/day = 34,368 gal/day

155 Btu/lb

Installing a low-cost, plastic unglazed water heating systemwhich is limited to a 120°F outlet temperature will result in the follow-ing:

(i) System spec: Raise the temperature of 286,290 lb/day waterfrom 75°F to 120°F

(ii) Therefore: 286,290 lb/day x 45 Btu/lb + 12,883,050 Btu/day

At 800 Btu/ft2/day 1/ collection area = 16,100 ft2

The installed solar system cost is estimated at:

Collectors $80,500Pumps 3,5002 Storage Tanks 5,000Piping and Controls 4,000

$93,000Contingency (20%) 18,000

$111,000

22,000 liter/month x D 1.74 + D 38,280/mo = $14,723/mo Totaldiesel bill

36.3% diesel oil is displaced by solar heating, assuming an 80%boiler efficiency, therefore:

.363 x 14,723 5,344/mo savings

1/ The use of 800 Btu/ft2/day unglazed and 1,000 Btu/ft2/day for glazedflat plate collectors is probably conservative. With the solarregime in the Gambia these values could be 20% higher, resulting insmaller, hence less costly, solar arrays.

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ANNEX IVPage 4 of 4

At an installed cost of $111,000, the simple payback that will result isabout 21 months which would be acceptable. 1/

C. Existing Installation

There is one solar hot water heating installation in operationin the Gambia at the Hotel Training School outside of Banjul. The systemhas been successfully operating since the school's opening in late1980. It consists of 14-30 ft2 flat plate collectors made by SunsenseLtd. of Peterborough, England. The collectors utilizing plastic glazingappeared to be inexpensively constructed, yet perfectly adequate for thejob.

1/ This estimate must be refined by detailed verification. Both thediesel oil used for self-powered generation and a possible 26-daywork month can change the size of the system. The relative economicsas shown are valid and the payback should not vary.

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ANNEX V

THE NATIONAL ENERGY COMMISSIONTERMS OF REFERENCE

1. To advise Cabinet on energy resources availability, with due re-gard to pricing, in order to assist Government evolve a nationalenergy policy which integrates energy into the economy with theaims of achieving conservation and efficiency in utilizing thegreatest possible range of energy resources.

2. With the back-up service of the Energy Planning Unit, assist inthe coordination of energy planning, and to promote the orderlydevelopment of the country's energy resources.

3. To prepare a phased programme for conservation of energy, con-centrating on petroleum products and fuel wood.

4. To encourage the rational utilization and development of energytechnologies with particular attention given to socio-economicand environmental factors.

5. Within the framework of regional and sub-regional cooperation,promote regionally combined development of energy resources.

6. To monitor progress of programmes of energy conservation anddevelopment and suggest modifications in these in light of ex-perience and changing conditions of the domestic and inter-national economies.

7. To maintain a close liaison with the National Science and Tech-nology Development Committee by suggesting areas for initiatingcoordinated efforts towards indigeneous technological develop-ment in energy.

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ANNEX VI

Petroleum Product Pricing Zones in the Gambia

Zone 1Bijilo, Banjul, Serrekunda, Brufut, Bakau, Lamin, Sukuta, Yundunm.

Zone 2Brikama, Faraba, Gunju, Kartong, Tanji, Tujereng, Pirang, Sanyang.

Zone 3Barra, Berending, Buniadu, Chamen, M'Bolet, Bondali, Bulock, Bwiam,Fass, Kafuta, Kalagy, N'Demban, N'Dugu-Kebbeh, Sibanor, Sintet,Aljamdu, Albreda, Dasilama (NBD), Kuntair, Sika.

Zone 4Bureng, Barokunda, Farafenni, Japeni, Jasong, Kiang Jataba, Kerewan,N'Jawara, N'Jaba-Kinda, Noh-Kunda, Paka linding, Soma, Salekene,Minteh-Kunda.

Zone 5NfGain Sanjal, Pakaliba, Kaur, Kuntair, Georgetown, Brikama-Ba,Sapu/Panchang.

Zone 6Bansang, Basse, Bakadaji, Diabugu, Falloto, Fatatenda, Kossemar,Karantaba, Sami, Sutukoba, Foday-Kunda.

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