TITLE:
Economic Theory and Reforms of the Electrical Energy Sector in the Republic of Congo: What Lessons?
AUTHORS:
Toussaint Armel Bakala
KEYWORDS:
Reforms, Electricity, Competition, Regulation, Congo
JOURNAL NAME:
Modern Economy,
Vol.14 No.10,
October
26,
2023
ABSTRACT: This paper makes an analytical assessment and draws lessons from the
reforms of the electric energy sector in the Republic of Congo. Focused on the
complete opening of the market and the establishment of a regulatory agency
since the beginning of the 2000s, the reforms of the electricity sector in the
Republic of Congo are not producing the expected results. The reasons for this
failure come, among other things, from the fact that these reforms do not take
into account the size of the market which is a crucial factor likely to
influence the capacity and options of the reforms undertaken. Moreover, the
simulations on the size of the market, in our mathematical model, confirm this
intuition: the size of the electricity market in the Republic of Congo is too
small to be embarked on the path of increased competition. Also, the regulatory
agency created has neither the material and financial resources nor the
autonomy necessary to fulfill the missions assigned to it and support the
sector in optimal organization and an optimal pricing system.