The Gabonese government is reassessing its long-term energy strategy after a controversial contract with Karpowership—a subsidiary of Turkey’s Karadeniz Holding specializing in floating power plants—has come under scrutiny. Officials in Libreville currently pay 1.8 billion Central African CFA francs monthly for a theoretical capacity of 150 megawatts, yet actual delivered output hovers between 80 and 90 megawatts. This discrepancy has intensified budgetary concerns as the transitional authorities push for greater fiscal transparency and efficiency.

The shift from temporary fix to structural dependency

Initially designed as an emergency measure, the powership solution was adopted to address Gabon’s chronic power shortages, exacerbated by aging thermal plants and seasonal hydropower deficits. The floating generators, docked near Owendo, promised rapid deployment of dozens of megawatts—an approach successfully tested in nations like Ghana, Sierra Leone, and Senegal. However, while the short-term fix worked, it failed to prevent Gabon from becoming reliant on external energy supply. Even as local projects, including gas-powered plants and the Kinguélé Aval dam (partnering with Meridiam), progress, the country still depends on Turkish-operated powerships during peak demand periods.

Over the past year alone, the state-owned electricity provider, SEEG, has spent over 21 billion CFA francs on this arrangement, a significant burden for a nation under tight financial scrutiny. The transitional administration inherited not only an energy crisis but also opaque procurement practices, prompting a sweeping audit of major public contracts.

Why the powership model faces growing skepticism

The core issue lies in the pricing model. Gabon pays for 150 megawatts it rarely receives, inflating the effective cost per unit of electricity. Critics within government and technical circles argue the contract excessively shields Karpowership from operational risks and demand fluctuations. With the transitional government vowing to overhaul energy policy, the powership arrangement has become a symbol of unsustainable public spending.

Karpowership operates across Africa, managing dozens of floating plants in over a dozen countries. While praised for rapid deployment—offering units ranging from 30 to 470 megawatts—the model inherently creates dependency. Disconnecting from such contracts without immediate replacements risks plunging national grids back into blackouts, leaving governments with little leverage in negotiations.

Negotiate, phase out, or walk away: the tough choices ahead

The government faces a delicate balancing act. Terminating the agreement without ensuring equivalent new capacity could trigger severe electricity shortfalls. While long-term projects like Kinguélé Aval and upcoming gas plants promise relief, they won’t be fully operational for at least two to three years. This timeline leaves limited room for maneuver.

Three primary options are under consideration. The first involves renegotiating terms to tie payments strictly to actual delivered power. A second approach favors a phased withdrawal, synchronized with the rollout of domestic infrastructure. The most drastic path would involve an immediate termination, potentially triggering international arbitration while seeking alternative suppliers. Any decision will reflect Gabon’s broader commitment to energy sovereignty and fiscal responsibility.

Insiders anticipate decisive action within weeks as the country finalizes its new energy roadmap.