On the road to energy autonomy: Madagascar facing the challenges of Jirama
Jirama, the national water and electricity production and distribution company in Madagascar, is once again facing increasing pressure. This time, it was the fuel carriers who issued an ultimatum, demanding a resolution of the situation by August 15. A request that highlights the financial difficulties that Jirama is facing.
In a letter addressed to the Minister of Energy, the fuel carriers reveal that Jirama owes them nearly 14 billion ariarys, or about three million euros. A colossal debt for a company already heavily in debt. Non-payment of this sum risks leading to the stoppage of fuel deliveries to the public water and electricity company. This situation creates additional tension for Jirama, whose thermal power plants must operate at full capacity to ensure the supply of electricity during the period of drought and low water levels.
The fuel carriers’ letter highlights Jirama’s non-compliance with commitments regarding the staggering of the payment of arrears. In April, an agreement was reached with the Minister of Energy for a staggered payment of two billion ariarys per month, divided equally between all carriers. However, this agreement was not respected, putting the twenty member companies of the transporters’ association in a critical financial situation.
Jirama has been at the heart of Malagasy concerns in recent weeks due to the frequent load shedding that has affected the capital, Antananarivo. Hydroelectric plants are having difficulty operating and Jirama is unable to provide regular electricity to the population. This situation highlights the need to find sustainable solutions to improve the country’s energy situation.
The Minister of Energy has not yet responded to requests for this ultimatum from fuel transporters. It is crucial that concrete measures be taken to quickly resolve this crisis and find lasting solutions to ensure the country’s energy autonomy. The stability of the Jirama is essential to guarantee access to water and electricity for all Malagasy people, and this requires commitment and concerted action on the part of the authorities and actors involved.
In conclusion, the current situation of Jirama in Madagascar highlights the challenges the country faces in ensuring reliable and sustainable energy production and distribution. It is crucial to take immediate action to solve Jirama’s financial problems, strengthen corporate governance and invest in renewable energy sources. Only a global and proactive approach will allow Madagascar to progress towards stable and sustainable energy autonomy