(Business in Cameroon) – Cameroon’s state-owned infrastructure company, Electricity Development Corporation (EDC), reported a net profit of 20.5 billion CFA francs for the fiscal year ending December 31, 2024. This was disclosed in a statement following a Board of Directors meeting held on July 11, 2025, in Yaoundé.
The 2024 net result marks a 70.8% year-on-year increase compared to the 2023 fiscal year, when EDC posted an after-tax profit of just over 12 billion CFA francs. This is the second consecutive year the company has set a new record for this performance indicator.
Internal sources attribute this performance to several factors. First, gains came from the direct sale of electricity to utility Eneo, generated by the Memve’élé (211 MW) and Lom Pangar (30 MW) hydroelectric power plants. The latter has been operating at full capacity since early 2024.
Additionally, water usage fees from regulating river flows on the Sanaga significantly increased in 2024. This rise is linked to the commissioning of the Nachtigal power station (420 MW), which joined the Edéa and Songloulou dams. Operators of all these facilities pay water usage fees to EDC, utilizing water released from the Lom Pangar dam, which has a retention capacity of 6 billion cubic meters.
Persistent Cash Flow Challenges
These two factors led to a revenue increase for EDC, reaching 141.7 billion CFA francs in 2024, according to consolidated financial statements released by the company’s Board of Directors. This revenue boost, combined with management reforms focused on cost control, enabled EDC to achieve another record profit for the 2024 fiscal year.
However, internal sources emphasize that this impressive performance largely remains on paper. It does not reflect in the company’s cash position, which remains fragile. The reason is the accumulation of payment arrears by Eneo, the electricity producer and distributor, related to both water usage fees and the direct purchase of electricity.
To justify its persistent insolvency, Eneo typically cites outstanding payments owed to it by the Cameroonian government, specifically various ministries and their nationwide branches, as well as public enterprises and decentralized local authorities. As a result, Eneo, controlled by the British investment fund Actis, generally makes its payments to EDC conditional upon the settlement of its receivables from these public entities. This situation has weakened EDC’s cash flow for years.
Brice R. Mbodiam
