The Government of the Gambia is currently developing an ambitious Renewable Energy law, a project funded by the European Union. The objectives of the RE act are to:
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promote the use of renewable energy resources, including hybrid systems, to achieve greater energy self-reliance and thereby reduce the exposure to fossil fuel price fluctuations, reduce harmful emissions, and promote economic growth and protection of the environment in The Gambia
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increase the development of renewable energy by development of national and local capabilities and providing both fiscal and non-fiscal incentives
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enhance the use of renewable energy resources
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establish the roles of each relevant institution
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contribute to observe the regional decisions adopted in Accra regarding the ECOWAS Regional Renewable Energy Policy.
The draft document, which is under review, call for the Ministry of Energy to define targets in the energy sector for 2030, and says that such targets should be realistically set. The development of a Feed-in-Tariff mechanism to better atract foreign investors is indicated, as well as adequate support for off-grid RE electricity, being off-grid producers allowed to charge electricity tariffs to end-user consumers up to the current national retail tariff rates.
Among the fiscal incentives for RE deployment in the country, the exemption from corporate tax for 15 years, the exemption from VAT and tax exemption of carbon credits should be mentioned.
The draft law also mandates the Ministry of Energy to carry out an impact assessment for the use of biomass for electricity and for other purposes, as well as to study the best ways to make the transition to modern bioenergy in the Gambia.
The need to facilitate the permitting process for facilities using RE is also highlighted, so is the need to work with universities and other training providers to promote the implementation of educational programmes within the RE sector.
The draft document was developed in partnership with the consulting company AF-mercado EMI, and it is available in ECOWREX.
Observatory Country:
Gambia
News Type:
Country Profile Highlight
