The Gabonese government is reassessing its controversial contract with Karpowership, a subsidiary of Turkey’s Karadeniz Holding, which operates floating power plants. Officials in Libreville currently pay 1.8 billion CFA francs monthly for a theoretical capacity of 150 megawatts, yet actual power delivered fluctuates between 80 and 90 megawatts. This disparity has sparked concerns as the transitional authorities push for greater transparency in public spending.
From stopgap to entrenched solution
Initially, the agreement with the Turkish operator was meant as a temporary fix. Chronic electricity shortages—exacerbated by aging thermal plants and unreliable hydroelectric output during dry seasons—prompted officials to turn to powerships. These floating power stations, docked near Owendo, can rapidly inject dozens of megawatts into the national grid. While the approach, tested in countries like Ghana, Sierra Leone, and Senegal, provides quick relief, it comes at a premium compared to conventional land-based alternatives.
What started as a short-term measure has evolved into a long-term dependency. Local energy projects, including hydropower dams and gas plants, have failed to render the Turkish contract obsolete. As a result, the Société d’énergie et d’eau du Gabon (SEEG) remains reliant on external supplies, especially during peak demand. Over the past year, the cumulative bill has surpassed 21 billion CFA francs—a significant burden for a nation under tight fiscal scrutiny.
Mounting economic pushback
The core issue lies in the gap between contracted capacity and actual delivery. Paying for 150 megawatts while receiving far less inflates the real cost per megawatt. Critics within the administration and technical circles argue that the contract’s terms disproportionately shield the Turkish operator from demand fluctuations and technical failures. Since assuming power in August 2023, the transitional leadership has launched systematic audits of major public contracts inherited from the previous regime.
Karpowership is no stranger to African markets, operating dozens of powerships across over a dozen sub-Saharan nations. Its strength lies in rapid deployment, offering units ranging from 30 to 470 megawatts. However, its model creates a dependency trap: once integrated, ending the contract risks plunging states back into power shortages unless viable alternatives are in place.
Renewing or terminating the agreement
The challenge extends beyond finances to operational realities. Terminating the deal without simultaneously launching equivalent generating capacity could trigger supply shocks. Key projects like the Kinguélé Aval dam (partnered with Meridiam) and upcoming gas plants won’t reach full capacity for another two to three years. Short-term options remain limited.
Three potential paths are under consideration. The first involves renegotiating financial terms, tying payments more closely to actual output. The second favors a phased exit, synchronized with the ramp-up of new infrastructure. A third, more drastic option would involve an outright termination, potentially risking international disputes. The decision will shape Gabon’s energy policy credibility and align with its industrial sovereignty goals.
