June 26, 2026

Ouaga Press

Independent English-language coverage of Burkina Faso's most pressing news and developments.

Gabon splits SEEG into two state-backed utilities for water and electricity

The dissolution of the Société d’énergie et d’eau du Gabon (SEEG) is now official. During a cabinet meeting on Thursday, June 25, 2026, Gabon’s executive approved two bills that abolish the single operator in favor of two specialized entities. The first, named La Gabonaise des Eaux, will handle drinking water production and distribution. The second, Électricité du Gabon, will focus on the electricity segment—from generation to commercialization. Both will adopt the status of mixed-economy companies, combining state ownership with private capital.

A split that ends decades of integrated operation

Established in 1997 after a concession awarded to French group Veolia for twenty years, SEEG had embodied the integrated operator model, bundling water and electricity under one roof. This approach, common in Francophone Africa during the late 1990s, had for years shown its limitations in Gabon—persistent blackouts, aging networks, and chronic financial strain. The return of the concession to public control in 2018 failed to stem the decline in service quality, widely criticized by both residential subscribers and businesses.

By separating the two activities, Libreville is betting on specialization. The economic and technical logic of water and electricity differs profoundly. Electricity requires heavy investment in thermal and hydroelectric generation, energy mix decisions, and high-voltage grid management expertise. Water, on the other hand, revolves around resource access, treatment, and expanding urban coverage. Combining both in one entity often diluted investment priorities.

The bet on mixed-economy companies

The choice of the mixed-economy status is no small decision. It reflects the Transition authorities’ desire to retain public control over essential services while opening the door to technical and financial partners who can bring capital and know-how. This hybrid model has been tested elsewhere on the continent with mixed results: in Sénégal, Sen’Eau has teamed up with Suez since 2020 for drinking water distribution; in Côte d’Ivoire, the lease-contract model with CIE and SODECI remains a regional benchmark.

What remains to be seen is the precise capital structure of each new entity, as well as the identity of any strategic partners. The Gabonese government has yet to release a detailed timeline for operationalizing the two companies, or clarify the fate of the former SEEG’s assets and staff. The transfer of existing contracts, accumulated debts, and commitments to international lenders will be one of the trickiest tasks of the transition.

A political test for the Transition

Beyond the technical dimension, the reform carries strong political weight. The authorities from the Committee for the Transition and Restoration of Institutions (CTRI) have made improving public services a key marker of their tenure. Water and electricity provision is among the most visible grievances for Gabon’s population, especially in peri-urban areas of Libreville and Port-Gentil. An institutional overhaul alone cannot resolve decades of underinvestment in infrastructure.

Traditional sector donors—led by the African Development Bank and the French Development Agency—will closely watch the concrete implementation of this new architecture. The plan’s credibility will largely depend on governance within the two companies, the quality of the tariff framework, and the regulator’s ability to balance financial sustainability with service affordability. For Gabonese industries, particularly mining and forestry players who are heavy energy consumers, the stability of the new system will be under scrutiny. The two bills still need to be reviewed by the Transition Parliament before taking effect.