CAMEROON

1. GENERAL OPERATING ENVIRONMENT

2. ENERGY AND RENEWABLE ENERGY

3. ENVIRONMENTAL GOVERNANCE

4. ORGANIZATIONS, SOURCES, REFERENCES

CAMEROON report 2 (25)

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GENERAL OPERATING ENVIRONMENT

1.1 Basic Facts & Geography

1.2 People & Society

1.3 Culture & Business Culture

1.4 Infrastructure & Logistics

1.5 Government & Legislation

1.6 Economy

1.7 International Trade, Cameroon & Finland

1.8 Education

1.9 General Operating Environment - Summary

CAMEROON report 3 (25)

1.1 BASIC FACTS & GEOGRAPHY Location Central Africa Area 475 440 km2 (98,7 % land, 1,3 % water)

Borders

West: Nigeria (1 690 km) North East: Chad (1 094 km) East: Central African Republic (797 km) South East: Republic of Congo (523 km) South: Gabon (298 km) South: Equatorial Guinea (189 km) South West: Gulf of Guinea (402 km)

Climate Tropical/Semiarid & hot Terrain Plains, plateau in centre, mountains in west Natural hazards Volcanic activity (last eruption in 2000) Source: CIA, World Bank, OECD

Cameroon is located in the western part of Central Africa region. It is positioned on the Gulf of Guinea and its

neighbouring countries are Nigeria, Chad, Central African Republic, Republic of Congo, Gabon and Equatorial

Guinea (CIA)

French Cameroon became independent in 1960 and merged with southern British Cameroon in 1961 (CIA)

Major rivers are located in the south (Wouri, Sanaga), they are largely non-navigable. In the north, river

Benue connects through Nigeria to the Niger River – it is navigable in the rainy season only to the port of

Garoua (CIA)

Mt. Cameroon (4 095 m), which last erupted in 2000, is the most frequently active volcano in West Africa;

lakes in Oku volcanic field have released fatal levels of gas on occasion, killing some 1 700 people in 1986

(CIA)

The main disease epidemics raising national concern include: bacterial and protozoal diarrhea, hepatitis A

and E, and typhoid fever (CIA)

Compared to other African countries, Cameroon enjoys relatively high political and social stability. This has

permitted the development of agriculture, roads, railways, and large petroleum and timber industries

An economic crisis took effect in the mid-1980s to late 1990s as a result of international economic conditions,

drought, falling petroleum prices, and years of corruption and mismanagement. Cameroon turned to foreign

aid, cut government spending, and privatised industries. In 2008, Cameroon experienced its worst violence in

15 years when a transport union strike in Douala escalated into violent protests in 31 municipal areas

CAMEROON report 4 (25)

1.2 PEOPLE & SOCIETY 2009 2010 2011 Population, total 19,18 mil. 19,60 mil. 20,03 mil. Population, growth 2 % 2 % 2 % Population, density 41/km2 41/km2 … Urban population 51 % 52 % 52 % Rural population 49 % 48 % 48 % Population (0-14 years) 41 % 41 % 40 % Population (15-64 years) 56 % 56 % 56 % Population (65 years and above) 3 % 3 % 4 % Life expectancy at birth 51 51 52

Major cities(2009) Yaoundé - capital (1,7 million) Douala (2,1 million)

Source: CIA, World Bank

Population of Cameroon is about 20 million and it is growing by approximately 2% every year. About 20 % of

population lives in two major cities – Douala and Yaoundé (capital) (WORLDBANK)

Poverty rates virtually stagnated between 2001 and 2007 at close to 40 %. Over 50 % of rural households are

poor—compared with 12 % of urban households—and about 87 % of the poor live in rural areas. The data

illustrate the large geographic and socioeconomic disparities present in Cameroon (WB)

1.3 CULTURE & BUSINESS CULTURE

Language Official: French, English Other: Fulfulde, Adamawa-Ubangui, Benue-Congo

Ethnic groups Cameroon Highlanders (31 %), Equatorial Bantu (19 %), Kirdi (11 %),Fulani (10 %)

Religion Christian (69 %), Muslim (21 %) Source: CIA, OECD

Cameroon, also affectionately known as “Africa in Miniature” or “Petit Afrique” is a West African Country

about the size of California. Cameroon’s nickname comes from its great environmental and cultural diversity,

which mimic the continent of Africa (WILKES UNIVERSITY)

Cameroon has two official languages, French and English and has over 250 ethnic groups, each with its own

language and culture (WILKES UNIVERSITY)

Cameroon has a unique history that has contributed to further cultural diversification, including blending of

Cameroonian and Western cultures (WILKES UNIVERSITY)

Cameroon is the only African country to have been colonized at one point in their history by three separate

major world powers, Germany, England and France (WILKES UNIVERSITY)

It has two systems of justice and two systems of education, the English justice and educational systems in the

West and the French legal and education systems practiced in the East. Due to the passage of time since

German colonization, German influence is mostly limited to existing plantations and infrastructure such as

roads, bridges, buildings and statues (WILKES UNIVERSITY)

CAMEROON report 5 (25)

1.4 INFRASTRUCTURE & LOGISTICS Railways: 1 000 km Road network density (km/1000 km2 of land area):

72 km (average for mid-income countries is 318 km)

Ports: Douala (main port of Cameroon) Waterways: Garoua - river port on Benue river in the north (navigable only

in the rainy season) Airports: Total: 34 (11 paved, 23 unpaved

Major: Douala Other: Yaoundé

Source: World Bank, CIA

Cameroon’s railway network is about 1 000 km long, and it is almost entirely single-track. It connects the

south-eastern port of Douala with the capital Yaoundé and continues to the north to Ngaoundéré (WORLD

BANK)

Because of the poor condition of its road network and delays in the port of Douala, Cameroon’s ability to

move goods and connect manufacturers and consumers with international markets is one of the lowest in

the world (WORLD BANK)

27 % of Cameroon’s rural inhabitants have access to all-season roads (WORLD BANK)

Cameroon’s road network is in relatively poor condition. The condition of the country’s classified paved road

network is below the level of peer countries, with only 52 percent of the classified paved network in good or

fair condition. The quality of the roads hobbles the private sector. About one in three firms in Cameroon

identified roads as a major constraint for doing business (WORLD BANK)

Investing in the infrastructure could now be beneficial, since the government is having huge privatization

programs. The water sector has been privatized and the privatization of the national air company and the

national telecommunications company are on their way, but having constant problems

CAMEROON report 6 (25)

1.5 GOVERNMENT & LEGISLATION Official name Republic of Cameroon Conventional short form Cameroon Form of state Republic, multiparty presidential regime Regions and districts 10 main regions

Government President: Paul Biya (since 1982) National Assembly: 180 members Main party: Cameroon People’s Democratic Movement

Legal system Mixed (English common law/French civil law/Customary law) Independence 1960 (from France, from UK) Corruption perception index (2011) 134 (out of 183 countries) Source: CIA, Transparency International, OECD

The form of state is unitary republic but the power lies in the hands of the president Paul Biya, who has been

in power since 1982. He has won the latest elections in 2011 for another 7-year term. There is slow

movement towards a democratic reform (FINPRO)

Even though technically a multi-party democracy, the ruling Cameroonian People’s Democratic Movement

(CPDM) does not tolerate opposition parties or anti-government groups. Also, the country’s president, Paul

Biya, has been in power for 30 years. During this time he dismantled the opposition and took full control over

the media (RABOBANK)

Both economic activity and social mobility are obstructed by persistent corruption. Cameroon only ranks

134th

(out of 178) on the corruption perception index and 161st

(out of 183) on the ease of doing business

index (TRANSPARENCY INTERNATIONAL)

Cameroon’s political situation is not sustainable. This follows from the fact that president Biya is in his

seventies and thus will not be around for long. Such a potential power shift implies a high level of

uncertainty. Especially considering that Cameroon’s political institutions are undeveloped and the country

lacks intellectual elite (RABOBANK)

CAMEROON report 7 (25)

1.6 ECONOMY World bank ranking Lower-Middle Income Currency Central African CFA franc (XAF) 2009 2010 2011 GDP (current US$) (billions) 22,18 bil. 22,48 bil. 25,46 bil. Structure of the economy (% of GDP)

- Agriculture - Industry - Services

… … 35 % … … 34 % … … 31 %

GDP growth (annual %) 2 % 3 % 4 % GNI per capita, PPP (current intl.) $ 2 220 $ 2 260 $ 2 360 Inflation, consumer prices (annual %) 3% 1 % 3 %

Ease of doing business ranking 164

(out of 181) 171

(out of 178) 168

(out of 183) Source: CIA, World Bank, The Economist

Over two decades after its independence, Cameroon was one of the most prosperous African countries. This

ended with a drop in commodities prices in the 1980’s hitting Cameroon’s export-driven economy. Combined

with bad financial and monetary policies the country finally fell to the hands of the World Bank and the IMF.

The measures suggested by the institutions have been harsh and the country hasn’t been able to meet the

conditions of the programs, of which the last ended in 2008 (FINPRO)

The currency of Cameroon is the Central African Franc which is also common currency for other 13 African

states (FINPRO)

Because the Cameroonian economy is very dependent on a few commodities that it exports, the volatility in

the world prices of commodities make the economy very vulnerable and unpredictable. Economic

development has been impeded by economic mismanagement. Cameroon has been rated one of the most

corrupt countries in the world (FINPRO)

The growth rates have been close to population growth (2-3%) in the recent years, but not enough to

significantly reduce poverty. During the financial crisis, Cameroon also experienced a recession: inflation rate

increased, namely the food prices; exports depressed and unemployment rose (FINPRO)

Despite different measures taken by the government to the self-sustaining food production, Cameroon has

become increasingly dependent on food imports and on price ceilings to control living standards. Domestic

food production has not kept up with population growth (FINPRO)

Cameroon seems to have growth potentials in the sectors where it performed well before the 1980’s

(agriculture, infrastructure and manufacturing) as well as with new technologies. The crucial precondition for

growth is the easing of business environment, namely the decrease in corruption and the implementation of

better policies. Politics seems to be dragging on growth and political risks are also estimated to be very high

(FINPRO)

The importance of Cameroon’s oil industry is fading as oil sources are slowly depleted. Even though the

government will continue to explore (other) smaller wells, the effects will be felt. In order to arrive at a

CAMEROON report 8 (25)

healthy growth rate and maintain sustainable budget and current account balances, the government should

invest in other sectors so as to diversify its economy as well as its export base (RABOBANK)

Cameroon has already formulated plans to invest in forestry, infrastructure and alternative energy sources.

And planned investments in agriculture should help raise cocoa and coffee exports (RABOBANK)

1.7 INTERNATIONAL TRADE, CAMEROON & FINLAND 2009 2010 2011

Export of goods and services ($) 5,89 bil.

27 % of GDP 6,50 bil.

29 % of GDP 7,18 bil.

28 % of GDP

Import of goods and services ($) 6,97 bil.

31 % of GDP 7,20 bil.

32 % of GDP 8,14 bil.

32 % of GDP Net export ($) -1,07 bil. -0,70 bil. -0,96 bil. FDI net inflows (% of GDP) 3,01 % 0,00 % … Source: CIA, World Bank, OECD

Cameroon belongs to the Economic and Monetary Community of Central Africa (CEMAC) and the Economic

Community of Central African States (ECCAS), which are due to merge to open the way for the creation of a

single African currency among the eight Regional Economic Communities recognized by the African Union.

There is little diversification of foreign trade in terms of products or trading partners. The European Union is

the country’s leading partner, with a 41% share of trade by value, followed by East Asia with 18.3%, the

CEMAC zone with 8%, North America with 4.7%, West Africa with 3.4% and Latin America with 2.6%.

Most important export commodities are crude oil and petroleum products, lumber, cocoa beans, aluminum,

coffee and cotton (FINPRO). Export partners are Netherlands (14 %), Spain (12 %), Italy (12 %), China (9 %),

US (6 %), France (6 %) and South Korea (5 %) (FINPRO)

For imports the most important products are machinery, electrical equipment, transport equipment, fuel and

food (FINPRO). Imports come mainly from France (21 %), Nigeria (11 %), (China 10 %), Belgium (7 %) and the

U.S. (4 %) (FINPRO)

Finland does not have permanent representation in Cameroon, closest embassy is in Nigeria (MFAF)

Honorary Consulate of Finland is in Yaoundé and represented by Alix Elisabeth Suzanne Bétayéné (MFAF)

Cameroon’s closest general consulate is in Stockholm, Sweden (Cameroon Government)

CAMEROON report 9 (25)

1.8 EDUCATION Literacy rate, % of people ages 15 and above, 2009 71 % Primary school enrolment, % net, 2009 92 % Higher education: Public uni., Private Tertiary Education (17) Largest universities: Bamenda Uni. of Science & Technology

International Uni. (Bamenda), Uni. of Buea Uni. of Douala, Uni. of Dschang, Uni. of Ngaoundéré, Uni. of Yaoundé

Source: World Bank

French principles of education predominate in Cameroon's secondary and technical schools. Mission schools

play an important role in education and are partly subsidized by the government (BAMENDA UNI)

Less than half of the school age population completed primary education in 2009 and school life expectancy

only increased by two years over the past twenty years. The main reason for dropping out of school seems to

be the lack of finance, surprising since public primary education is officially free (WORLD BANK)

Vocational training is not closely linked to the needs of the labour market. Vocational institutions enrol only a

small number of students and focus on a few sectors such as construction (representing about 25 % of total

enrolment) and leaving other important areas of the economy, such as tourism (3 %) and agriculture (less

than 1 %) (WORLD BANK)

1.9 GENERAL OPERATING ENVIRONMENT - SUMMARY

Cameroon economy, despite its current difficult situation, is more developed than most of its neighbours:

Chad, Congo, Central African Republic, and Equatorial Guinea.

Cameroon could benefit from relations with its “rich” neighbour – Nigeria.

Looking at “Ease of doing business index”, Cameroon stands at 161st

place in the world. (As comparison, it is

one place behind Afghanistan). Cameroon has seen in its history several violent protests.

The president has been ruling Cameroon for over 30 years, repressing opposition and free speech. Corruption

is very high placing Cameroon in 134th

place using corruption perception index.

Cameroon official languages are both English and French. Many public institutions publish their information

only in French language.

Cameroon’s poverty rates are high. Country is dependent on food programmes and international aid.

CAMEROON report 10 (25)

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ENERGY & RENEWABLE ENERGY

2.1 General Situation in Energy Sector

2.2 Energy Policy

2.3 Renewable Energy Resources

2.4 Supply & Demand for Energy Solutions

CAMEROON report 11 (25)

2.1 GENERAL SITUATION IN ENERGY SECTOR 2009 1990 Total primary energy supply: 80,5 TWh 57,9 TWh Energy consumption per capita: 4,2 MWh/capita 3,0 MWh/capita Electricity consumption: 5,20 TWh 2,35 TWh Electricity consumption per capita: 271 kWh/capita Access to electricity: 49 % Access to electricity urban population 88 % Access to electricity rural population ~14 % Energy imports (% of energy use) -28 % -120 % Electricity imports (% of electricity use) 0 % Power production capacity: 1115 MW 627 MW Hydro power production capacity: 805 MW 530 MW Electricity production: 5,61 TWh 2,70 TWh Hydro electricity production: 4,23 TWh 2,66 TWh Fossil fuels % of total energy 30,9 % 18,7 % Sources: (IEA, World Bank, IRENA, UN data)

Major sources of commercial energy in Cameroon are petroleum, hydropower and coal. 90 % of population use

traditional solid fuels such as fuel-wood and charcoal in residential sector for heating, light and cooking. The

residential sector contributed 71 % of energy consumption in 2009. Further development of the use of biomass and

extension of national electricity grid would reduce this consumption greatly.

Self-sufficiency – Cameroon does not import or export electricity with neighboring countries. Although Cameroon is

an oil producing country, the proportion of imported petroleum products in national consumption increased

considerably between 1990 and 2000, with imports rising beyond the 56 percent mark in 2000, before dropping again

in 2003. Petroleum imports, which constitute the entirety of the country's energy imports, totaled 2,356 ktoe in 2007.

Cameroon has one oil refinery which is mainly focused on the domestic market, but also sells to neighboring countries

(CEMAC), and exports around 500,000mt/yr to international markets by sea.

(Reegle Country Profile), (MBendi)

Electricity availability and capacity - National access to electricity increased from 37% in 1996 to 46% in 2002 and to

48% in 2007, above the average for Africa’s resource-rich countries. According to different estimations between 65%

and 88% of the urban population has access to electricity. Only about 14% of rural population has access to electricity.

Electricity supply is unevenly distributed within the country. There three separate grids: the Northern Interconnected

Grid (NIG), the Eastern Isolated Grid (EIG) and the Southern Interconnected Grid (SIG). Transmission grids are

completely isolated from one another and no exchange of available surpluses can be made between the grids.

Together with the Government, the Bank and other sector donors are all considering the best technical solution for

interconnecting the three grids.

(Reegle Country Profile)

CAMEROON report 12 (25)

Source: IEA Country Energy Balance, 2009

CAMEROON report 13 (25)

2.2 ENERGY POLICY Energy policy publications Long-term Energy Sector Development Plan

(PDSE 2030), Vision 2035 Organizations responsible for energy policies The Ministère de l'Energie et de l'Eau, (MINEE −

Ministry of Energy and Water) Targets to increase use of renewable energy No information available Subsidies/ Incentives for Renewable Energy Feed-in Tariffs for renewables

Long-term Energy Sector Development Plan (PDSE 2030) and Poverty Reduction Strategy Paper (link)

The government’s policy seeks to get the country out of under-development, through the implementation of

the long-term Energy Sector Development Plan (PDSE 2030) and the Poverty Reduction Strategy Paper

(PRSP). Development of the energy sector is seen as a factor for attracting investment and strengthening

growth.

Cameroon Vision 2035 (link)

Moreover, Cameroon’s development objectives under the Vision 2035 envisage significant investments in the

energy sector, with the inclusion of renewables. The policy goals of the government are to ensure energy

independence through increased production and delivery of electricity, of oil and gas (petroleum resources)

and to ensure their contribution to economic development. (Reegle Country Profile)

Rural Electrification Master Plan (PDER)

Developing access to electricity in rural areas. Targets electrification in 660 localities through the extension of

the interconnected grids, the rehabilitation and construction of isolated diesel power plants and mini-hydro

plants as well as the development of a regional grid. (Reegle Country Profile)

Subsidies/ Incentives for Renewable Energy

A renewable energy policy is being prepared, with policy goals to increase the share of renewables in power

and heat generation, and to involve private capital in the delivery of energy.

Instead of specific legislation to promote RE in general or specific clean technologies, there is rather a general

legislation concerning the electricity sector. In its title IV, Chapter I, the law n°98/022 of 24 December 1998

governing the electricity sector, ARSEL and the REA are in charge of the promotion and the follow-up of the

use of the primary sources of energy, in particular renewable sources. (Reegle Country Profile)

Other

Cameroon Renewable Energy: Project Possibilities (link) - Commissioned in 2001, this study identifies the

actions necessary to assess Cameroon’s energy needs, and makes recommendations to a design team for a

USAID project to promote renewable energy sources.

CAMEROON report 14 (25)

National Policies and Strategies on Bioenergy in Africa Case Study: Cameroon - The Competence Platform

for Energy Crop and Agroforestry Systems for Arid and Semi-Arid Ecosystems – Africa

Energy efficiency is not represented heavily in the national energy policy, and energy prices have been

increasing steadily without efficiency improvements in infrastructure

African Development Bank and African Development Fund Country Strategy Paper 2010-2014 (link) for

Cameroon emphases need to develop governance and infrastructure issues.

(Reegle Country Profile)

2.3 RENEWABLE ENERGY RESOURCES Significant renewable energy resources Wide renewable energy resources Proven oil reserves 200 mil BBL (est. 2011)

Source: OPEC

Solar energy

Cameroon has good potential for solar energy exploitation. In the most suitable parts, the average solar

irradiance is estimated at 5.8 kWh/day/ m2, while the rest of the country commonly sees 4.9kWh/day/ m2.

Solar power is currently used in distributed generation systems, particularly for powering the cellular

telecommunications network. However, only approximately 50 PV installations currently exist.

Wind energy

Most of the country has wind speed average of 2-4 m/s at the height of 100 meter. Wind energy potential

exists in the north of Cameroon and the littoral region. Northern areas have average wind speed of 5-7m/s.

Biomass energy

Cameroon has third largest biomass potential in sub-Saharan Africa, with 25 million hectares of forest

covering three-quarters of its territory. However, the unsustainable use of this resource has led to significant

deforestation throughout the country, with an annual clearance rate of 200,000 hectares/yr. and

regeneration of only 3,000 hectares/yr. Primary uses for biomass in the country include heating and light for

the majority of the rural population.

(Reegle Country profile)

Utilisation of palm oil for biodiesel is also a viable prospect for the country. At present, around 108,000

hectares of land are affected by oil palm growing. However between 2001 and 2006 a total of 30,000

hectares of forest were cleared to allow for the expansion palm oil crop.

Geothermal energy

Potential is unknown but hot springs are found in extensive areas: Ngaoundéré region, Mt Cameroon region

and Manengoumba area with Lake Moundou.

CAMEROON report 15 (25)

Hydropower

Cameroon has the second largest hydroelectric potential in sub-Saharan Africa. Total potential is estimated at

23 GW, with a production potential of 103 TWh per year. There are three main facilities in the country: EDEA

(263 MW); Songloulou (388 MW) and Lagdo (72 MW).

The potential for small Hydro Power installations (up to 1 MW) is estimated at 1.115 TWh, mainly in the

eastern and western regions of Cameroon, however this potential is yet to be properly exploited.

(Renewable Energies in Africa (link), Reegle Country Profile)

2.4 SUPPLY & DEMAND FOR ENERGY SOLUTIONS

Households

Heat for cooking and warm water

Power for lighting, communication and electronics

Commercial and public services - including healthcare, education, administration, business

Power, heat and cooling

Infrastructure - including water supply, sanitation, communication, waste management

Power, heat and fuels

Traffic and transportation

Fuels and power for vehicles

Agriculture

fuels for vehicles

Fertilizer

Power and heat for processing crop

Industry

Heat, cooling and power

Tourism - including resorts, lodges etc.

Heat, cooling, electricity, warm water

Competition

Electricity Regulatory Agency ARSEL was created in 2000 to ensure that the privatization of the energy

market would lead to the development of competition. However, AES-SONEL a foreign-owned company was

awarded exclusive management responsibilities for electricity generation, transmission and distribution

CAMEROON report 16 (25)

assets for 20 years. This effectively entailed the transfer of monopoly, and energy security, from the

government to.

AES-SONEL owns and operates the whole transmission system and distribution system, operating three

distinct grids:

o The Southern Interconnected Grid (SIG) including Douala and Yaoundé.

o The Northern Interconnected Grid (NIG) – three Northern provinces served by Lagdo hydroelectric

plant and 14 MW thermal generation.

o The Eastern Isolated Grid (EIG) – 86 Small Thermal Units (24MW) support 31 small distribution

systems.

All hydrocarbon rights are vested in the State, and the State reserves the right to acquire an interest in all or

part of the petroleum operations.

The institutional environment of Cameroon is highly challenging for private investment which also prevents

establishment of a national market for renewable energy

(Reegle Country Profile)

CAMEROON report 17 (25)

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ENVIRONMENTAL GOVERNANCE

3.1 Description of Environmental Governance

3.2 Environmental & Social Requirements for Projects

CAMEROON report 18 (25)

3.1 DESCRIPTION OF ENVIRONMENTAL GOVERNANCE

Environmental governance is quite new in Cameroon. The Ministry of the Environment and Forestry (MINEF) was

established in 1992. In 2004, the Ministry was split into two: the Ministry of Forestry and Wildlife (MINFOF) and the

Ministry of the Environment and Nature Protection (MINEP). Cameroon also has a separate Ministry of Energy and

Water Resources. The ministries depend on foreign assistance, which represents up to 75 per cent of their financing.

(Nguiffo 2011, 21).

According to Nguiffo (2011, 22), “national and local institutions responsible for managing the environment are

fragmented and some lack a clear portfolio. There is a risk of jurisdictional conflicts and weak coordination.”

Environmental legislation has been developed since 1990’s. One of the challenges for legislation is the co-existence of

a variety of customary laws, statutory laws, the legacy of German, British and French legal systems, and the rules of

international corporations and organizations. Secondly, communities’ awareness on legislation and their rights is

limited. (Ibid. 20).

Cameroon has extremely diverse ecosystems and is signatory to several international environmental conventions.

However, the deforestation rate is also highest in Africa. African Development Bank is supporting the government to

implement actions to manage and regenerate forests, to maintain biodiversity, conserve water resources, etc. (African

Development Bank 2009, 7). Challenges related to environmental governance are evidenced by news about the killing

of nearly 300 elephants in Bouba Ndjida National Park in February 2012 (CNN 2012.)

According to African Development Bank Country Evaluation (African Development Bank 2009. 4-5), Cameroon has

initiated major reforms to improve governance. However, serious challenges still exist related to transparency,

corruption, business environment and accountability. Cameroon has been ranked 164th

of 181 economies assessed in

Doing Business Report regarding the ease of doing business. Main weaknesses in Cameroon include the complexity of

business environment, market efficiency and training.

Logging is an important source of income for Cameroon. Nguiffo (2011, 16) states that the Cameroon government

does not acknowledge economic uses for other forest services, such as hunting concessions, export of special

products, or ecosystem services.

3.2 ENVIRONMENTAL & SOCIAL REQUIREMENTS FOR PROJECTS

Environmental impact assessments have only been implemented in Cameroon since 2005, although enabling

legislation has existed since 1996. The Ministry of the Environment and Nature Protection (MINEP) approves the

terms of reference for EIAs, reviews the first draft assessment, organizes public hearings, and participates in the

assessment approval process. MINEP also signs the final compliance certificate. (Nguiffo 2011, 33).

CAMEROON report 19 (25)

Environmental legislation is available in French on Internet. It includes a decree listing projects, for which an EIA is

required: “Arrête No 0069 du fixant les différentes catégories d’opérations dont la réalisation est soumise a une étude

d’impact environnemental.” At energy sector, and EIA “summary” is required for:

Construction de central thermique et autres installations à combustibles de puissance installée inferieure

a 2 mégawatts

Transport de l’électricité par ligne moyenne tension

Electrification rurale de moyenne tension

Exploitation d’énergie renouvelable (marémotrice, éolienne, biomasse, etc.) de puissance inferieure a 2

mégawatts. (Exploitation of renewable energy: wave power, wind turbine, biomass etc. for power output

less than 2 megawatts.)

A full EIA is required for following energy projects:

Construction de central thermique et autres installations à combustibles de puissance installée de plus

de 2 mégawatts

Construction de central hydroélectrique, de puissance égale ou supérieure a 50 mégawatts

Stockage de gaz naturel et autres combustibles fossile

Stockage ou destruction des déchets radioactifs.

For some reason renewable energy projects are not mentioned in the list for the full EIA. However, a full EIA is

presumably required for projects exceeding 2 megawatts. The EIA includes a participatory process, in which the

project promoter provides all information in a public document placed at the disposal of the public and local

communities at the project site. The process also includes public consultations. (Nguiffo 2011, 33). Although public

participation is required by law, it is still very limited in Cameroon and decision making is mostly non-consultative

(Ibid. 31.)

CAMEROON report 20 (25)

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ORANIZATIONS, SOURCES, REFERENCES

4.1 Organizations & Funding Possibilities

4.2 Sources of Information, References & Links

CAMEROON report 21 (25)

4.1 ORGANIZATIONS & FUNDING POSSIBILITIES

ENERGY

Five main institutional players manage Cameroon's energy sector:

The Ministère de l'Energie et de l'Eau, (MINEE − Ministry of Energy and Water) in charge of the design and

implementation of the national energy policy

ARSEL, the Electricity Regulatory Agency

AER, the Rural Electrification Agency

AES-SONEL, the current operator which, under a framework concession contract from which individual

concession contracts are derived applicable to each function, ensures the integrity of each of the sector's

activities

SNH, the National Oil Company, in charge of the oil and gas sector.

The Electricity Development Corporation (link)

The Electricity Development Corporation was created in November 2006. The organisation is responsible for:

o Management of public assets in the electricity sector, on behalf of the state

o Studying, preparing or executing any infrastructure projects in the electricity sector that are

entrusted by the state

o Participating in the promotion and development of public and private investment in the electricity

sector.

The Rural Electrification Agency (AER)

The AER promotes electricity by providing operators and users with the technical, and possibly financial,

assistance required for development of renewables. The agency acts as a rural electrification consultancy for

the State and, as such, develops community management mechanisms for renewables, and organises the

rural populations benefiting from electrical installations.

The Energy Management Unit

Within the Ministry of Energy and Water, the Cellule de la maîtrise de l’Energie, has carried out a few

tentative actions to promote renewable energy.

The Electricity Sector Regulatory Agency (ARSEL) (link)

Created by decree No. 99/125 of the 15 June 1998. ARSEL is tasked with monitoring and regulating the

electricity sector. The AER is responsible for formulating policy and recommendations for rural electrification

for the Ministry of Energy, as well as producing management schemes for rural communities in relation to

electricity access.

CAMEROON report 22 (25)

AES-Sonel (link)

In 2001, the state-owned, vertically integrated utility Société Nationale d'Electricité (SONEL) was privatized,

becoming AES Sonel, and granted a 20-year monopoly over generation, transmission and distribution in the

concession area, as well as the right to own up to 1,000 MW of installed generation capacity. In 2006 the

Electricity Development Corporation (EDC) was established as an asset holder.

The National Hydrocarbons Company (SNH) (link)

Cameroon has committed to the privatisation of its state oil company, the National Hydrocarbons Company.

SNH engages in exploration and production in conjunction with several Western oil companies. SNH is the

state controlled oil producer and exploration company.

OTHER

Clean Development Mechanism (CDM) (link)

There are two registered CDM projects in Cameroon. Both of them are landfill gas recovery projects:

Nkolfoulou Landfill Gas Recovery Project and Douala Landfill gas recovery and flaring project. In both projects

landfill gas is recovered from existing landfills and burned. The gas is not used for energy production. The

Ministry of the Environment and Nature Protection is the Designated National Authority for CDM.

United Nations Development Programme (UNDP) (link)

Works in Cameroon. Priority areas for work are democratic governance, energy and the environment and

fight against poverty. UNDP has an office in Yaoundé.

The African Development Bank has several projects in Cameroon. The World Bank had 25 active projects in

Cameroon in April 2012. One of the projects is the Environmental and Social Capacity Building for the Energy Sector

Project aimed at improving the management of and the accountability for environmental and social issues related to

large infrastructure investments. There are also other projects related to the environment and energy. The World

Bank has a country office in Yaoundé. The African Development Bank (AfDB) (link)

Cameroon Chamber of Commerce, Industry, Mines and Crafts (link) is located in Douala. Finland does not have an

embassy in Cameroon, but the nearest one is in Nigeria. There are a few NGO projects funded by Finland in

Cameroon.

There are many national and international NGOs operating in Cameroon. A directory of development organisations

can be found at: Directory of Development Organizations (link). The listing is from year 2011.

CAMEROON report 23 (25)

4.2 SOURCES OF INFORMATION, REFERENCES & LINKS

Economic Profile IBRD Doing Business Economy Link

Cameroon Trade Statistics EU EU – Cameroon trade overview Economy Link

Cameroon Chamber of

Commerce Economy Link

AES-Sonel Generation, transmission and distribution of

electricity Business Link

The National Hydrocarbons

Company (SNH) SNH is the state controlled oil producer and

exploration company Business Link

Cameroon Chamber of

Commerce, Industry, Mines and Crafts

Trade Economy Link

Cameroon Economic Update World Bank Economy, labour force and education in Cameroon Economy Link

International Monetary Fund Economy Link

OECD Economy Link

Bamenda University of Science &

Technology Education Link

International University

Bamenda Education Link

University of Buea Education Link

Country Profile Finpro General Link

Country Profile Rabobank General Link

Cameroon at a Glance World Bank General Link

Country Profile CIA General Link

Electricity Sector Regulatory

Agency Government Link

Government Government Link

Electricity Development

Corporation Government Link

Cameroon Country Specific Information

US Department of State International travel information Government Link

Cameroon's Infrastructure A Continental Perspective

World Bank Infrastructure Link

Cameroon Cultural Experience Fonjweng Godlove

Wilkes University Cameroon overview Society Link

United Nations Society Link

International Tax Deloitte Taxation highlights in Cameroon 2012 Business Link

Country Energy Information Developing Renewables Business Link

CAMEROON report 24 (25)

Doing Business World Bank Business Link

Economic Outlook AfDB, UN, OECD Economy Link

Country Risk Classification Finnvera Economy Link

Corruption Perceptions Index Transparency International Society Link

Country BTI Transformation Level BTI Group BTI analyzes and evaluates the quality of

democracy, a market economy and political mgmt. in 128 developing and transition countries

Economy Link

International Energy Association General Link

Renewable Energy Country Profiles International Renewable Energy

Agency (IRENA) General Link

Cameroon: Poverty Reduction Strategy Paper

IMF Environmental

Governance Link

Cameroon renewable energy: Project possibilities

Charles Steedman US Agency for International

Development Identifying actions required to develop an assessment of Cameroon's energy needs

Government Link

Country strategy paper 2010-2014 Cameroon

AfDB Government Link

Cameroon Vision 2035 Ministry of the Economy,

Planning and Regional Development, Cameroon

Government Link

Open Energy Info Country profile, energy maps, tools, programs,

organizations & institutions General Link

Country Energy Profile & Information

Reegle Clean energy info portal General Link

Renewable Energies in Africa European Commission, Joint

Research Centre Government Link

Global Environment Facility The GEF unites 182 countries in partnership with intl. institutions, civil society organizations, and the private sector to address global env. issues

Environmental Governance

Link

Clean Development Mechanism United Nations Framework

Convention on Climate Change

Environmental Governance

Link

The Energy and Environment

Partnership Africa Project funding Business Link

MBendi Economy, Risks, Industry, Business, Energy and a

lot of other information Business Link

African Development Bank

(AfDB) Contains structured and analysed information on

economic, political and social status General Link

Directory of Development

Organizations Contains list of development organizations in the

country Society Link

Nearly 300 elephants slain in Cameroon for ivory, government

minister confirms Tapang Tanku CNN Article

Environmental Governance

Link

The Case of Cameroon Samuel Nguiffo Published: In Greiber, Thomas & Schiele, Simone

2011 Environmental

Governance

Governance of Ecosystem Services: Lessons Learned from Cameroon,

China, Costa Rica and Ecuador

Published: International Union for the Conservation of Nature

Environmental Governance

United Nations Development

Programme (UNDP) Un-political information on country's status on

environmental, social and financial situation General Link

Oil and Gas Profile A Barrel Full Business Link

Energy Systems: Vulnerability - Adaptation - Resilience (VAR) 2009

Ngnikam, Tolale Helio General Link

CAMEROON report 25 (25)

African Energy Supplying solar, wind and power backup

equipment on a wholesale basis Business Link

Alternative Energy Africa Information portal about alternative energy in

Africa Business Link

Inforse-Africa International network for sustainable energy Business Link

African Wind Energy Association Business Link

Renewable Energy World Conferences & Expo in Africa Business Link

Renewable Energy Africa Business Link

How We Made It in Africa Insight into business in Africa Business Link

Cleantech Knowledge Hub Business Link

The World Council for Renewable

Energy Business Link

International Network for

Sustainable Energy Business Link

Herana Gateway African higher education research Education Link

African Rural Energy Enterprise

Development Community-based organization developing a

strategy for improved access to energy Government Link

African Center for Economic

Transformation

An economic policy institute supporting the long-term growth with transformation of African

economies Government Link

Nordic Development Fund Project funding Business Link

Africa and Europe in Partnership Government Link

The Foundation for the Development of Africa

Non-profit organization supporting sustainable development

Government Link

European Biomass Industry

Association Business Link

Global Network on Energy for

Sustainable Development GNESD is a knowledge network facilitated by UN

Environmental Programme Government Link

Global Village Energy Partnership GVEP works with local businesses in developing countries to increase access to modern energy

Business Link

World Resources Institute WRI works with governments, companies, and civil society to build solutions to urgent env. Changes

Government Link

The World Bank Economy Link