Losses on Benin's power grid amount to about FCFA 18 billion a year, according to the fourth edition of the Benin Economic Outlook published by the World Bank in September 2026. The institution links this cost to ageing infrastructure, technical losses, fraud and illegal connections.
In 2024, technical and commercial losses on the grid reached 24.7% of energy, according to the report. The World Bank notes that half of the transmission lines and 51% of substations are more than 25 years old. Grid performance is therefore an operational as well as a financial issue.
A bill that weighs on SBEE's cash position
Revenue at the Société béninoise d'énergie électrique (SBEE) rose from FCFA 126 billion in 2018 to about FCFA 220 billion in 2024. Its earnings before interest, taxes, depreciation and amortisation (EBITDA) reached about FCFA 34 billion, and its net profit was close to FCFA 15 billion in 2024. However, operating cash flows, estimated at FCFA 27 billion, remained below the FCFA 40 billion needed each year to extend the network and renew assets.
Receivables are also collected slowly, with the average collection period reaching 226 days. According to the World Bank, this delays payments to suppliers and increases the financing needs of the electricity supply chain.
Cutting losses to 10% by 2030
The report recommends reducing technical and commercial losses to 10% by 2030, in particular through the fight against fraud, the rollout of smart meters, the modernisation of billing and the identification of the network sections with the largest losses.
The World Bank notes that in 2024, Benin's low-voltage social tariff was set at FCFA 88 per kilowatt-hour, compared with FCFA 51 in Côte d'Ivoire and FCFA 59 in Mali. It stresses that relatively high tariffs coexist with substantial investment needs and a constrained cash position.