Facing members of parliament gathered in plenary session for current affairs, the Minister of Energy, Petroleum and Mines, Birame Souleye Diop, extensively defended the Government's energy policy in an international context marked by tensions in the Middle East and the surge in risks to hydrocarbons.

When questioned about the true cost of subsidies granted for gas and petroleum products, the minister acknowledged increasing pressure on public finances, while assuring that Senegal had thus far managed to avoid the supply disruptions seen in several other countries. "The conflict in the Middle East has caused supply difficulties, but unlike other countries, we have never experienced any disruptions," he told parliamentarians.

The minister also addressed the direct consequences of this geopolitical crisis on international oil prices and the state's budgetary balance. According to him, the government is now faced with the need to reconcile protecting household purchasing power with ensuring the sustainability of public finances. In this context, Birame Souleye Diop emphasized what he calls "the truth of prices," advocating for a more transparent approach to the actual cost of energy subsidies. "When we assess the subsidies, we are already at 64 billion CFA francs. If we are not careful, this could eventually represent one-fifth of the national budget," he warned.

The minister announced that a public disclosure will be made to explain to the Senegalese people the actual level of state subsidies for gas, electricity, and fuel. For the government, this initiative aims to prepare for more targeted reforms to prevent subsidies from benefiting all social classes indiscriminately, including the wealthiest households. Along the same lines, he mentioned tax and customs reforms designed to generate additional budgetary resources while maintaining price stability in the domestic market.

Sheikh Diba's warning: a risk of over 1 trillion FCFA

The Minister of Finance and Budget, Cheikh Diba, further reinforced the Government's concerns about the financial impact of the international crisis. He revealed that the initial Finance Law (LFI) had allocated 250 billion FCFA in subsidies, but that the worsening crisis could force the State to mobilize hundreds of billions more.

According to him, if tensions persist and oil prices continue to rise, the total volume of compensation could exceed 1 trillion CFA francs, with significant consequences for public spending and state revenue. Despite these warnings, the government maintains its commitment to social protection policies while working on better targeting of energy subsidies.