Freetown, Sierra Leone, 24 April 2025– The Ministry of Energy has responded to the National Revenue Authority’s (NRA) decision to temporarily seal the headquarters of the Electricity Distribution and Supply Authority (EDSA), urging a more collaborative approach in addressing the financial challenges facing the country’s power sector.
In a press statement issued on Thursday, the Ministry acknowledged the NRA’s statutory role in enforcing tax compliance, but emphasized that EDSA, as a wholly government-owned utility, operates under severe financial strain. The Ministry attributed EDSA’s current tax obligations to longstanding structural issues, including inherited debts, tariff subsidies, and a broader fiscal imbalance in the energy sector.
The statement pointed out that EDSA’s liabilities are largely driven by systemic cash flow constraints, many of which are beyond its immediate control, adding that the Authority is also owed millions of dollars by Ministries, Departments, and Agencies (MDAs), commercial clients, and private consumers.
The Ministry noted that it is working closely with the Ministry of Finance and development partners to address these challenges through the clearance of verified arrears and reforms to enhance EDSA’s revenue base. It further stressed that EDSA has been cooperative throughout the audit and reconciliation process and has not resisted efforts to settle its obligations.
Critically, the Ministry described the enforcement action as “disruptive” to essential electricity services and counterproductive to national energy stabilization efforts. “At a time when Sierra Leone is facing acute electricity supply challenges, such measures could further undermine the collective goal of ensuring reliable and affordable power for citizens and businesses,” the statement warned.
Calling for a whole-of-government approach, the Ministry appealed to the NRA to consider the broader implications of its actions on public service delivery and to engage in constructive dialogue aimed at long-term solutions.
The Ministry of Energy reaffirmed its commitment to transparency, accountability, and cooperation, expressing hope for an urgent and amicable resolution to the matter.
