Sierra Leone Threshold Program

  • Grant Total: $44,400,000
  • Grant Expended: $729,904
  • Signed: November 17, 2015

The Millennium Challenge Corporation and the Government of Sierra Leone are partnering to implement a $44.4 million threshold program. One focus of the program will be to more effectively delivery water and electricity services, with a focus on the greater Freetown area. Another focus area of the program is to support reforms increasing transparency and accountability in the delivery of these services to limit opportunities for corruption.

Electricity Sector Reform Project

The Electricity Sector Reform Project is comprised of two activities that seek to:

  • Make fully operational a restructuring of the electricity sector that began when the government divided the National Power Authority into the Electricity Generation and Transmission Company (EGTC) and the Electricity Distribution and Supply Authority (EDSA)
  • Enhance the capabilities of key power sector institutions in system planning, transparency, and accountability.
Water Sector Reform Project

The Water Sector Reform Project is comprised of three activities that seek to:

  • Support structural reform efforts of the institutions responsible for water resource management
  • Strengthen the water utility’s capacity to perform core business functions and comply with changing regulatory requirements
  • Test improved business practices, put into practice a strategy to reduce water loss, and pilot a public-private partnership model for public standpipes.

These activities aim to enhance transparency, accountability, customer service practices, and quality through better customer engagement and the establishment of new accountability mechanisms.

Regulatory Strengthening Project

This project aims to support the Government of Sierra Leone in establishing and strengthening the newly established independent regulator – the Electricity and Water Regulatory Commission (EWRC) – through two activities that seek to:

  • Establish core regulatory functions, performance monitoring standards, and a transparent approach to regulated price (tariff) setting at EWRC. The activity will leverage Sierra Leone’s “Pay No Bribe” reporting platform.
  • Provide utilities with incentive-based performance improvement funding based on key performance indicators. MCC funds under this activity will be conditional and disbursed only if utilities achieve their targets.