The Ministry of Energy has responded to the temporary sealing of the Electricity Distribution and Supply Authority (EDSA) headquarters in Freetown by the National Revenue Authority (NRA), calling for a more collaborative approach to addressing financial challenges in the energy sector.
In a press statement issued today, the Ministry acknowledged the NRA’s statutory mandate to enforce tax compliance but stressed the broader context of financial strain affecting EDSA.
“We take note of the NRA’s action and public statement, but it is important to understand that EDSA operates under immense financial strain due to legacy debts, tariff subsidies, and wider fiscal challenges,” the Ministry stated.
According to the Ministry, the outstanding obligations cited by the NRA are largely the result of systemic cash flow constraints, many of which are beyond EDSA’s immediate control. The statement also revealed that EDSA is still owed “millions of dollars by MDAs, commercial customers, and consumers.”
The Ministry emphasized that it is working closely with the Ministry of Finance and other partners to address these issues. “We are actively engaging to clear verified arrears and strengthen EDSA’s revenue base,” the statement noted.
Officials further asserted that EDSA has been cooperative throughout the NRA’s audit and reconciliation process.
“There has been no unwillingness on the part of EDSA to settle its obligations. In fact, EDSA has exercised extreme prudence in using its statutory powers to disconnect even government institutions with arrears,” the Ministry said.
Describing the NRA’s enforcement action as “disruptive” and “counterproductive,” the Ministry warned that such measures could negatively impact ongoing efforts to stabilize the energy sector, particularly as the country grapples with electricity supply challenges.
“At a time when Sierra Leone is facing acute electricity supply issues, actions like this risk undermining the national goal of delivering reliable and affordable power to citizens and businesses,” the Ministry stated.
The Ministry concluded by reaffirming its commitment to transparency and dialogue.
“We urge the NRA to consider the broader implications of its approach and to work collaboratively with sectoral ministries to find a sustainable, whole-of-government solution.”
Efforts to resolve the matter are ongoing.
