The first pillar of our sustainability strategy is to promote socio-economic prosperity within the countries in which we operate
Our approach
Our ambition in the first pillar of our sustainability strategy is to make a positive difference to the socio-economic prosperity in our host countries and communities. Extreme poverty alleviation is one of the most important issue facing African countries today, with 37% of sub-Saharan Africans classified as suffering from extreme poverty.1
The World Bank also calculates that only 43% of Africans have access to electricity.2 Studies have shown the strong relationship between power consumption, income levels and broader human development metrics; ceteris paribus, the higher a country’s per capital power consumption, the higher GDP per capita, and the higher those human development metrics are expected to be.
Therefore, energy poverty alleviation would substantially contribute to solving Africa’s extreme poverty problems. That is why we focus on providing our host countries with energy to drive socio-economic prosperity.
Using energy to drive prosperity
Savannah supplies gas to enable approximately 17% of Nigeria’s available thermal power generation capacity, playing a strategic role in providing a reliable supply to power stations and industrial users. In 2024 we delivered gas to five customers in total.
In Niger, we are participating in a wider energy sector project which is forecast to contribute up to 10% of Niger’s GDP by 2026.3 We expect to tie our planned production from the R3 East Early Production Scheme directly into the new Niger-Benin export pipeline, which became fully operational in Q2 2024.
Our Parc Eolien de la Tarka wind farm project, anticipated to be Niger’s first wind farm, is expected to produce up to 800 GWh of electricity per year, representing approximately 24% of Niger’s projected annual electricity demand in 20264, as well as creating 500 local jobs in the construction phase alone and reducing the cost of electricity for Nigerien citizens.
In Cameroon, we are progressing our up to 95 MW Bini a Warak hybrid hydroelectric and solar project, expected to generate clean, stable and affordable power for Cameroon’s northern region, increasing its generation capacity by over 50%. This in turn is expected to support existing local electricity demand and enable energy-intensive industrial projects driving national economic development.
At a local and regional level, Savannah creates significant socio-economic impact. Our impact includes payments to employees, contractors and suppliers as well as social impact investment in community projects. This contribution has a multiplier effect, creating economic impacts in the wider community and economy of our host communities. Our approach is to build on creating strong and meaningful relationships with our local communities based on mutual trust and benefit.
Making a local and regional difference
We advocate promoting local employment and development opportunities to drive local socio-economic prosperity. In 2024 we employed 181 people in Nigeria (2023: 175), of whom 99% were Nigerian nationals, and in Niger we employed 18 people (2023: 18), all of whom were Nigerien nationals. Through formal training and on-the-job development with experienced Savannah employees, we continue to build the capability of the local workforce in our host countries.
Savannah operates a global procurement policy across the Group as we have a significant supply chain impact. In 2024, we spent US$30.6 million (2023: US$23.5 million) with local contractors and suppliers. Our global procurement policy ensures all our contractors and suppliers meet the same standards and practices for all our operations, with some exceptions for specific local regulations. This approach affords opportunities for shared optimisation across regions but also enforces high standards because we recognise that the nature and context of our business expose us to the potential risk of fraud, bribery, modern slavery and human trafficking.
In our centralised vendor performance management system, we actively monitor the performance of all our suppliers and require re-qualification every three years.
Our annual reporting metrics
- Total Contributions(e) in US$.
- Social impact investment in US$.
- Payments to local suppliers and contractors in US$.
2024 performance
- Our Total Contributions(e) to our host countries were US$63.4 million in 2024.
- Our social impact investment in 2024 was US$0.3 million.
- We spent US$30.7 million in 2024 with local suppliers and contractors in Nigeria and Niger.
2025 objectives
- Savannah is committed to further strengthening our contribution to socio-economic prosperity in our host countries and communities.
Learn more about our efforts to promote socio-economic prosperity
1. Source: World Bank Gapminder, 2022.
2. Sources: IEA.
3. Source: Savannah calculations from IEA, IMF and Nigerien authorities sources.
4. ILF 2023 Grid Study. Generation mix on annual basis in 2026.
(e) Total contributions to Nigeria and Niger defined as payments to governments, employee salaries and payments to local suppliers and contractors. Where total contributions refer to the period 2014–2022 they include contributions to Nigeria during the period pre-acquisition of the Nigerian assets by Savannah.
