Uninterruptible Power Supply Monopoly in Cape Verde

Cape Verde has a fragile energy system that relies heavily on imported fossil fuels. The rapid growth of the tourism industry, combined with increasing urbanization, has put additional strain on the power grid, resulting in frequent blackouts and rising electricity costs.

The problem is particularly acute during peak tourist seasons, when electricity demand spikes. To cope, the country must either import more expensive fuel or invest in renewable energy solutions such as wind and solar power – an area where Cape Verde has great potential but still faces challenges in large-scale implementation.

Cape Verde has but one electricity company (Electra) and Cape Verde has one of the highest electricity prices in the world. Furthermore, the electric system is inefficient and registers energy losses of around 30%.

Water and electricity shortages in Cape Verde are not separate issues—they fuel each other in a vicious cycle: – Desalination requires large amounts of electricity, increasing pressure on the power grid. – More tourism and urban expansion lead to higher demand for both water and energy, further straining resources.

Traditional biomass – the burning of charcoal, crop waste, and other organic matter – is not included. This can be an important source in lower-income settings. Cape Verde: How much of the country's electricity comes from nuclear power? Nuclear power – alongside renewables – is a low-carbon source of electricity.

While effective, desalination is extremely energy-intensive, directly linking the water crisis to the country's electricity shortages. Beyond tourism, Cape Verde's rapid urban growth and outdated infrastructure also contribute to water and energy shortages.