By Diadie Ba DAKAR (Reuters) - Senegal will invest 520 billion CFA francs in the energy sector by 2012 to help it cope with an acute power shortage, its Prime Minister said on Thursday. Prime Minister Souleymane Ndene Ndiaye said government would also provide 3.5 million low-energy light bulbs for households as part of its energy policy, and would power 1,000 street lights using solar panels. "In light of growing frustrations linked to power outages and the high cost of electricity, the government has decided on an investment programme by 2012 of more than 520 billion CFA francs," Ndiaye told parliament, outlining political and economic plans for the country for the first time since his appointment in April. Senegal has suffered long-term underinvestment and neglect of its power network, and the high cost of electricity has hampered development, despite it being one of the most stable democracies in West Africa. State power firm Senelec is battling to cope with the growing demand for electricity from households and small industries, and power outages in the sprawling coastal city of Dakar can last for 8 hours a day. Ndiaye said a coal-fired power station being built to help boost power would be partly put into service in 2010, with the second phase being completed by 2011. "The total exploitable power will reach 764 megawatts in 2011 from 639 megawatts in 2010," he said. Senegal generates a small amount of power from local natural gas, but depends mostly on oil-fired stations run on imported fuel, which has resulted in large electricity price increases in the past three years. | 
