The transit duty collected by Cameroon on Chadian oil transported via the Chad-Cameroon pipeline reached 12.2 billion FCFA in the first four months of 2026. According to the Pipeline Steering and Monitoring Committee (CPSP), this figure represents a year-on-year increase of 1.2 billion FCFA, marking an 11% rise compared to the same period in 2025. This growth stems from the transportation of 16.1 million barrels of Chadian crude across Cameroon during the reviewed period.
An essential artery for Chad’s energy isolation
Stretching 1,080 kilometers, the pipeline connects oil fields in southern Chad to the Komé-Kribi export terminal on Cameroon‘s coastline. With no direct access to the sea, N’Djamena relies entirely on this infrastructure to ship its crude to global markets. Commissioned in the early 2000s under a consortium led by ExxonMobil, the pipeline remains Chad‘s sole viable export corridor.
For Cameroon, this geographical dependence translates into a steady revenue stream. Each barrel crossing its territory incurs a transit fee of $1.321, paid into the national treasury. While straightforward, this mechanism significantly bolsters Yaoundé‘s non-tax revenue, especially as the country seeks to diversify income amid a declining domestic hydrocarbon output.
Transit fees tripled over two decades
The current rate is the result of negotiations initiated in 2013. Initially set at $0.41 per barrel, the fee was deemed insufficient by Cameroon‘s authorities, given the environmental and logistical risks borne by the transit nation. Under pressure from Yaoundé, a five-year review clause was introduced, leading to two successive increases in 2013 and 2018, culminating in the present tariff.
The unit rent has more than tripled in fifteen years, aligning Cameroon‘s transit financial terms with standards seen in other African oil corridors, such as the BTC system in Central Asia or arrangements on the neighboring Chad–Cameroon pipeline operated by COTCO. Yet, the next scheduled adjustment remains pending.
2023 fee revision still unresolved
As per the agreed timeline, a new increase should have taken effect on October 1, 2023. Over two years later, no official announcement has confirmed the conclusion of negotiations or the implementation of a revised rate. The prolonged silence raises questions, particularly as Cameroon‘s authorities have recently emphasized optimizing oil revenues.
Multiple factors may explain this impasse. Chad‘s political transition following President Déby’s departure and N’Djamena‘s budgetary constraints may limit its negotiators’ flexibility. Meanwhile, Chad‘s oil production has fluctuated, prompting operators to advocate for tariff stability to safeguard the profitability of declining fields. Conversely, Cameroon aims to maximize returns from an infrastructure with a finite lifespan.
Nevertheless, the current trend continues to benefit the national budget. If the first-quarter performance holds, annual transit revenues could surpass 35 billion FCFA in 2026. This would cement the Chad-Cameroon pipeline’s role as a key foreign exchange generator for Yaoundé, alongside Kribi’s gas and agricultural exports. No official updates have been released regarding the ongoing tariff negotiations with Chad.
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