Cameroun earns 12.2 billion FCFA from Chad oil pipeline transit in 2026
In the first four months of 2026, Cameroon collected 12.2 billion FCFA in transit fees from Chad’s crude oil transported via the Chad-Cameroon pipeline. The figure, reported by the Pipeline Steering and Monitoring Committee (CPSP), reflects an 11% year-on-year increase, equivalent to an additional 1.2 billion FCFA compared to the same period in 2025. This growth is attributed to a cumulative volume of 16.1 million barrels of Chadian crude transported through Cameroonian territory during the review period.
The lifeline 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 maritime access, Chad relies entirely on this artery to move its crude to global markets. Commissioned in the early 2000s under a consortium led by ExxonMobil, the pipeline remains Chad’s sole viable export route for its oil production.
For Cameroon, this geographical advantage translates into a steady revenue stream. Each barrel transiting its territory incurs a fixed transit fee of $1.321, deposited into the national treasury. While the system is straightforward, its cumulative impact on Cameroon’s non-tax revenues is significant, especially as Yaoundé seeks to broaden its income sources amid a declining domestic hydrocarbon output.
Transit fees tripled over two decades
The current tariff is the result of a negotiation process initiated in 2013. Initially set at $0.41 per barrel, the rate was deemed insufficient by Cameroonian authorities given the environmental risks and logistical burdens borne by the transit country. Under pressure from Yaoundé, a five-year review mechanism was established, leading to two successive adjustments in 2013 and 2018 that ultimately tripled the fee within fifteen years.
This upward trend has helped Cameroon align its transit financial terms with those of other African oil corridors, such as the Baku-Tbilisi-Ceyhan (BTC) pipeline in Central Asia or the neighboring Chad-Cameroon Oil Transportation Company (COTCO) system. However, the next scheduled increase has yet to materialize.
The 2023 fee adjustment still pending
As per the agreed schedule, a new fee hike was supposed to take effect on October 1, 2023. More than two years later, no official announcement has confirmed the conclusion of negotiations or the implementation of a revised tariff. The prolonged silence raises questions, particularly as Cameroonian authorities have recently emphasized optimizing oil-related revenues.
Several factors may explain this deadlock. Chad’s political transition following former President Déby’s departure and N’Djamena’s budgetary constraints have narrowed the negotiating margin for Chadian officials. Meanwhile, fluctuations in Chad’s oil production—currently in decline—may prompt operators to advocate for tariff stability to safeguard field profitability. Conversely, Cameroon seeks to maximize returns from an infrastructure with a finite operational lifespan.
Despite the uncertainty, the current dynamics are already boosting state coffers. If the first-quarter pace holds, transit fee revenues could surpass 35 billion FCFA by the end of 2026. This would solidify the Chad-Cameroon pipeline’s role as a strategic foreign exchange generator for Yaoundé, alongside Kribi’s liquefied natural gas exports and agricultural shipments.
