The electricity supply chain consists of three components; electricity generation, transmission and distribution (T&D) system, and the end-user stage. CO₂ emissions from electricity generation are caused by the burning of fossil fuels. Unjustified end-users and electricity losses in the T&D system increase electricity production, which of course indirectly contributes to further emissions. Consequently, this study presents the state of the electricity supply chain in Libya and measures taken to reduce emissions. The analysis shows that efforts are currently being made to diversify the energy mix and to exploit the potential of solar and wind energy. Low carbon fuels and combined cycle technologies remain key sources of electricity generation. In the T&D system, Libya has built a strong transmission system and strict design criteria have been applied. Libya is working on the establishment of Energy Demand Management (EDM), where some power plants have installed EDM-related equipment. Further efforts are needed to reduce technical and non-technical losses. In the end-user stage, per capita electricity consumption corresponds to 3.73MWh, which is considered to be the largest energy consumer in Africa. There is no time-differentiated price that would encourage consumers to switch from peak hours. Libya is currently preparing a national energy efficiency action plan.