Like many countries in Africa, Senegal is facing economical decline, energy crisis and serious desertification problem in rural areas. These issues could be removed if renewable energy is used as a primary source of energy in rural areas. What is required is a strategy to implement renewable energy technologies at large scale. The government and many non-governmental organisations (NGOs) have tried to comprehend and have strived to address the problem of energy. This paper presents a review of activities in the field of renewable energy applications in Senegal, which goes back to the mid 1970s and will discuss the socio-economic benefits that the country has derived from these environmentally sound and appropriate sources of energy. The development and trial of systems were mostly funded so far by donor agencies in collaboration with government and NGOs. Among the applications being supported are solar lighting, water pumping and small power plants. Recent efforts have been aimed at restructuring the programmes and giving them a market orientation. Future trends, some suggestions and recommendations for successful dissemination of renewable energy sources are also drawn. The present situation is seen to be much more promising and favourable for renewable energy.