The African Development Bank and the African Union Development Agency (AUDA-NEPAD) have agreed to jointly develop a Continental Power System Master Plan, a blueprint for a pan-continental electricity network and market.
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The agreement to set up a Continental Power System Master Plan between the Bank and AUDA-NEPAD was unveiled, on November 29, 2019, during a three-day workshop on the sidelines of Programme for Infrastructure Development (PIDA) Week held in Cairo, Egypt. The workshop also produced the Masterplan’s terms of reference.
The Continental Power System Master Plan will ensure that competitive electricity markets are developed at regional and continental levels, creating unique opportunities to optimally utilize Africa’s vast energy resources for the benefit of Africa, said Professor Mosad Elmissiry, a Senior Energy Advisor to AUDA-NEPAD’s CEO.
The workshop was aimed at advancing the launch of an Integrated Continental Transmission Network (ICTN) to link national power utilities into regional power pools and, ultimately, into a continent-wide transmission network. Plans also include setting up a market for electricity trading.
The Masterplan also will inform the energy component of a PIDA Action Plan, which focuses on key regional integration projects. The development of a unified electricity transmission network and a market for electricity trading are viewed as a critical priority to improve the lives of people across the continent.
Most state-owned electric utilities in Africa today are unable to secure the financial resources needed to implement required segments of regional interconnectors and associated national feeder lines. The Bank plans to encourage private sector participation in transmission projects in the continent said Angela Nalikka, the Bank’s manager for National and Regional Power Systems, to explain the impetus for the partnership.