Page 6 - AfrElec Week 32 2021

AfrElec TRANSMISSION AfrElec
AfDB provides $2.5mn Africa’s regional grids
to boost
to facilitate the harmonisation of regulatory frameworks across SADC and COMESA regions to enhance electricity trade among SADC mem- ber states as well as improve access,” said Elijah Sichone, executive director of RERA.
“These Projects will contribute to ensuring that soft infrastructure requirements for the development of a regional power market are addressed to complement investments in hard infrastructure that the Bank and other develop- ment partners are making in the region,” said Dr. Mohamedain Seif Elnasr, chief executive officer, RAERESA,
COMESA member countries have immense untapped energy potential, including hydro- power in the Democratic Republic of Congo and Ethiopia, as well as solar, wind and geothermal reserves in Kenya and Uganda.
However, the region faces inadequate infra- structure, uncompetitive electricity tariffs and an overreliance on traditional fuel sources such as wood and charcoal.
Despite SADC having the highest genera- tion capacity of all African regions and ample water, biomass, solar, and wind energy potential, energy access within the bloc, particularly in rural areas, is low.
This is partly because of an inadequate regula- tory environment, a need for new infrastructure and an overreliance on coal and hydropower.
Both projects align with three of the Bank Group’s High-5 strategic priorities: Light up and Power Africa; Integrate Africa; and Industrialize Africa.™
AFRICA
THE African Development Bank (AfDB) has approved $2.5bn of grants to promote cross-bor- der trading in Eastern and Southern Africa.
The bank is to support the harmonisation of electricity regulations and the expansion of cross-border power trading in both the COMESA area (Eastern Africa) and the SADC area (Southern Africa), which together cover 28 countries.
The grants of $1.5mn for COMESA and $1mn for SADC, will be sourced from the Afri- can Development Fund, the bank concessional financing window.
The projects will be implemented through the Regional Association of Energy Regulators for Eastern and Southern Africa (RAERESA) and the Regional Energy Regulators Association of Southern Africa (RERA) respectively.
The grants will fund technical assistance to promote the development and adoption of regional electricity regulatory principles, enhance capacity to monitor utility performance across the region, conduct a cross-border analy- sis of electricity tariffs, and develop a centralized database management system in both blocs.
The AfDB is a major supporter of technical work to support cross-border trading in order to develop a national grid across the continent.
In July, the bank approved two grants worth $83.6mn to boost cross-border trade in electric- ity between Ethiopia and Djibouti and to deepen integration in the Horn of Africa sub-region.
“These two projects will be implemented through a combination of studies, capacity build- ing and development of tools with the objective
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w w w . N E W S B A S E . c o m Week 31 05•August•2021