08 Jun 2026
ERI Article: CAPP Aims for Regional Electricity Integration, but Regulatory Bottlenecks Persist
- Institutional, legal and regulatory challenges within Central African Power Pool (CAPP) countries are delaying the emergence of a robust regional electricity market.
- Despite geographic proximity, national grids remain disconnected, and generation mixes are dominated by fossil fuels or isolated hydro schemes. So, the priority is to build new interconnection projects to leverage the region’s vast hydropower potential.
- A harmonized regional framework will encourage cross-border investment, reduce investor risk, and allow surplus generation – for instance from Angola – to be exported to neighboring markets.
- The lack of a regional regulator has led to wide variations in tariffs, licensing, and technical standards. A study, backed by the AfDB, has proposed the creation of such a body.
- More effective regulation and consequent higher rates of investment in domestic infrastructure would establish a commercial rationale for more cross-border electricity trading.
- Implementation of the Regional Electricity Market Readiness Plan (REMReP), supported by AUDA-NEPAD and the World Bank will enhance transparency, improve bankability, and promote efficient planning.