Tanzania-Zambia power pool link to be completed in 2012
A link for two major power pools in southern and east Africa should be operational by 2012, a tripartite meeting bringing together three of the continent’s trade blocs announced on Thursday.
Once completed the project is expected to increase output and make energy cheaper in the two regions, Southern Africa Development Community (SADC) deputy executive secretary, Joao Cahalo said on Thursday.
Cahalo, said power pools were already in place in Southern and East Africa, “and all that is remaining is to link them”.
"Studies to connect the two regions are already on-going and we hope the Tanzania-Zambia link will be completed and fully operational by 2012,” Cahalo said at a press conference in Nairobi.
The official, however, did not say how much the project will cost, adding that experts were still working on the budget.
In the recent past, the trade blocs have been working on connectivity issues as one way of solving perennial energy problems in Sub-Saharan Africa.
Despite having the one of the highest potential in power production, Africa has the least developed energy sector in the world.
Lack of cheap energy that is readily available has also derailed economic growth and development in the region.
The East African Community (EAC) secretary general, Juma Mwapachu and the Common Market for Eastern and Southern Africa (Comesa) assistant secretary general Stephen Karangizi were also present at the press conference.
Mwapachu said the three trade blocs will work towards linking power pools in the north and the south, in line with the Abuja Treaty of 1991, which envisages the creation of an African Economic Community.
Cahalo said connecting the two power pools, would ensure a power deficit in one area is solved by excess capacity in another.
Apart from energy the three trade blocs will also focus on improving transporting system, also major component of the high cost of business in Sub-Saharan Africa.
Mwapachu said according to World Bank estimates, Africa needs to invest $93 billion annually in infrastructure over the next 10 years, but is only able to raise between $30million and $33million only.
"We must work with the private sector in Africa and in other continents to help us improve our infrastructure,” Mwapachu said.
He said about 70 percent of the $93billion ought to go to energy “as it was the biggest challenge facing the region.”
The official said there was need for the three trade blocs to increase intra-trade, which was still minimal, compared to other major trade blocs in Europe and Asia.
Mwapachu singled out the creation of a tripartite development fund, where member countries and donors can contribute to fund various projects as the next major challenge.
“Despite the complexities, the fund is necessary as the European Union experience has showed us,” he added.
The three officials urged member countries to eradicate non-tariff barriers must be tackled to allow the free flow of goods and services in the region.
“African countries must learn to trade among themselves because this is one of the best options in developing the continent,” Mwapachu said.