Breaking News: Africa’s Hidden Electricity Trade Reveals Complex Regional Energy Dynamics
Tanzania’s recent announcement to import electricity from Ethiopia via Kenya highlights a sophisticated and expansive cross-border energy trading system that few understand. Contrary to common perceptions, electricity is the third most traded commodity within Africa, with an estimated annual value between $3.5 billion and $5 billion.
The continent’s electricity trade involves intricate regional power pools that connect multiple countries, enabling strategic energy exchanges to balance supply and demand. These networks demonstrate Africa’s advanced energy infrastructure capabilities.
Key Regional Power Trading Highlights:
Southern African Power Pool (SAPP):
• Connects 12 countries
• South Africa leads electricity exports to Mozambique, Zimbabwe, Eswatini, Namibia, and Lesotho
• Mozambique’s Cahora Bassa dam exports 65% of its hydropower regionally
West African Power Pool (WAPP):
• Integrates grids across multiple West African nations
• Ghana exports electricity to Burkina Faso, Togo, and Benin
• Nigeria supplies power to neighboring countries despite grid challenges
Eastern Africa Power Pool (EAPP):
• Connects 11 countries
• Ethiopia exports hydropower to Kenya, Sudan, Djibouti, and Somaliland
• Complex interconnections between Kenya, Uganda, Tanzania, and Rwanda
The scale and sophistication of Africa’s electricity trade challenge simplistic narratives about the continent’s energy infrastructure. These cross-border power exchanges represent a nuanced, strategic approach to regional energy management and economic cooperation.
