AU Heads of State Adopt Africa Single Energy Market as Agenda 2063 Flagship Project
The 37th Ordinary Session of the Assembly of the Heads of State and Government of the African Union (AU) convened on 17 and 18 February 2024 in Addis Ababa, Ethiopia, adopting the Africa Single Energy Market with one of its components, the Continental Power System Masterplan (CMP), as an AU Agenda 2063 Flagship Project.
The decision was in line with last year’s decisions at the Specialized Technical Committee (STC) meeting in Zanzibar in September, where African ministers called for Africa Single Electricity Market (AfSEM) and CMP to be elevated withing Agenda 2063 and adopted various crucial strategy plans. AU member states’ ministers also emphasised the importance of designing infrastructure to support emerging technologies that facilitate the just energy transformation across the continent. These actions further develop the continent’s energy sector and bring reliable, affordable, and clean energy access for all.
CMP validation workshop with partners
A few days after the AU Summit, on 21 and 22 February 2024, African stakeholders and representatives gathered in Addis Ababa, Ethiopia, to consult on and validate the latest reports concerning the intra- and inter-regional interconnectors under the CMP. Under the guidance of AUDA NEPAD, in charge of the CMP work, partners, including EU, IRENA and African power pool representatives, evaluated the infrastructural needs to successfully implement the CMP, including the prioritisation of generation and transmission projects, with unanimous commitment for turning words into action, and the next steps for implementation of AfSEM and CMP.
The new Agenda 2063 flagship label is expected to attract additional investment and funding that is critical in taking the first meaningful steps in implementation of a continent-wide energy market. AfSEM and CMP act together as two sides of the same coin, the former to become the world’s largest electricity market by 2040 with the infrastructure support mandated by the latter. The resulting interconnected energy market will turn the African continent into a leading energy hub, providing reliable, affordable, and sustainable energy services.
EU Support for AfSEM and CMP channelled through AEGEI
The Africa-EU Green Energy Initiative (AEGEI) is a part of EU’s Global Gateway Strategy and the Africa-EU Investment Package. AfSEM and CMP as priprity plans for the African Union and its partners, are also supported by the EU through its Global Gateway Strategy investments aimed at developing sustainable infrastructure, with €150 billion dedicated to Africa. In December 2023, the executive vice president of the European Commission pledged €20 billion to AEGEI at COP28 in Dubai, United Arab Emirates, to support the African energy plans.
