In order to achieve the NEPAD goal of poverty reduction, infrastructure development – in energy, water, transport and ICT – must take a central role.
The NEPAD Infrastructure short term action plan (STAP) constitutes infrastructure projects that support regional integration with a total value of $20 billion.
STAP will be replaced at the end of 2007 with a medium- to long term strategic framework which will contain projects considered ‘pillars of integration’, as proposed by regional economic communities.
South Africa, Algeria, Egypt, Nigeria, Morocco, Libya, Tunisia, Sudan, Angola, and Cameroon (Africa’s then largest economies) contribute 77 percent of Africa’s GDP and must feature prominently in any infrastructure development plans.
Additionally, private sector participation, particularly in South Africa, has a significant role to lay in delivering cross border infrastructure in Africa, by bringing in additional finance and technical resources, as well as sharing risk with governments. Successful public private partnerships, based on the South African model, were being duplicated throughout Africa.
The African Development Bank and World Bank have both increased the available resources for regional projects, with financing of $2.2 billion being mobilised.
Update on regional electricity projects:
Togo-Benin-Ghana power interconnection
Date of IPPF approval: 27 October 2004
Physical project costs estimate: USD118 million
The objective is to support the Governments of Benin, Togo and Ghana through their power utilities to update the feasibility study and detailed designs of the Benin-Togo-Ghana electricity interconnection, and the development of a detailed environmental impact assessment for the project.
Zambia-Tanzania-Kenya power interconnector
Date of IPPF approval: 17 December 2004
Physical project estimated costs: US$860 million
The scope of activities of the Zambia-Tanzania-Kenya electricity interconnection supported by the NEPAD-IPPF Special Fund consists of four distinct phases: pre-development phase, investor selection phase, concession negotiation phase and financial closure phase.
Gas pipeline completed in West Africa
The $1.1billion West African gas pipeline covering 1,000km onshore and offshore from Nigeria’s Niger Delta region to its terminus in Ghana has been completed.
Four nations, Nigeria, Ghana, Togo and Benin signed a 20-year agreement on the implementation of the pipeline which provides for a comprehensive legal, fiscal and regulatory framework, as well as a single authority for the implementation of the project.
Democratic Republic of Congo
The NEPAD Secretariat hosted an international roundtable seeking ways to make progress on the Inga hydro-electric development, which attracted 120 participants from African and regional institutions in the public and private sectors, electricity companies, non-governmental organisations, civil society and the media.
The integrating nature of the Inga project was stressed, as well as the best ways for updating and finalising the feasibility study on the development of the Inga site, including Inga 3 and Grand Inga.
Grand Inga will have a generation capacity of 39 000 MW, offering the DRC the possibility of exporting electricity to the sub-region and North Africa. It will accelerate regional integration by providing adequate power supply to many African countries.
The DRC currently obtains its electricity supply from the Inga 1 and 2 stations built in 1972 and 1982, respectively. It currently has 1,775 megawatts of generating capacity at its Inga hydroelectric facility.
Information provided by NEPAD