NEWS

The Heads of State and Government of the Common Market for Eastern and Southern Africa (COMESA) have commended the African Development Bank (AfDB) for its leadership and technical support in harmonizing energy regulation across the region — a milestone widely seen as a critical step toward accelerating power trade and investment.

In their final communiqué issued at the “24th Summit of the Authority of Heads of State and Government of  COMESA held in Nairobi, Kenya on October 09, 2025, the leaders “acknowledged the support from the African Development Bank towards the development of a regional electricity regulatory framework” and called on the Bank to continue supporting Phase II of the initiative.

Funded  by a USD 1.5 million grant from the ADF-15 Regional Public Goods envelope and implemented under the umbrella of the Africa Energy Sector Technical Assistance Program (AESTAP), the first phase of the project enabled the COMESA Secretariat—through its Regional Association of Energy Regulators for Eastern and Southern Africa (RAERESA)—to design and roll out a harmonized regulatory framework for the region’s electricity markets

Geoffrey Aori Mabea, CEO of RAERESA, noted that AfDB’s support has transformed regional cooperation: COMESA members now benchmark utility performance, compare tariffs, and use a unified regional energy data platform—key foundations for cross-border power trade and private investment. Furthermore, the outputs are strategically supporting Member States in adopting the recommendations arising from another vital initiative by the AfDB’s Continental project, which seeks to enhance regulatory efficiency through the measurement of the Electricity Regulatory Index.

The initiative has already produced four  key deliverables:

• A harmonized regulatory framework for electricity markets;
• A utility performance monitoring tool with shared KPIs;
• A regional harmonized tariff comparison and cost-reflectivity assessment model; and
• A centralized energy information and database system, launched in March 2025.

These outputs are now informing cross-border power trade and improving investment confidence among utilities and private developers.

“Harmonized regulation gives investors predictability and confidence,” said Wale Shonibare, AfDB Director for Energy Financial Solutions, Policy and Regulation. “Through AESTAP, we are helping regional power pools move beyond fragmented policy environments toward a unified, transparent energy market.”

The COMESA Authority urged the RAERESA Secretariat to mobilize additional resources to support the domestication of the regulatory frameworks within member states. This second phase will focus on policy alignment, legal adoption, and capacity building at the national level—ensuring that regional guidelines are integrated into domestic electricity laws and utility practices.

“The Heads of State have set a clear direction,” said Mabea. “We are committed to deepening this partnership with the AfDB and other partners to ensure that regional frameworks translate into real impact for our citizens through affordable, reliable, and interconnected power systems.”

The harmonization initiative directly contributes to the broader Mission 300 goals—an AfDB, World Bank, and Rockefeller Foundation partnership that aims to connect 300 million Africans to electricity by 2030. COMESA is expected to play a key role, leveraging its integrated regulatory foundation to boost regional electricity trade and investment.

“Regulatory coherence is not just a technical exercise,” Shonibare noted. “It’s a cornerstone for delivering Africa’s energy transformation—one market, one standard, one vision for access.”