SOUTHERN AFRICAN POWER POOL1

The Southern African Power Poolwww.sapp.co.zw

The Power of Regional Interconnection in Africa and how it relates to Zimbabwe

Dr. Lawrence Musaba

SAPP Coordination Centre Manager

Powering Infrastructure Development in ZimbabweHarare, Zimbabwe

14-16 October 2015

SOUTHERN AFRICAN POWER POOL2

CONTENTS

1. Overview of the African Power Pools

2. Why the Transmission Grid 2.1 Power Pooling 2.2 Energy Trading

3. Relevance to Zimbabwe

4. Conclusions

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1.Overview of the African Power Pools

Africa has five (5) power pools named as follows:

1. The Central African Power Pool – PEAC (CAPP)2. 5ième réunion de coordination des Pools -

COMELEC 3. East African Power Pool – EAPP4. Southern African Power Pool - SAPP5. West African Power Pool – WAPP

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1.1 PEAC (CAPP)

Angola(PRODEL, RNT, ENDE)

Co

ng

o(S

NE

)

Gabon(SGEE)

Tchad(STEE)

Centrafrique(ENERCA)

Cam

erou

n

(AES

-SO

NEL

)

RD Congo(SNEL)

Guinée Equat.(SEGESA)

São Tomé& Principe

(EMAE)

Burundi(REGIDESO)

10 Member States on Mainland Africa 2 Member States outside of Mainland

Size: 6.640.359 km

120 Million People

Regional Electrification: 13 %

2003 Création PEAC

2006Etude préliminaire duMarché de l’électricitéde l’Afrique Centrale

2009Adoption du Codedu Marché de l’électricitéde l’Afrique Centrale

2004Adoption - projets PIP - projets PPET

(1) Projets Intégrateurs Prioritaires(2) Programme Pilote d’Electrification Transfrontalière

(1)

(2)

Potential Hydroelectric. : 148,765 MW

Installed Capacity: 4,667 MW

2

2/9

General

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COMELEC has five (5) Member Countries as follows:

1. Morocco2. Algeria3. Tunisia4. Libya, and5. Egypt

1.2 COMELEC

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1.3 EAPP

Member Countries1. Burundi, 2. DRC,3. Egypt,4. Ethiopia,5. Kenya,6. Rwanda,7. Sudan,8. Tanzania9. Uganda10.Libya

EAPP Proposed Transmission Projects1. Uganda –DRC Interconnection 220KV2. Uganda- South Sudan Interconnection (400 kV)3. Uganda- Tanzania (Masaka - Mwanza 220KV)4. Ethiopia-Sudan–Egypt 500kV AC & 600kV DC5. Ethiopia – South Sudan 230 kV6. Uganda –DRC Interconnection 220KV7. Tanzania-Uganda (1,280 – 1,640 MW)8. Uganda – DRC (771 – 937 MW)9. Uganda – South Sudan (389 – 886MW)10. DRC – Rwanda (300 MW) 11. Rwanda – Tanzania (1,000 MW)

Population ~ 340 MillionConsumption ~ 200TWh

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2000

MW

X X

EGYPT

SUDAN

558 MW

3016

MW 94 MW

X X DJIBOUTI80 MW

0 MW

ETHIOPIA

1877

MW

277 MW992 M

W

X X

359 MW

60 MW

611 MW

KENYA

321 MW

206 MW

X X

69 M

W 4 MW

199 MW

0 MW

80 MW

X

X

Single-circuit 220 kVDouble-circuit 70/110/132 kV

Double-circuit 220 kV

Double-circuit 400 kV

Double-circuit 500 kV

Bipolar 500 kV HVDC

Bipolar 600 kV HVDC

Maximum power transfer for the year 2018

X Existing line in the year 2013

UGANDA

TANZANIA

2 MW

0 MW

X X

XRWANDA

BURUNDIDRC

35 M

W 27 MW

45 MW

0 MW

137 MW

55 MW

LIBYA

PLANNED EAPP TRANSMISSION PROJECTS - 2018

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Type of Generation

Existing & Committed

(MW)Model-Based

(MW)

Natural gas 28,043 54,152

Hydro 2,129 15,193

Coal 3,254 2,657

Oil 4,148 313

Geothermal 2,496 1,879

Wind 3,836 -

Other 1,697 -

Total 64,764 74,194

Regional Power Master Plan, Existing and New Generation Projects

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DR CongoTanzania

Zambia

Angola Malawi

Zimbabwe

MozambiqueBotswanaNamibia

South AfricaLesotho

Swaziland

12 SADC Member Countries

280 Million people

Regional Average Electricity growth rate 4.6% p.a.

Consumption 400TWh

1.1 Geographic

1.4 SAPP

Installed Capacity 58,608 MW

Available Capacity 52,589 MW

Operating Capacity 46,910 MW

Peak Demand 48,216 MW

Shortfall 8,247 MW

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ZIZABONA Zambia-Tanzania Malawi-Mozambique DRC-Zambia Mozambique STE

Over USD 7 billionwould be required to develop the identifiedtransmission projects

Transmission Projects

Dem Rep of CongoCongoGabon

Luanda

Windhoek

Lusaka

Harare

Lilongwe

Nairobi

Dar es Salaam

GaboronePretoria

Johannesburg

Cape Town

MaputoMbabane

KinshasaBrazzaville

Angola

Tanzania

Kenya

Mozambique

South Africa

Swaziland

Lesotho

Namibia

Zambia

BotswanaZimbabwe

Malawi

Rwanda

Burundi

H

H

H

H

H

H

H

H

H

HH

H

H

HH

H

P

H

H

T

T

T

T

T

T TT

TTTTT T

T

T

HH

H

TH

P

N

HH

H

T

Hydro stationPumped storage schemeThermal Station

P

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DRC

Tanzania

AngolaZambia

Malawi

Mozambique

Zimbabwe

Botswana

Namibia

South Africa

Swaziland

Lesotho

2018: Mozambique – Malawi 400 kV

2020: Namibia – Angola 400 kV

2018: Zambia-Tanzania-Kenya 400 kV

2015: 2nd DRC – Zambia 220 kV

2020: MOZISA 400 kV

2018: Morupule – Maun 400 kV

TRANSMISSION PROJECTS

2020: Orapa – Pandamatenga 400 kV

2024: Grand Inga Transmission– HVDC/AC

2020: Botswana-RSA 400 kV

2018: ZIZABONA - 330 kV

2021: Mozambique STE – HVDC/AC

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1.5 WAPP

Member Countries1. Cape Verde 2. Cote d’Ivoire3. Gambia 4. Ghana5. Guinea-Bissau6. Guinea-Conakry7. Liberia8. Mali 9. Niger10. Nigeria 11. Sierra Leone12. Senegal13. Togo

WAPP Priority Projects

13

NIGERIA

NIGERSENEGAL

GAMBIA

GUINEABISSAU

GUINEA

MALI

SIERRALEONE

LIBERIA

Implementation Road Map

TOGO

GHANA

CÔTED’IVOIRE

BURKINA FASO

BENIN

Coastal Trans Backbone Sub-program

Inter-Zonal Trans Hub Sub-program

North-core Trans Sub-program

OMVG/OMVS Development Sub-program

CLSG System Redevelopment Sub-program

Coastal Backbone

Northcore

Inter Zonal

OMVG-OMVS

CLSG

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2. Why the Transmission Grid

The grid is necessary to move power from one area to the other and hence promote trade and exchange of power from one region to the other.

The grid interconnects one country to the other and promotes economies of scale.

The grid promotes the sharing of resources

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2.1 Power Pooling

The transmission grid links utilities electricity production and facilitates the dispatch of excess capacity from one system to another.

Thus the output from different power plants is pooled, scheduled according to increasing marginal cost, and dispatched according to merit order to meet demand.

Benefits and platform created by power pooling include:

1. Increased security and reliability of supply Provision of emergency support Sharing spinning reserve capacity Balancing generation mix (e.g. SAPP, 74% coal,

20% hydro, 4% nuclear, 2% gas/diesel)

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2. Improved sector investment environment Aggregation of individual power markets Improved access to creditworthy Diversification

3. Reduced operating costs Merit order dispatching Balancing non-coincidental peak-loads Optimization of generation resources

4. Reduced & deferred investment costs Advantage of economies of scale Reduced total reserve requirements (SAPP has

managed from 20% to 10%) Postponed investments in new peak power capacity Reduced investment in hydro system

2.1 Power Pooling

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2.2 Energy Trading

A good transmission grid enables energy trading which is facilitated by the fact that some members have excess power supply and others are in a deficit.

Energy trading can be used for balancing supply and demand.

Energy trading can also be used to reduce the cost of power on the grid by dispatching the cheaper power first in merit order.

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3. Relevance to Zimbabwe

Zimbabwe is at the centre of the SAPP and receives the following benefits:

Import power from the region Export excess power to the region &

generate income Receive wheeling income Receive emergency support Enjoy the benefits of cheaper resource

sharing

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4. Conclusion

Common Legal and Regulatory Framework

• Intergovernmental MOU

• Inter-Utility MOU

• Regional Electricity Framework law

• Regional Independent Regulator

Durable Framework for

System Planning & Operation

• Power pool organisational structure

• Interconnection planning framework

• Systems operations framework

Equitable Commercial

Framework for Energy Trading

• Commercial rules of practice

• Internal dispute resolution mechanism

• Minimum capabilities of the system operator

The three building blocks that form the framework for successful regional power pools are as follows:

SOUTHERN AFRICAN POWER POOL20Thank you for your attention