NDN Staffer
Windhoek, Namibia – Aug. 28 – Namibia’s Electricity Control Board (ECB), NamPower, and the Southern African Power Pool (SAPP) have jointly released a guide to assist Independent Power Producers (IPPs) in accessing both the national and regional energy trading markets. The “SAPP and MSB Market Access Guide” [https://www.ecb.org.na/wp-content/uploads/2023/08/SAPP_MSB_Market_Access_Guide.pdf] was unveiled during the SAPP and MSB Market Access Conference in Windhoek, with support from the European program GET.transform.
This guide offers a comprehensive overview of market rules and roles within Namibia’s Modified Single Buyer (MSB) system and the wider SAPP regional market. Addressing the pressing need for consolidated information, it empowers IPPs by providing insights into processes and requirements for active participation across both markets. While electricity trading remains primarily managed by national utilities, SAPP member states are progressively exploring deregulation of their national markets to facilitate regional participation.
Through the introduction of MSB market rules, Namibia has taken a pioneering step in opening its electricity market. This unique position positions the country as a valuable model for other SAPP member nations, with this initial edition of the SAPP and MSB Market Access Guide serving as a foundational reference for forthcoming editions.
Eng. Stephen Dihwa, Executive Director of the Southern African Power Pool Coordination Centre, states, “With this guide, we not only acknowledge Namibia’s local MSB market but also provide structured information to actively engage in SAPP membership. Our intention is to expand electricity trading throughout the region by involving independent players.”
Namibia’s decision to deregulate its electricity market aligns with its goal to enhance energy security and establish itself as a hub for renewable energy in Africa. The shift towards greater renewable integration necessitates clear technical and commercial rules for grid access and trading, benefiting both host utilities and market participants.
Robert Kahimise, CEO of ECB, explains, “From a policy standpoint, our MSB market model opens doors for new investors and enables exports to SAPP markets. These guidelines offer crucial information for anyone interested in tapping into this potential.”
Simson Haulofu, Managing Director of NamPower, acknowledges the challenges of implementing the MSB market and emphasizes that while the guide may not address all technical and commercial questions, it establishes a fundamental basis for shared understanding among potential and current participants in the MSB and SAPP markets.
Furthermore, linking national and regional markets fosters progress on the continental level. Ene Macharm, Africa Partnerships Coordinator at GET.transform, highlights the opportunities that cross-border trading brings to the sector, promoting economic prospects for Africa’s Single Electricity Market. She commends ECB, NamPower, and SAPP for their collaborative efforts in developing this guide.
