How ECOWAS crack may impact bloc’s power pool

The recent exit of Niger, Burkina Faso, and Mali from the Economic Community of West African States (ECOWAS) has raised concerns about the future of regional integration efforts in West Africa. One critical area affected by this split is the West African Power Pool (WAPP), which plays a vital role in facilitating electricity trading and enhancing energy security in the region. Ayodele Oni, a Partner at Bloomfield Law Practice, shared insights on the potential impacts of the ECOWAS crack on the WAPP during a recent interview with CNBC Africa. The WAPP, envisioned as a unified energy grid for the region, is currently in progress, with established protocols and agreements to foster international energy trading among member countries. However, the departure of key nations from ECOWAS is expected to slow down progress and pose challenges to ongoing projects within the power pool. Despite the uncertainties surrounding the duration of this split, Oni believes that existing power purchase agreements (PPAs) between member countries and Nigerian companies are likely to be honored to maintain international investment and cooperation. While the sanctity of existing contracts may be upheld, the enforcement of sanctions on some nations could temporarily disrupt energy trade and revenue streams, impacting both public and private sector entities. As countries navigate these challenges, maintaining energy security within the region remains a top priority. Oni emphasized the importance of securing energy supply and demand through regional collaborations and initiatives like the African Continental Free Trade Agreement (AfCFTA). By enhancing trade relations and promoting tariff-free movement of energy resources, West African countries can work towards ensuring a stable energy market and fostering economic growth. When discussing broader energy projects such as the Trans-Saharan Gas Pipeline, Oni highlighted the significance of local integration efforts in Nigeria before expanding gas exportation to Europe. While regional tensions may affect certain projects, long-term plans for energy cooperation and infrastructure development are key to addressing energy security challenges in West Africa. In conclusion, the current ECOWAS split presents both challenges and opportunities for the WAPP and regional energy initiatives. As stakeholders in the public and private sectors navigate the complexities of this transition, strategic planning and cooperation will be essential to mitigate risks and drive sustainable energy solutions. While uncertainties loom over the future of regional integration, proactive measures and continued dialogue among member states can pave the way for a resilient and interconnected energy landscape in West Africa.