WASHINGTON, November 4, 2025 – Today the World Bank approved the Technical Assistance to the Southern African Power Pool (SAPP) project, also known as RETRADE SAPP, to support increasing and expanding the regional electricity market in the SAPP.

The project will help crowd in private capital for transmission and deepen participation and liquidity in the regional power market. This, in turn, will support greater electricity trading and contribute to a more affordable, reliable, and cleaner power supply across SAPP’s member countries. The increased integration of renewable energy and cross-border power flows are expected to create opportunities for industrial development and job creation across the region. As Phase 2 of the Regional Energy Transmission, Trade and Decarbonization Project in Southern Africa Multi-Phase Programmatic Approach (RETRADE-SA MPA) Program, the RETRADE SAPP project will also facilitate the preparation and implementation of World Bank-financed interconnector infrastructure projects in the region.

Aligning with the African Union’s Programme for Infrastructure Development in Africa and the Southern African Development Community’s (SADC) Regional Infrastructure Development Master Plan, the project is a step towards the Africa Single Electricity Market (AfSEM). It also supports Mission 300, an initiative to connect 300 million people to electricity in Sub-Saharan Africa by 2030, by expanding regional power integration.

“The expansion and integration of regional transmission networks is critical to improve the reliability and affordability of electricity in Africa,” said Ndiamé Diop, World Bank Vice President for Eastern and Southern Africa. “This project will help strengthen cross-border power trade and private investment in energy, contributing to the region’s economic growth, diversification and job-creation.”

The RETRADE SAPP project will provide $12 million in financing for technical assistance to the SAPP and regional institutions such as the SADC, the Regional Energy Regulators Association of Southern Africa (RERA), and the SADC Centre for Renewable Energy and Energy Efficiency (SACREEE). The financing consists of a $10 million equivalent grant from the International Development Association (IDA), alongside a US$2 million grant from the Energy Sector Management Assistance Program (ESMAP).

“The Southern African Power Pool welcomes this partnership, which will help us take a major step forward in deepening regional integration in the power sector,” says Steve Dihwa, Executive Director, SAPP Coordination Centre. “Our region is endowed with abundant energy resources, yet many member countries still face persistent challenges in expanding electricity access in an affordable, reliable, and sustainable manner. This technical assistance will accelerate support to our members in delivering urgently needed, high-quality and resilient energy infrastructure, while fostering a supportive environment for increased private-sector investment and cross-border electricity trading.”

SAPP comprises 12 continental member countries of the SADC: Angola, Botswana, Democratic Republic of Congo, Eswatini, Lesotho, Malawi, Mozambique, Namibia, South Africa, Tanzania, Zambia, and Zimbabwe.

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PRESS RELEASE NO: 2025/108/AFE