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W’African energy ministers ratify ERERA’s Rules on Sanctions to end defaults

The ECOWAS Regional Electricity Regulatory Authority (ERERA), the regulator of regional cross-border trade of electricity in West Africa made up of ECOWAS energy ministers has adopted new rules on sanctions to grow energy market activities.

Besides, the key consideration of the body is to deepen member state commitment in delivering electricity interconnections for the pooling and sharing energy resources in the region.

Already, members have adopted a number of provisions to establish appropriate legal and institutional framework for the development of the electricity sector in the region.

Business Hilights gathered that the approval of the document, which took place in Cotonou recently, was on the recommendation of a preceding meeting of energy experts. The document will be submitted to the ECOWAS Council of Ministers for adoption.

Industry analysts say the Rules on Sanctions, is necessary to ensure the implementation, monitoring and control of the obligations established in ECOWAS Community legislation.

The rules are designed to define the sanctions that ERERA will apply in case of breaches of the ECOWAS Regional Electricity Market Regulation.

The gazette document sighted by Business Hilights Ghana Bureau Chief provided that “the Rules on Sanctions are applicable to any breach of the ECOWAS Regional Electricity Market Regulation committed by any participant of the ECOWAS Regional Electricity Market, or by the System and Market Operator, or by any transmission system operator or transmission service provider of an ECOWAS Member State, or by any entity obliged to comply with the ECOWAS Regional Electricity Market Regulation”.

Besides, according to the Chairman of ERERA, Prof. Honoré Bogler, “there are serious, significant and minor types of breaches, and that any of these may occur during market transactions, making it inconsistent with the Regional Electricity Market Regulation”.

“Electricity Market Regulation includes all applicable decisions, rules and regulations related to the electricity market and rules ensuring cross-border exchange and transport of electricity across the 14 mainland countries of ECOWAS.

“These legal instruments include the Regional Market Rules, the Regional Transmission Tariff Methodology, the WAPP Operation Manual, the Model Bilateral Agreements, the Regional Market Procedures, and the Rules of Practice and Procedures.

Continuing, he revealed that “among others rules, a sanction may be determined by the nature and seriousness of the breach, the damage caused to the regional or national economy, or to the Regional Electricity Market, the repetition of breaches, as well as previous behaviour of the defaulting person”.


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