Programme forInfrastruture
Development in Africa

Interconnecting,integrating and transforming
a continent

Infrastructure
Outlook 2040

The Programme for Infrastructure Development in Africa:
Transforming Africa through Modern Infrastructure

2

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Table of Contents

Foreword

4

Acknowledgements

6

Acronyms and Abbreviations

8

Currencies

9

List of Tables, Figures and Boxes

91.

Why PIDA? Why now?

11

1.1 The Promise of Regional Integration

11

1.2 The Challenges

13

2.

3.

4.

5.

A Growing Africa

17

2.1 Drivers of Africa’s Recent and Future Growth17

2.2 GDP Growth Prospects to 2040

20

2.3 The Smart Way to meet Growing Demand for Infrastructure

20

Transport Outlook through 2040

23

3.1 Future Demand for Freight Transport

24

3.2 Future Demand for Air Passenger Transport

25

3.3 Main Challenges stemming from the Outlook 2040

26

Energy Outlook through 2040

29

4.1 With Growth, burgeoning Demand for Energy

29

4.2 Energy Outlook by region30

4.3 Regional Integration and the Underexploitation of Energy Supplies30

4.4 Investing to meet Demand

31

Transboundary Water Resources Outlook through 2040

33

5.1 Irrigation, Water Withdrawals, and Water Requirements at the Continental
Level

33

5.2 Water Stress: Gaps between Net Water Requirements and Available Water
Resources

6.

34

5.3 The Limits of Hydropower

35

5.4 Rivers and Lakes Transport Infrastructure

36

ICT Services Outlook through 201839

6.1 Requirements for Broadband Development

39

6.2 Bandwidth Projections (2015–18)

40

6.3 Facets of Internet Demand in Africa

41

6.4 Conclusion

41

3

7.

8.

Doing Things Differently: A Strategic Framework for Regional
Infrastructure Projects

43

7.1 Transport

43

7.2 Energy

44

7.3 Transboundary Water Resources

44

7.4 Information and Communication Technologies

45

The Priority Action Plan : A Portfolio of Projects that will promote Integration
and Growth47

8.1 Toward Consensus: The PIDA Consultation Process

47

9.

8.3 The PIDA Infrastructure Development Plan to 2040 and PAP 2012–20

48

8.4 Distribution and Cost of PAP Projects

51

Implementing the PAP: Institutional Arrangements to overcome Fragmentation

55

9.1 Improving the Existing Regional Institutional and Policy Framework55

9.2 Implementing the PAP at the Continental and Regional Levels

56

9.3 Implementing the PAP at the National and Project Levels

57

9.4 The Outlook for ﬁnancing PIDA’s Priority Action Plan

59

10. Risks to PIDA and to Africa

63

11. References

65

Annex 1: PIDA Priority Action Plan by sector

67

Transport

67

Energy70

Transboundary Water Resources

71

Information and Communication Technologies

72

Annex 2: List of Documents produced during PIDA Study73

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

8.2 From Strategic Framework to the PIDA Portfolio: Selection and Prioritisation Criteria 47

4

Foreword

Africa is at a critical threshold, home to some of the

PIDA was approved by the 18th Assembly of Heads

world’s fastest growing economies and quickly posi-of State and Government in January 2012 in Addis

tioning herself as the world’s leading “resource fron-Ababa, Ethiopia. In approving PIDA, the Heads oftier” as the number of resource rich economies

State and Government made a number of critical de-increases. Africa’s continuing growth and prosperity

cisions, among them, the need to up-scale domestic

will swell the demand for infrastructure, already one

resource mobilization and innovative financing ap-of the continent’s greatest impediments to sustaina-

proaches; strengthen capacity for project preparation

ble development.

to move projects to bankability and therefore finan-

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

cing; and ensuring that PIDA projects are reflected as
The Programme for Infrastructure Development inpriorities in the national development plans and bud-

Africa (PIDA) provides the strategic framework andgets of Member States.

agenda of priority infrastructure projects aligned with
Africa's long-term goals and highlights the impor-

The importance of regional integration for supporting

tance of regional infrastructure for Africa's growth.

Africa's economic development has long been reco-

PIDA was launched by the 12th Assembly of Heads

gnized by African Founders and Leaders. Africa’s sta-of State and Government of the African Union Com-ted goal as enshrined in the Abuja Treaty (1991) is themission (AUC) in Kampala, Uganda, in July 2010.

creation of an African Economic Community (AEC) as

The formulation of PIDA was undertaken within a col-connected and prosperous Continent with the Regio-

laborative partnership process involving the AUC, UN

nal Economic Communities (RECs) as the building

Economic Commission for Africa (UNECA), NEPAD

blocks.

a means to reposition Africa as an integrated, inter-

Planning and Coordinating Agency (NPCA) and theAfrican Development Bank (AfDB) and was underpin-

As barriers are eliminated, regional integration efforts

ned by an extensive and inclusive consultative pro-are deepening and maturing resulting in larger, diverse

cess involving the RECs, Member States, specialised

and rapidly growing integrated economic space for

institutions and agencies, development partners andmovement of goods, services and people. Africa is

as well as stakeholders from the public and private

also urbanizing rapidly. In the early 1960’s, only 20%

sector grounded on strong diagnostic and analyticalof the African population was urbanized, estimateswork.

are now close to 40% bringing the known benefits ofurbanisation

Africa’s continental infrastructure investment needs

includingefficiency,

convenience,

concentration of resources, and social integration.

as defined in PIDA are estimated at US$360 billion up
to the year 2040. Of these, priority investments up toThis means that going forward, Africa will need to

the year 2020 comprise 51 projects and programs

focus not only on consolidating but also on diversi-

defined in the PIDA Priority Action Plan (PIDA PAP)

fying its infrastructure responses. Firstly, to promotecomprising projects in Energy, Transport, ICT andinfrastructure that is responsive to Africa’s place in theTrans-boundary Water at an investment cost of

global economy to enhance competitiveness while at

US$67.9 billion. This is an ambitious but achievable

the same time supporting intra-regional trade and in-target provided concerted and coordinated efforts arevestment. Secondly, to promote sustainable infra-

undertaken by all parties concerned.

structure with a bias on infrastructure projects which5

are environmentally sustainable while at the sameSpecial Fund, the European Union, the Islamic Deve-time promoting inclusive growth. Thirdly, Africa’s in-lopment Bank and the U.K. Department for Interna-frastructure must also support food security, indus-

tional Development for their financial contributions.

trialization and value addition and lead to enhanced
delivery of social services and therefore, improved

PIDA is achievable, but this requires concerted efforts

quality of life and livelihoods.

as well as close coordination and collaboration by all

We would like to thank the African and international

financiers, development partners, Pan-African bodies,

community, particularly the African Union Commis-

RECs, as well as civil society. Together, we can makesion, the African Development Fund, the Nigeria Tech-an integrated, inter-connected Africa that is competi-

nical Cooperation Fund, the African Water Facility, thetive within itself and in the global economy a reality.

NEPAD Infrastructure Project Preparation Facility

H.E. Dr. Nkosazana Dlamini Zuma
Chairperson
African Union Commission

Dr. Donald Kaberuka
President
African Development Bank

Dr. Carlos Lopes
Executive Secretary
United Nations
Economic
Commission for Africa

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

concerned – Governments, the private sector, project

6

Acknowledgements

The completion of the study on the Programme for Infrastructure Development in Africa (PIDA) was a major milestone in defining Africa’s performance and prospects in infrastructure. The PIDA Study helped to inform thestate of Africa’s infrastructure as well as priority projects across the four critical infrastructure sectors, Energy;
Transport; Information and Communications Technology (ICT); and Trans-boundary water. This Synthesis Reportprovides a summary of the key issues and prospects facing these four sectors as well as Africa’s infrastructure
as a whole.
The African Union Commission (AUC) would like to thank all those involved in the PIDA Study in particular, theAfrican Development Bank (AfDB), the NEPAD Planning and Coordinating Agency (NPCA), the United Nations

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Economic Commission for Africa (UNECA) and Development Partners without whose contributions and commitment, this landmark study would not have been possible.
The support and collaboration of the Regional Economic Communities (RECs) and the Member States led not
only to the success of PIDA, but also to ensuring that the ownership of PIDA rests with the RECs and Member
States who are ultimately, the drivers of PIDA as well as the beneficiaries.

Special Acknowledgements
•
•
•
•
•

Dr. Elham M.A. IBRAHIM, AU Commissioner for Infrastructure and Energy
Dr. Ibrahim Assane MAYAKI, CEO of NEPAD Planning and Coordinating Agency
Mr. Gilbert MBESHERUBUSA, AfDB Vice President for Infrastructure, Private Sector and Regional Integration
Dr. Bernard ZOBA, AU Commissioner for Infrastructure and Energy (2003-2008)
Dr. Mandla GANTSO, former AfDB Vice President for Infrastructure, Private Sector and Regional Integration

Special thanks are due to the Sector Experts for their valuable contributions in contributing to thisSynthesis Report.
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•

Mr. Aboubakari BABA-MOUSSA, Director of Infrastructure and Energy, AUC
Mr. David KAJANGE, Head of Transport and Tourism Division, AUC
Mr. Philippe NIYONGABO, Head of Energy Division, AUC
Mr. Moctar YEDALY, Head of ICT, Telecommunications and Postal Services Division, AUC
Mrs. Olushola SODEKO, Head of Environment and Water Resources Division, AUC
Dr. Maurice NIATY-MOUAMBA, Transport Consultant, AUC
Dr. Zouli BONKOUNGOU, ICT Consultant, AUC
Mr. Bernard BARANDEREKA, Energy Consultant, AUC
Dr. Mahmoud MUSTAPHA, Water Resources Expert, AUC
Mr. Adama DEEN, Head of Transport Unit, NPCA
Pr. M. Mosad ELMISSIRY, Head of Energy Division, NPCA
Dr. John TAMBI, Transport Consultant, NPCA
Mr. Remmigious MAKUMBE, Director of Infrastructure, SADC
Mr. Amos MARAWA, Director of Infrastructure, COMESA
Mr. Lotfi SEBOUAI, Director of Infrastructure, UMA
Mrs. Saida MENDILI, Director of Financial and Economic Affairs, UMA
Mr. Jonas TAKODJOU, Head of Infrastructure Unit, ECCAS•adb Mrs. Judith NWAKO, PIDA Focal Point, SADC
Mr. Gilbert MAETI, Transport Policy Specialist, COMESA••
Dr. Mohamedain SEIF E. NASR, Energy Economist, COMESA•Mr. David MBADINGA, Energy Expert, ECCAS
Mr. Hosea NYANGWESO, Principal Civil Engineer, EAC••
Mr. Peter N. KINUTHIA, Senior Energy Officer, EAC
Mr. Mamadi KOURMA, Sectoral Programme Officer, CEN-SAD••
Mr. Sédiko DOUKA, Regional Infrastructure Advisor, ECOWAS•
Mr. Abdelkarim AZHARI, Programme Manager - Transport & Communications, IGAD
Mr. Wilfred C. LOMBE, Chief Infrastructure, Natural Resources Development, UNECA••
Mrs. Marie-Thérèse GUIEBO, Transport Officer, UNECA•
Mr. MONGA, Energy Officer, UNECA•
Pr. Graeme PRESTON, Infrastructure Advisor, EU Delegation to AU•
Mr. Mourad BAOUINA, Transport Expert, IsDB•
Mr. Winfried ZARGES, Water and Infrastructure Manager, GIZ•
Dr. Ousmane THIAM, President of African Union of Public Transport•
Mrs. Cleopatra Salaphy SHICEKA, Union of African Railways•
Mr. Bruno KAPANDJI KALALA, Permanent Secretary, Central African Power Pool, CAPP•
Mr. Jasper ODUOR, Executive Secretary, Eastern Africa Power Pool, EAPP•
Mr. Amadou DIALLO, Executive Secretary, West African Power Pool, WAPP•
Dr. Laurence MUSABA, Co-ordination Centre Manager, Southern African Power Pool, SAPP•
Mr. Lakhdar CHOUIREB, Secretary General, COMELEC•
Dr. Hussein ELHAG, Executive Director, African Energy Commission, AFREC•
Mr. Abel Didier TELLA, Secretary General, UPDEA•
Mr. Paul JOHNSON, Executive Secretary, AFSEC•
Mr. Mufor ATANGA, Executive Secretary, AFUR•
Mrs. Isabelle VAN GRUNDERBEECK, Study Coordinator, AfDB•
Mr. Ahmed OUNALI, Energy Consultant, AfDB•
Mr. Djamal MOSTEFAÏ, Consultant, AfDB•
Mr. Alex RUGAMBA, Director of Regional Integration and Trade Department, AfDB•
Mr. Ralph OLAYE, Manager of Infrastructure and NEPAD Division, AfDB•
Mr. Peter Fernandes CARDY, Infrastructure Expert, AfDB•
Mr. Micah AJIJO, PIDA Study Coordinator, AfDB•
Mr. Dovi Charles AMOUZOU, Senior Operations Coordinator, AfDB•
Ms. Eki AGHEDO, Administrative Assistant, AfDB•
Mr. Jacques MOULOT, Chief Energy Specialist, AfDB•
Mr. Epifanio De MELO CARVALHO, Principal Infrastructure Specialist, AfDB•
Mr. Francis Daniel BOUGAIRE, Principal Water Sanitation Engineer, AfDB•
Mrs. Bitsat KASSAHUN YOHANNES, Regional Integration Expert, AfDB•
Mr. Salieu JACK, Chief Information and Telecommunications Engineer, AfDB•
Mr. Enock YONAZI, Principal Telecommunication Engineer, AfDB•
Mr. Hatem CHAHBANI, Principal Infrastructure Expert, AfDB•
Mr. Mtchera CHIRWA, Chief Public Private Partnership Infrastructure Specialist, AfDB•
Mr. Abayomi BABALOLA, Chief Transport Engineer, AfDBPROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

7

8PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Acronyms and Abbreviations

AfDB
AFREC
AFSEC
AFUR
AU
AUC
CAPP
CEMAC
CEN-SADCOMELEC
COMESA
EAC
EAPP
ECCAS
ECOWAS
EU
GIZ
G12
ICA
ICT
IGAD
IsDB
IXP
LLC
L/RBOs
NBI
NEPAD
NPCA
OECD
OMVS
PAP
PIDA
PPP
RBO
REC
SADC
SAPP
TAH
TEU
TWR
TWRM
UEMOA
UMA
UN
UNECA
UPDEA
VoIP
WAPP

African Development Bank
African Energy Commission
African Electronical Standardization Commission
African Forum for Utility Regulators
African Union
African Union Commission
Central African Power Pool
Economic and Monetary Community of Central Africa
Community of Sahel Saharan States
Maghreb Committee for Electricity
Common Market for Eastern and Southern Africa
East African Community
East African Power Pool
Economic Community of Central African States
Economic Community for West African States
European Union
German International Cooperation Agency
G10+2
Infrastructure Consortium for Africa
Information and Communication Technology
Intergovernmental Authority for Development
Islamic Development BankInternet Exchange Point
Landlocked Country
Lake/River Basin Organisations
Nile Basin Initiative
New Partnership for Africa’s Development
NEPAD Planning and Coordinating Agency
Organisation for Economic Co-operation and Development
Organisation for the Development of the Senegal River
Priority Action Plan
Programme for infrastructure Development in Africa
Public–Private PartnershipRiver Basin Organisation
Regional Economic Community
Southern African Development Community
Southern African Power Pool
Trans-African Highway
20-foot Equivalent Unit
Transboundary Water Resources
Transboundary Water Resources Management
West African Economic and Monetary Union
Arab Maghreb Union
United Nations
United Nations Economic Commission for Africa
Union of Producers, Transporters and Distributors of Electricity in Africa
Voice over Internet Protocol
West African Power Pool

9

adb

CURRENCIES:

All amounts are in US dollars unless otherwise indicates

List of Figures
Figure 2.1 Widespread growth across sectors
Figure 2.2 Historical and forecast population in Africa
Figure 2.3 Population density in Africa
Figure 3.1 Africa’s corridors of growth: ARTIN in 2009 and 2040
Figure 3.2 Forecast air passenger trafﬁc through 2040
Figure 4.1 Consumption fossil and hydro primary energy of Africa (in million toe)
Figure 4.2 Annual growth rate (%) and increase in demand (in GWh) by power pool, 2011- 40
Figure 5.1 Level of commitment of selected basins in 2005 (left) and in 2040 under a medium population
growth scenario and the “business as usual” irrigation development scenario (right)
Figure 5.2 Map of internal renewable surface and groundwater resources per capita in Africa, 2005 and 2040
Figure 6.1 The digital divide between North Africa and Sub-Saharan Africa (end 2010)
Figure 6.2 Current status of trans-national ﬁbre optic infrastructure in Africa
Figure 8.1 PIDA transport networks in 2020 and 2040
Figure 8.2 PIDA energy generation and transmission programmes for 2020 and 2040
Figure 8.3 PIDA programmes and projects on Transboundary Water Resources
Figure 8.4 PIDA’s ICT programmes
Figure 8.5 Distribution of projects by region and by sector
Figure 8.6 Breakdown of costs of PAP by sector
Figure 8.7 Breakdown of costs of PAP by region
Figure 9.1 Implementing PIDA: The IAIDA decision-making and implementation
List of Boxes
Box 1.1 Regional integration around the world
Box 1.2 Regional integration and cross-sector synergies - The example of “virtual water”
Box 1.3 Poor coordination and payment delays compromise regional projects: The case of the OMVS’ Manantali dam
Box 9.1 Project proﬁle: Ruzizi 3
Box 9.2 The solidarity levy and structural fund of the West African Economic and Monetary Union (UEMOA)PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

List of Tables
Table 2.1 GDP in Sub-Saharan Africa and other countries
Table 2.2 Projections of population and gross domestic product in Africa, 2010-40
Table 3.1 Economic cost of inefﬁciencies in ARTIN, 2009
Table 3.2 Trade forecasts by region (million of metric tons)
Table 6.1 Projected international bandwidth by REC and for Africa as a whole
Table 8.1 Additional infrastructure to be built under PIDA Infrastructure Development Plan to 2040
Table 8.2 Number and cost of PAP projects by sector and region

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
10

1. Why PIDA? Why now?

11

1.

Why PIDA? Why now?

This report summarizes the findings of the Study ofin the world, and infrastructure appears to be one of

the Programme for Infrastructure Development in

the most important factors holding them back.

Africa (PIDA), a programme dedicated to facilitating
continental integration in Africa through improved re-

The results of the PIDA Study will enable African sta-

gional infrastructure. Designed to support implemen-keholders to speak with one voice for continental andtation of the African Union Abuja Treaty and theregional infrastructure development based on a com-creation of the African Economic Community, PIDA is

mon vision and agenda.
PIDA is grounded in regional and continental master

Planning and Coordinating Agency (NPCA), and theplans and action plans as well as other relevant work

African Development Bank (AfDB).

undertaken by the African Union (AU), the regional
economic communities (RECs), the regional andInfrastructure plays a key role in economic growth andcontinental technical agencies (including the lake andpoverty reduction. Conversely, the lack of infrastruc-river basin organizations (L/RBO) and power pools

ture affects productivity and raises production and(PP), and the concerned countries.

transaction costs, which hinders growth by reducing
the competitiveness of businesses and the ability of

The proposed infrastructure development programme

governments to pursue economic and social deve-

articulates short- (2020), medium- (2030), and long-lopment policies. Deficient infrastructure in today’s

term (2040) priorities for meeting identified infrastructure

Africa has been found to sap growth by as much as

gaps in a manner consistent with the agreed strategic

2% a year (Calderón 2008). This is a continental pro-framework, based on long-term social and economic

blem that requires a continental solution.

development visions, strategic objectives, and sector
policies, and buttressed by an implementation strategy

The lack of infrastructure in Africa is widely recogni-

for the Priority Action Plan (PAP), 2012–20.

sed. The road access rate is only 34%, comparedwith 50% in other parts of the developing world, and

1.1 The Promise of Regional Integrationtransport costs are higher by up to 100%. Only 30%of the population has access to electricity, compared

Ensuring that growing demand for regional infrastruc-to 70–90% in other parts of the developing world.

ture is met, and that infrastructure deficits do not

Water resources are underused. Current levels of

choke off growth, will require a determined and coor-water withdrawal are low, with only 4% of water re-dinated regional approach. As Africa’s economic geo-sources developed for domestic water supply, irriga-

graphy is particularly challenging, regional integration

tion and hydropower use, and with only about 18%

is the best, perhaps the only, way for Africa to realizeof the continent’s irrigation potential being exploited.

its growth potential, participate effectively in the global

The internet penetration rate is only about 6%, com-economy, and share the benefits of globalisation. Get-

pared to an average of 40% elsewhere in the develo-

ting there presents major challenges, as recent expe-ping world.

rience has shown, but promises ample rewards.

Deficits like these have a clear impact on African com-

Many of Africa’s fifty four countries are small in market

petitiveness: African countries, particularly thosesize and internally not integrated. Their infrastructuresouth of the Sahara, are among the least competitive

systems, like their borders, are reflections of the conti-

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORTa joint initiative of the African Union Commission(AUC), the New Partnership for Africa’s Development

12

nent’s colonial past, with roads, ports, and railroads

Box 1.1 Regional integration around the world

built for resource extraction and political control, rather than to bind territories together economically or

Successful examples of regional integration elsewhere in thesocially.

world include the knitting together of the expansive UnitedStates during and following its expansion. The interstate

Integration was a goal of the continent’s leaders in the

highway system begun in the 1950s, fuelled a rapid increasestruggle for independence. Kwame Nkrumah establi-in continental trade and honed the competitiveness of Ame-

shed the short-lived United States of Africa in the laterican firms.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

1950s, followed by the Organisation of African Unity(1963–2002), which was succeeded by the AU

The European Union, mapped out in the Treaty of Rome of(2002–present). The process of economic integration

1957, is another example of the benefits of economic inte-

gained traction with the 1991 Abuja Treaty that esta-

gration. The EU provides valuable guidance on how the es-

blished the African Economic Community. Its Article

sential28 proposed the creation of the RECs as the building

implemented. Subsidiarity holds that each aspect of infra-

conceptofsubsidiarity

can

be

effectively

blocks of African integration with continental integra-

structure (or any other policy matter) should be dealt with attion to be achieved by 2028.

the most appropriate level—continental, regional, subregional, or national.

Integration efforts in Africa, including regional infrastructure, have already resulted in increased trade, as

Since its inception in 2000, the Initiative for the Integration

they have in other regions that followed a similar pathof Regional Infrastructure in South America, which has many

(Box 1.1). Intra-African (and intra-REC) trade grew si-

similarities with PIDA, has identified 514 infrastructure pro-

gnificantly from 2000 to 2009 in coastal and land-

jects, totalling $69 billon, financed for 21% by local public

locked countries alike. But as a share of Africa’s total

funds, 25% by IFIs, 35% through PPP, and 19% by the pri-

imports, intra-African imports stagnated at 9% overvate sector.

the period 2000–07, during a time when Africa's
share in world exports was growing (from 2.4% to2.9%), (UNECA 2010). There is thus need for product

Shared regional infrastructure is the only solution todifferentiation and value-addition for the continent toproblems of small scale and adverse location. Eco-fully benefit from integration due to better infrastruc-nomies of scale are particularly important in the power

ture architecture.

and ICT sectors. Big hydropower projects that would
not be economically viable for a single country makeThe essential benefit of regional infrastructure is tosense when neighbours share their benefits. Connec-

make possible the formation of large, competitive

ting countries to submarine cables requires large up-

markets in place of the present collection of small,

front

investments

incross-border

backbone

isolated, and inefficient ones. Regional infrastructure

infrastructure. Regional air and seaports are a neces-does this by slashing transport costs (in particular tosity for a continent with so many small and landlocked

and from hinterlands and landlocked countries); es-countries.

tablishing connectivity so that goods can reach markets and people can exchange information and reach

An important benefit of regional infrastructure is its ef-

jobs; providing reliable, lower-cost energy for agricul-

fect on trade within Africa. As regional integration im-tural, industrial, mining and communications; and de-proves the competitiveness of African producers andveloping and sharing water resources in ways thatbrings millions more consumers within their reach,simultaneously increase food production, generate

Africa will see a swelling of intra- and inter-regional

electricity, and protect the continent’s natural environ-

trade as a share of all trade.

ment.

13

Regional infrastructure also exploits and advancesand road projects that incorporate the laying of com-synergies among sectors. One salient example ismunications cables. A third is that of “virtual water

multipurpose dams that store water for irrigation, do-trade strategies” that allow water-scarce countries tomestic and industrial consumption, hydropower ge-

rely on water-rich countries for imports of water-in-

neration, navigation, environmental needs, and flood

tensive agricultural goods (Box 1.2). Only planning

control. Another example of synergy is provided by

performed on a regional level can focus on and fully

power transmission lines that carry fibre optic cables

exploit such synergies.

Box 1.2 Regional integration and cross-sector synergies—The example of “virtual water”
Water resources are unevenly distributed across Africa. For that reason, some countries must continue to rely on food imports while others have huge potential to become food exporters (even when using mostly rain-fed agriculture).
In this context the possibility of so-called “virtual water trade strategies” should be explored. Virtual water refers to the quantity of water used in the production of a product, for example, wheat. Trade in virtual water would allow water-scarce counIn other words, water-scarce countries could import grain (which requires significant amounts of water during production)
instead of producing it locally. By exporting foodstuffs, on the other hand, water-rich countries could make use of their waterabundance by exporting water-intensive goods, primarily agricultural products. While such virtual water trade is alreadypractised, its implementation on a regional scale within Africa has just begun to be considered. The Nile Basin Initiative(NBI) has recently commissioned a study exploring the possibility of a virtual water trade strategy for Nile basin states.
Any trade-based solution, whether virtual water trade or other strategies, requires significant improvements in trade regimes
and supporting infrastructure, mainly transport. Even if the countries with high export potential were able to produce enoughfoodstuffs for export, interregional grain trade would be impeded by the numerous trade barriers still in place. Despite theestablishment of free-trade areas (for example, the launch of a regional trade bloc comprising the members of SADC, EAC,
and COMESA in June 2011), the elimination of tariff and non-tariff barrier has been neglected. Likewise, where large volumesof cereal must be moved, high transport costs will toll heavily on competitiveness. Africa’s agricultural producers alreadyhave to overcome disadvantages resulting from the distorted nature of international agricultural trade (largely related to agricultural subsidies in major developed economies). Regional initiatives to build a functioning and cost-effective regional transport network must be intensified to overcome these disadvantages by exploiting transport synergies.
Similar synergies are apparent in the links between investments in water infrastructure and energy. Water, used to generatehydropower, is already a substantial component of the continent’s overall energy generation capacity and could becomemuch greater. Because investments in irrigated agriculture are highly dependent on the availability of (cheap) energy for thepumping of water, exploitation of the continent’s hydropower potential becomes that much more important.
In sum, investments in water infrastructure need to be well integrated into coordinated, cross-sectoral investment and infrastructure plans (primarily transport and energy) in order to achieve the desired outcomes.

1.2 The challenges

1.2.1

Unfinished business: the imperativeof aligning infrastructure policies

The challenges of regional integration are illustrated
by the pitfalls encountered in implementing regional

Although Africa’s framework of continental and regio-

infrastructure policies to date, as well as by the mixed

nal policies is fundamentally sound, those policies

experience of infrastructure and regional projects

have not been thoroughly and consistently written into

under preparation and implementation.

national legislation, even after treaties are signed and

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

tries to mitigate their scarcity by importing large amounts of virtual water instead of building new water supply infrastructure.

14

ratified. Where regional and continental infrastructure

Policy harmonization is a problem affecting all regional

policies do appear in national legislation, too oftengroupings, including the European Union and the As-

they are not enforced.

sociation of Southeast Asian Nations (ASEAN). Shortof the judicial processes used extensively in Europe

The iconic example is the axle load limit for trucks.

to achieve harmonization but not available in African

Without a harmonised and enforced rule, international

regional groupings, a solution lies with peer review.

movement of trucks from a country or region with aBoth the EU (under the Maastricht Treaty) and ASEAN

higher load limit damages roads in countries with aare using the peer review process with a degree oflower load limit. Similarly, in ICT, the lack of harmoni-

success. NEPAD has experience with the African

sed regulation is a major obstacle to the construction

Peer Review Mechanism (APRM). An analogous ap-of vital regional backbones needed by private opera-

proach may be useful in ensuring policy harmoniza-

tors.

tion in infrastructure across African countries.

At the minimum base, continental and regional poli-

1.2.2

cies approved by ministerial committees or confe-

Difficulties in the physicalimplementation of regional projects

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

rences of Heads of State are no more thandeclarations of intent—intent to improve the delivery

The PIDA Study assembled and reviewed a panel ofof common goods through continental integration; in-case studies of the efficiency of current regional infra-

tent to facilitate trade and connectivity through har-structure in each sector, as well as regional projects

monised standards and regulations; intent toand programs under preparation or under construction.

cooperate on planning and delivering essential partsof regional networks that all agree are desirable.

The review revealed that the lack of alignment and financial problems were the principal drags on efficiency.

Currently, harmonisation is voluntary. In the absenceof formal legal authority to see that continental andLack of alignment with national and regional priorities isregional policies are written into effective national lawsa primary failure factor, as even good ideas become or-

and regulations and to compel national authorities

phan projects. For example, segments of the Trans-Afri-and utilities to follow through on their commitments,

can Highways (TAH) that correspond to the priorities of

the regional institutions might rely on cooperation,

the country involved have been built, but segments thatconsensus, and good will, which too often are in short

do not fit country priorities have stagnated.

supply.
Finding financing is another problem. Raising finance
As a result, consistent national policies, regulations,and reaching financial closure is complicated for regio-

and norms among countries that share regional infra-

nal projects (even those undertaken in the public sec-

structure are missing. The ensuing profound lack of

tor with grant financing) because of the number of

harmonisation of laws, standards, and regulations

actors involved. At every turn, there is the risk that thecomplicates the processes of planning and financing

interest of one partner will waver or that a commitment

vital regional projects while impeding cross-border

will not be met. Experienced project promoters andeconomic activity.

developers are needed to help projects clear the many
hurdles to financial closure.

The transport sector provides a striking illustration of
the economic impact of lack of harmonisation that

Financial distress bedevils regional projects in thegoes way beyond the axle load limit problem. Conflic-transport and power sectors. Regional railways, eventing policies and practices hinder international trade,those under private concession, earn revenue that iscompounding the impact of poor physical infrastruc-insufficient to cover operating expenses, provide main-ture. As a result, transport costs in Africa are up totenance, or support expansion. Road maintenance100% higher than in other world regions.

suffers from lack of financing even where roads funds

15

Box 1.3 Poor coordination and payment delays compromise regional projects: The case of the OMVS’s
Manantali dam
The Organisation for the Development of the Sénégal River (OMVS) illustrates the impact of national utilities’ financial difficulties on the efficiency of operation of regional power infrastructure. While the Manantali Dam was completed in 1986, its
electromechanical equipment and transmission lines to Dakar, Nouakchott, and Bamako were completed only in 2000. The
main causes of the delay were the difficulty the Member States had in agreeing on the routing of the power lines and in mobilizing financing. Since operation of the electrical facility started, OMVS has been plagued by the poor payment habits ofhave been established. Cash-starved utilities make un-

implementing “soft projects” (policy, planning andreliable off-takers for fledgling regional projects. The re-feasibility studies) financed by donor grants. Howe-sult has been steady deterioration of existingver, their mandate, procedures, and staffing in gene-

infrastructure to the point where portions of the net-

ral are ill-adapted to infrastructure civil works. (Awork have become unusable.

notable exception has been the OMVS, Box 1.3.).

There are exceptions to this dismal picture. Partici-

nerally lack the capacity to borrow.

The continental and regional organisations also gepants in the ICT sector enforce strict payment discipline through pre-payment of services. Other examples

Even with a competent developer, regional projects en-

are the well-maintained Maputo corridor (a toll roadcounter delays. One major cause is the time neededbuilt and operated by a private group) and regional fa-

to establish a responsive and comprehensive contrac-

cilities (such as container ports) that cater for credit-tual framework—whether or not the private sector isworthy clients.

involved. Another has been the difficulty of mobilizing
finance for project preparation (there are dozens of

Implementation of infrastructure is always complex—

project preparation facilities with differing operating

the more so in the case of regional projects with manyrules and insufficient resources on their own for the

stakeholders.

preparation of a large complex project) and for

Africa’s continental (AUC/NPCA) and regional orga-from the involvement of the full array of donors using anisations (RECs and their technical agencies) havecombination of equity, loans, and guarantees. This has

been keen to assist in promoting and developing re-been the only way to bring some projects to closure,gional infrastructure. They have been successful in

but it is time-consuming.

construction. Most successful projects have benefited

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

client utilities, themselves suffering from arrears in payments from governments and the public sector.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
16

2. A Growing Africa

17

2. A Growing Africa

Africa has about 20% of the world’s land mass andOther indicators confirm the diversity of the African

16% of its population, but only 2.5% of its gross do-continent. The World Bank’s Doing Business report for

mestic product (GDP). The United Nations Develop-

2011 ranks a hundred and eighty three countries on 5

ment Programme (UNDP 2011) summarises thedimensions of friendliness toward the private sector.

continent’s socio-economic situation as follows:

Mauritius ranks 20th, ahead of Germany, Switzerlandand Luxembourg and eight other African countries rank•

Africa is endowed with rich resources. Africanin the first 100 (World Bank 2010). Three African coun-

economies are growing quickly, subdued recently

tries—Rwanda, Zambia, and Cape Verde—are reco-

only by the impacts of multiple crises. Africa hasgnised among the ten “top reformers.”

minerals, oil, and a resilient labour force that in difficult circumstances delivers innovation andgrowth.
Despite this, Africa faces multiple challenges. It ishighly fragmented, with a large number of land-

Historically, a key driver of Africa’s growth has been its

locked countries and generally poor transport andrichness in natural resources. Resource wealth has

communication infrastructure—particularly in cen-

been the springboard for the continent’s current mo-

tral Africa. Africa is home to over two-thirds of thementum, catalysed by government spending (based on

world’s least developed countries, twelve of which

resource income), structural reforms, the winding down

have no access to the sea.

of many conflicts and civil wars, and economic diversification across many sectors—wholesale, retail, trans-

Africa is ranked the lowest of all continents on the

portation, telecommunications and manufacturing

UNDP’s Human Development Index (UNDP 2010). Of(Figure 2.1). Among the countries taking great advan-

the fifty African countries for which the HDI is com-tage of economic diversification based on natural re-puted, thirty five are in the low human development

sources are Nigeria, Côte d’Ivoire, and South Africa.

group and only 4 are in the high human developmentgroup. In 2007, twenty three countries had very low

Africa’s population is the other major driver of growth

per capita GDP, below $2,000 in purchasing powerby creating a pool of labour and consumers. The conti-

parity (PPP), while 6 had per capita GDP in excess ofnent’s population is projected to increase from 1 billion$10,000.

in 2010 to about 1.8 billion in 2040 (Figure 2.2)—much
Figure 2.1 Widespread growth across sectors

Source: Leke et al., 2010.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT•

2.1 Drivers of Africa’s Recent and Future
Growth18

faster rate than for other continents—and to pass those(with 60%) and well ahead of Europe (8%) and theof China in 2025 and India in 2030.

Americas (12%). Africa is poised to become a manpower reservoir for the world economy.

Urbanisation would increase from 40% in 2010 to
56% in 2040, approaching, but not reaching China’s

After a dismal performance in the 1980s, when real

anticipated level of 68%. In 2010, 51 cities in Africa

annual growth of GDP averaged only 1.87%, sub-Sa-

had more than a million inhabitants, and one city

haran Africa’s annual growth rate improved steadily,(Cairo) with more than 10 million. By 2040, it is ex-averaging 2.27% in the 1990s, 4% for 2000–08, andpected to have more than 100 cities of more than one

in excess of 6% for 2005–08, (Table 2.1). Weathering

million inhabitants and 7 cities of more than 10 million.

the 2008 global financial and food/fuel materials crisis

The largest city is projected to be Kinshasa, where

better than most other regions, Africa achieved an ag-

the population is expected to reach 24 million. Ove-gregate GDP growth of 4.7% in 2010 and finishedrall, the continent’s population is concentrated along2011 with an average 5% growth (UNECA 2011).

the Mediterranean coast, along the Gulf of Guinea,
through the Sahel, and in Central Africa (Figure 2.3).

Eight African countries were among the world’s 20 fas-

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

test-growing countries during 2005–09: Angola (1),By 2040 the proportion of Africans aged 15–64 years,

Ethiopia (3), Uganda (6), Rwanda (9), Sudan (10), Mo-

prime ages for production, in the world’s population

zambique (15), Tanzania (16), and Malawi (20) (IMFof this age group will reach 20%, second only to Asia

2011). Short-term prospects through 2015 exceed 5%.1

Figure 2.2 Historical and forecast population in Africa

Source: United Nations, 2011.

1

The International Monetary Fund (IMF 2011) expects Africa to grow at a rate of 5.2% in 2011 and 6% in 2012. The AfDB also projects 5.2%
growth in 2011.

19

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Figure 2.3 Population density in Africa

Data source: Gridded Population of the World, GPWv3, 2005.

Table 2.1 GDP in Sub-Saharan Africa and other countries
GDP constant, average annual growth rate (%)
1980–90 1990–2000

2000–08 1980–2008

GDP per capita (constant at 2000 US$ prices)
1980

1990

2000

2008

Sub-Saharan Africa

1.87

2.27

3.99

2.90

587

531

510

618

India

5.55

5.46

5.92

6.06

229

318

453

718

Brazil

1.55

2.54

2.85

2.48

3,539

3,355

3,701

4,448

Malaysia

5.98

7.11

4.02

6.11

1,919

2,608

4,030

5,151

Source: World Bank, World Data Bank.

20

Eight countries will exhibit an average growth rate of

2.2 GDP Growth Prospects to 2040

between 5% and 6% per year. At the back of the
The PIDA Study envisages an outlook for the future

pack, seven countries are expected to grow at a rate

based on a “stretch” macroeconomic scenario thatof less than 4% per year.

mirrors the outstanding performance of countries
such as India and Malaysia over the last thirty years
and of Africa in recent years (see Table 2.1). Such a

2.3 The Smart Way to meet Growing
Demand for Infrastructure

scenario would be consistent with the assumption
behind the Abuja Treaty, namely, that Africa will solve

Growth will require new infrastructure. But this pre-its major sector policy challenges in a satisfactory

sents a choice: Infrastructure can be supplied in an

manner in the next few years and achieve continental

uncoordinated way as needs arise, or in a coordina-integration as well as integration in the world eco-ted and programmatic manner that promotes regionalnomy.

integration and, in so doing, optimises long-term

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

growth, which depends on continental integration.
Africa’s potential for growth is indeed quite high.

The subsequent chapters present a strategic frame-

Using a methodology based on the Augmented

work for supplying infrastructure in a smart way, a

Solow Growth Model, the PIDA Study estimates thatway that simultaneously optimises regional integration

the average growth rate for 53 African countries

and growth potential while also satisfying demand.

(GDP-weighted and expressed in U.S. dollars PPP)
will be 6.2% per year between 2010 and 2040. A

On the basis of GDP projections, the Study determi-

6.2% rate of growth for Africa implies that over thirty

ned each sector’s demand for services through 2040

years, the GDP of African countries will on average(or 2018 in the case of ICT), making it possible to as-

have multiplied six-fold (Table 2.2).

sess the potential size of the gap between demandand supply at each step of the way. Efficiency gains

Thirty-seven countries should exhibit a growth rate hi-

from improved operation of existing continental andgher than 5% per year on average for the period

regional infrastructure and the completion of projects

2008–40. Twenty-six African countries should record

under implementation will fill a portion of the gaps

an average growth higher than the continental ave-

identified below. The PIDA programs are designed torage.

fill the remainder.
Table 2.2 Projections of population and gross domestic product in Africa, 2010–40
2010

2020

2030

2040
1,770

1,033

1,276

1,524

Urban population (millions)

413

569

761

986

GDP (2005 PPP $ billions)

3,300

6,010

11,63920,334GDP/per capita ($)

3,190

4,709

7,636

11,490Population (millions)

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT21

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
22

3.Transport Outlook
through 2040

23

3. Transport Outlook through 2040

Growth in Africa’s population, economic output, andshould be upgraded in order to arrive at a regional

trade flows will combine through 2040 to raise de-African road network with modern characteristics (si-mand at the regional and continental levels for freight

milar to the Trans-European Network) with efficienttransport, port facilities, and air passenger transport.

management and maintenance systems.

lopment of the present African Regional Transport In-

Four decades ago a continental network of roads lin-

frastructure Network (ARTIN), opening up gaps

king the capital and the key cities of Africa was defi-

between demand and supply that will slow down fu-

ned by African leaders to improve connectivity

ture growth if allowed to persist.

between African regions in the form of nine Trans-African Highways (TAH). Today about 25% of these TAHs

ARTIN’s purpose is to link large African centres ofare not as yet completed, one key objectives of PIDA

consumption and production (large cities, mining cen-is to complete the construction of these TAHs during

tres, large agriculture production projects, and so on)

the next 30 years.

with the rest of the world via modern and efficient regional transport infrastructure networks and gateways

The Africa Transport Sector Outlook 2040 evaluated(Figure 3.1 and map in chapter 8, section 8.2). Tradethe regional transport demand and the resulting infra-

in ARTIN corridors is expected to grow faster thanstructure gap, taking into account the policies that are

overall trade, expanding from 13% in 2009 to 18% of

relevant to regional and continental transport, thetotal trade in 2040.

existing infrastructure and the potential for efficiency
gains.

As presently structured, the ARTIN roads are constituted by a series of national roads with different stan-

There are sizable inefficiencies on many corridors as

dard and characteristics. In the future, this network

shown in the Table 3.1.

Table 3.1 Economic cost of inefficiencies in ARTIN, 2009
Type of cost

Amount (US$ billion)%

Total ARTIN corridor inefficiency costs

75

43

Total ARTIN air transport inefficiency costs

25

15

Total value of suppressed freight demand

65

38

Total value of suppressed air transport demand
ARTIN total

7

4

172

100

This inefficiency along the corridors is mainly due toborders and ports where too much time is lost in wai-the non-implementation of trade facilitation measuresting. This requires the development of efficiency mo-

and to transport sector policies by member statesnitoring, smart corridor information systems and thethan to the physical condition of the infrastructure.

creation of OSBPs.

One key issue for example, is the customs facilities at

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORTThe growth in demand is likely to outstrip the deve-

24

Figure 3.1 Africa’s corridors of growth: ARTIN in 2009 and 2040

a. 2009b.2040PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Source: PIDA

Over the next three decades, Africa’s transport plan-

Future port tonnage is expected to grow at 6% to 6.8%

ners will have to deal with important changes in theper year, excluding large new mining projects andtransport environment. Demand, which is presently

crude oil, and at 5.8 to 7.8% per year including new

suppressed by inefficiencies in the transport system,

mining projects. Six ARTIN corridors face short-term

will be unlocked by improvements in the system.

port container capacity gaps by 2020 even after cur-Steady advances in regional integration will cause a

rently planned port and terminal expansion projects are

shift from overseas trade to trade between countries

completed in West Africa (Tema and Lagos), East Africa

within the same REC. Structural change in African eco-(Mombasa), and southern Africa (all Mozambiquenomies will foster more value-added industries, chan-ports).

ging the profile of goods traded and increasing regional
integration. Demand for air passenger services will rise

Growth in container traffic is expected to outpace total

with per capita incomes and urbanization. Containeri-

tonnage. Container growth will average 10.6% per year

sed cargo will come to dominate port traffic and port

to 2020 (including some suppressed demand released

traffic growth, increasing the importance of multimodal

by corridor improvements) and 7.9% from 2020 totransport of containers along ARTIN corridors. Transit

2040 on a sustained basis (with all suppressed de-traffic from landlocked countries will increase more thanmand released). The net result will be an increase intenfold over the next thirty years.

container traffic to 38 million 20-foot equivalent units

As forecast, demand is expected to exceed capacity

fold increase.

(TEUs) by 2020 and 176 million TEUs by 2040, a 14in all areas of the ARTIN corridors by 2040, even withthe completion of planned improvement projects.

Bulk traffic growth will depend on mineral development,
particularly iron ore and bauxite exploitation. New coal

3.1 Future Demand for Freight Transport

shipments are also expected in ARTIN corridors, aswell as more copper metal from the Copper Belt coun-

Future freight transport demand in Africa is tied totries, but at lower tonnages than for iron ore andgrowth in international trade, which is expected to growbauxite, which will utilize special purpose-built transport

seven-fold (to 3.6 billion metric tons) over the next 30

facilities.

years (Table 3.2) as countries increase the value addedof their exports through processing, consumers with ri-

Six of eleven cross-border railway lines will need phy-sing incomes import more expensive goods, and ma-sical expansion by 2020 even if their operations andnufacturing and mining businesses import more
expensive processing equipment.

equipments are greatly improved to reach good efficiency before then. All eleven cross-border railways will

25

Table 3.2 Trade forecasts by region (millions of metric tons)

Region2009

North Africa
West Africa
Central Africa
East Africa
Southern Africa
Total Africa BaseWith suppressed demandWith new minerals

20
7
21
45
240
513
513
513

Volume
235
176
43
96
408
958
1,056
1,175

2020
Avg.
growth
(%)
6.3
6.7
6.8
7.1
4.9
5.8
6.3
7.8

Volume
410
300
77
181
617
1,585
1,822
1,998

2030
Avg.
growth
(%)
6.3
6.0
6.4
7.1
4.7
5.7
6.1
5.5

Volume
760
556
145
360
1,001
2,823
3,397
3,630

2040
Avg.
growth
(%)
6.4
6.3
6.5
7.1
5.0
5.9
6.4
6.2

Source: Africa Transport Outlook 2040, Annex 3.2, excluding crude oil.

need to be expanded by 2040 to meet demand withefficient mode shares for rail services.

could justify the building of new, modern railway lines
to link these landlocked countries to the sea, assu-

Over the period 2012–20, all ARTIN road corridors

pacities are concentrated in a few efficient locations.

will need modernisation to improve their efficiency
and capacity through facilitation measures (including
OSBP and “smart corridors”) and road improvements

3.2 Future Demand for Air Passenger
Transport(including standards modification, roundabouts at intersections, bypasses of urban areas and passing

International air passenger flows are forecast to in-and climbing lanes). Large port expansions will havecrease 40–90% by 2020 and by factors of 2.5 to 6

to be implemented.

by 2040, including suppressed demand (Figure 3.2).

There is scope for building new, modern rail lines inRECs but will continue to be dominated by nine coun-nine of the eleven corridors, where demand by 2040

tries that are major tourist destinations and major re-

Air passenger flows will increase for all countries andis expected to exceed 10 million tons. These fore-

gional air transport hubs. Demand for transport tocasts assume that the railways will be run as efficiently

Europe will be substantial for all RECs, with demandas Transnet railways in South Africa.

for transport to the Middle East becoming strong forseveral RECS and to Asia and North America for a

Regional rail master planning needs to be linked tofew.

new and expanded port development—a major departure from existing approach to rail planning. Re-

Surging demand will expose gaps in the ARTIN air

gional traffic along various corridors to and fromtransport system in the areas of air passenger service,landlocked countries is forecast to reach volumes that

air navigation systems, and airport capacity.

Figure 3.2 Forecast air passenger traffic through 2040

Source: Africa Transport Outlook 2040, Annex 3.5.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

ming that the development of the additional port ca-26

Seven airports face demand of more than 3 million air

Two sets of challenges will need to be overcome bypassengers per year by 2040 (over 2 million by 2030)

the transport sector:

and will need to be expanded. Two of these (Johannesburg and Cairo) may exceed 10 million passen-First, the creation of programs and projects that will:

gers by 2040.
•
The capacity of seventeen airports will be exceeded

trade forecasts (which involve increases byby 2020 under base case forecasts. Four are alreadyprogrammed for expansion, but all airports on the

Expand existing operations to handle 2020100%-200% in many cases).

•

Provide options to cope with future traffic in-continent will need to be expanded or supplemented

creases beyond 2020 to 2040 (where growthby additional airports by 2040 in order to handle therates of 6-10% per year lead to increase factors

anticipated growth in air traffic (350% to 600% overof 6-10 from current trade levels).

current air passenger levels).

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORTThis solution specifically targets transit traffic fromThe high-level air traffic control system will reach sa-

landlocked countries, which in some cases is expec-

turation between 2020 and 2030 and will need to be

ted to increase by 10–14 times over the next 30

replaced with a satellite-based air traffic control sys-

years.

tem. Gaps in the communications systems at andbetween airports in many areas of the continent will

Second, approaches need to be found on how to de-have to be patched.

velop regional corridor infrastructure in a way that includes:

This air traffic control system is obsolete and leads toinefficient use of aircraft and higher costs of air trans-•

port. A Single African Sky approach using satellite na-

locations, in combination with railway and/or

vigation is being considered.

road transport•

3.3 Main Challenges stemming fromthe Outlook 2040

The identification and development of new port

The potential introduction of standard gauge railway lines•

The increased use of multimodal transportation•

The best use of PPP initiatives, particularly for

Africa will need to implement large investment pro-

providing infrastructure investment for both port

grams in the short-, medium-, and long-term for theand rail facilities and for roads where the traffictransport sector in order to raise transport infrastruc-justifies itture efficiency and capacity along ARTIN corridors•

and for the ARTIN air transport system to efficiently

hubs, which will increase service levels and de-satisfy the expected transport demand, even with theadded capacity from planned projects.

The development of efficient air services and air
crease costs•

Policy challenges to ensure the funding andmaintenance of infrastructure and efficient coor-

The strategic approach by the African continent is todination of road and rail transport across bor-

select the best, more efficient corridors together withders, as well as border crossing facilities andthe best combination of transport modes in order toprocesses that facilitate trade and regional inte-

minimize total economic costs and reduce prices togration.

shippers and passengers.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT27

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
28

4. Energy Outlook
through 2040

29

4. Energy Outlook through 2040

Regional integration has the potential to save Africa

clash with the expected rapid development of extrac-

billions of dollars in operating costs savings that cantive industries as the bulk of the demand from thesemake investments affordable although it may not si-

industries is projected to be met by self-generation.

gnificantly lower investment costs. The fuel savings
that could be obtained from regional integration re-

To keep pace, generation capacity must increase by 6%present fully 75% of investment costs. An additional

per year to 694 GW in 2040, a six-fold increase. Pre-

800 million people in Africa could gain access to elec-

sently, the whole of Africa has just 125 GW of generating

trical power for a relatively modest investment.

capacity (comparable to that of the United Kingdom) andjust 90,000 km of power transmission lines. The gas and

The modernization of Africa’s economies, coupled

petroleum product pipeline systems are limited. Low
rates of access to basic energy services, especially in
sub-Saharan Africa, where access rates are barely 30%,
throttle socio-economic development.

with social progress and a commitment to widening
access to electricity, will boost energy demand in

Africa’s demand for primary energy (excluding bio-

Africa by an average 5.7% annually through 2040 tomass used by households) is expected to increase by

3,188 TWh, a 5.4-fold increase. The projected rate of

8.9% annually through 2040. The role of coal will fall,

increase in demand for electricity is much greater thanas gas and nuclear power become more developedin the past, when demand was heavily constrained by(Figure 4.1). The rapid increase in consumption of li-

shortages and rationing. The continent’s per capita

quid petroleum products reflects growing transport

electricity consumption is expected to rise from its

demand. Even as nuclear power supplements exis-

present level of 612 kWh per capita in 2011, the lo-ting energy sources and known hydropower potential

west of any world region, to 1,757 kWh per capita by

is fully exploited, the continent will continue to rely on

2040. This translates to an unprecedented 3.7% in-fossil fuels. A major challenge for Africa will be to meetcrease per year.

the continued and increasing dependence on petroleum products from continental resources through the

The total demand from industry is projected to in-development of refineries supplied by African crude,

crease from 431 TWh in 2011 to 1,806 TWh by 2040,

and of pipelines to transport increasing volumes ofan annual growth rate of 5.1%. This trend does not

petroleum products.

Figure 4.1 Consumption fossil and hydro primary energy of Africa (in million TOE)

Source Africa Energy Outlook 2040

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

4.1 With Growth, burgeoning Demandfor Energy

30Energy efficiency policies have the potential to save

be needed to meet CAPP’s growing demand for

139 MW (16.7%) in capacity needs and 634 TWh in

power. Access to electricity in the region will increaseenergy produced (16.6%), highlighting the impor-from 21% to 63%.

tance of diligent implementation of energy efficiency
policies.

EAPP’s demand is expected to grow by a moderate
6.5% per year because of relatively slow growth in

4.2 Energy Outlook by region

Egypt. Meeting that demand will require 140 GW of
new capacity, a 525% increase. The access rate will

Demand will increase faster in WAPP and CAPP thanincrease substantially from 37% to 68%, largely due

in the other pools because demand growth in large

to gains in Egypt.

countries such as South Africa and Egypt is expected

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Figure 4.2 Annual growth rate (%) and increase in demand (in GWh) by power pool, 2011–40

Source Africa Energy Outlook 2040

to be slower than in less-developed areas (Figure

The RECs will continue to have very diverse primary4.2). Because of the rapid demographic growth ofenergy mixes, with COMELEC and EAPP (Egypt) re-

sub-Saharan Africa per capita consumption will growlying heavily on gas and petroleum products, whileslower.

WAPP will have a more balanced mix of petroleum

Through 2040 COMELEC will experience an increase

products, gas, and coal. CAPP will rely essentially on

in demand by 6.0% per annum. Demand from new

petroleum products. SAPP will reduce its consump-connections will be limited because access is alreadytion of coal as nuclear energy expands.

close to 95%. It is expected that 298 GW of capacity
will have to be added.
Total demand in SAPP will increase by just 4.4% because of lagging growth in South Africa. The region will

4.3 Regional Integration and theUnder-exploitation of Energy Supplies

still have to add 129 GW in capacity (a 250% increase)

Africa’s abundant energy resources in oil, gas, coal,

to meet projected demand over the 2011–40 period.

and especially hydropower are unevenly distributed

Access is expected to swell from 25% to 64%.

across a compartmentalised continent, resulting inunder exploitation in some areas and scarcity andWith rapid growth in WAPP’s low-income countries,

inordinately high costs in others. As energy resourcesdemand will increase rapidly (by 8.9% annually), re-go unexploited, demand becomes unmet, impeding

quiring an additional 90 GW of capacity, a 1,200% in-

Africa’s human development and taxing its busi-

crease from the current level. Access will rise fromnesses.

45% to 67%, reflecting gains in Ghana and Nigeria.
Steering the evolution of the fuel mix in optimal direcSome 26 GW of new capacity (a 670% increase) will

tions is the paramount challenge in Africa’s energy

31

sector. Meeting that challenge hinges on successful

4.4 Investing to meet Demandregional integration, specifically the expansion of intraand interregional power trade so that efficient produ-

The main conclusions of the Africa Energy Outlook

cers can export their relatively low-cost energy, lowe-

2040 in terms of spending needs are:ring costs for all and improving reliability, both ofwhich are essential for industrial growth, ICT develop-•

An estimated $43.6 billion per year will be needed to meet forecast energy demand for Africa

ment, effective irrigation, and efforts to expand ac-

to the year 2040 as follows:

cess to electricity.
•

The average annual investment needs for the

Behind the under-exploitation of energy resources lies

power sector are estimated at $42.2 billion, withpoor capacity to mobilize financing for investment, es-$33.1 billion for generation, $5.4 billion in inter-

pecially from private sources, owing to the poor cre-connections, and $3.7 billion in access.

ditworthiness of countries and utilities and high•Interconnection investment is urgent and needed
up-front to meet the forecast energy demand inpolitical risks.

2020 for an average of $5.4 billion per year.
•

year—is needed to ensure no country has anperiod will affect investment patterns, the energy mix,

access rate below 60% by 2040.

and energy costs. Greater Integration will lower fuelcosts but require more capital investments because•

An estimated $1.3 billion per year will be needed
for gas and petroleum product pipelines.

integration increases the economic viability of largehydropower plants, which are more expensive andA relatively small investment—$3.7 billion per•

No significant increase in average wholesale ta-

time-consuming to build than thermal plants and areriff is required to finance the sector programme,

vulnerable to drought but produce cheaper power

which would remain around $0.10/kWh. Tariffand cost less to maintain and operate. Hydropower

estimates assume a major improvement in col-presently accounts for 20% of generating capacity on

lection performance and much larger sector

the continent, the highest share of any continent, but

cash flow volumes generated by the utilities.

supplies come primarily from small, inefficient units.
The main challenge will be financing the large capital
A realistic integration scenario would save $860 billion

investment requirements of the power sector, espe-

over the 2014–40 period—17% of the cost of electri-

cially the need to increase private sector financing andcity. This would represent an average annual gain ofsector cash flow by some 7–10 times their current le-$33 billion.

vels.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORTThe degree of regional integration achieved during thePROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
32

5. Transboundary Water
Resources Outlook through
2040

33

5. Transboundary Water Resources Outlook
through 2040

Africa’s transboundary water resources, although

Presently, however, Africa has the lowest level of irri-

unevenly distributed, have the potential to contributegated agriculture of any world region. Water storage

to food and energy production and to poverty reduc-(e.g., behind new hydroelectric dams) will have to in-tion—if they are properly tapped and exploited. But

crease if large-scale irrigation schemes are to suc-in the absence of advances in regional cooperation,

ceed.

burgeoning demand for water will cause many areasof the continent to experience greater water stressand scarcity.

The PIDA Study focuses on 10 lake and river basins—Lake Chad, Congo, Gambia-Geba-Koliba,

The total internal renewable water resources

and Zambezi and three underground water systems(IRWR)—the long-term average annual flow of rivers(the Nubian sandstones system, the Northwest Sa-

and recharge of aquifers generated from endogenous

hara system and the Illumeden). The selected basins

precipitation—in Africa as a whole are estimated toborder on most of the African countries and accountbe 3931 km3 per year. Africa represents 9.2% of thefor 51.5% of African land area and 80% of the total

world IRWR, compared to 28% and 29.1% in Asia

area of the African international basins.

and South America respectively. The IRWR in Africa
is distributed between surface water (more than
3,800 km per year) and groundwater (about 1,400
3

km3 per year) with an overlap of more than 1,300 km3

5.1 Irrigation, Water Withdrawals,
and Water Requirements
at the Continental Levelper year.
In the selected PIDA basins, the area equipped for irAfrica’s water requirements are expected to increase

rigation at present stands at around 6.2 million hec-significantly by 2040, with irrigated agriculture by far

tares, which represents around 20% of the estimatedthe largest consumer. Although much of Africa haspotential in these basins.

abundant water resources, water requirements of thedomestic, agricultural and industrial sectors are cat-

Critically, the biggest challenge for the expansion ofching up with supply at the continental scale.

agricultural production in Africa (both irrigation andrain fed) is the low efficiency of production. Thus, in

In some African water basins, demand will soon outs-

addition to increasing the area under production, si-trip available resources if improvements in manage-

gnificant investments need to be made in improving

ment and efficiency of use are not made. As demand

production efficiency if food production targets forstrains resources, the competition between water use

2040 are to be met.

sectors and the environment is likely to increase.
The water requirements reported here will vary withAs Africa’s population grows—it is expected to almost

population growth and the degree of expansion of ir-

double between now and 2040—the demand for

rigation over the next three decades.2 Those varia-

food (notably cereals such as wheat, maize, and rice)tions are the basis for alternate scenarios for thewill double as well. Meeting that demand depends on

African continent.

successful expansion of irrigated agriculture, as wellas improvements in rain-fed agricultural practices andActual water withdrawals for agriculture (the largest

increased cereal imports.

user) will depend on a series of economic, technical,

2

The “low”, “medium”, and “high” variants of the World Population Prospects database are used. http://esa.un.org/unpp/index.asp?panel=3.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Niger, Nile, Okavango, Orange-Senqu, Senegal, Volta

34

climatic, and political choices and factors that are dif-

319 million tons. As a consequence, 252 million tons

ficult to estimate. However, the four modelling scena-of cereal will have to be provided by rain-fed agricul-

rios for the development of irrigated agriculture

ture or imported.

provide a good indication of the expected magnitudeof future withdrawals for irrigation.

Intensifying food production will require raising agricultural productivity, finding the right balance between

Under all but the upper-bound scenarios (in which ir-

rain-fed and irrigated agriculture, expanding irrigatedrigation expansion would account for 100% of in-areas where doing so is especially advantageous, in-creases in food requirements), the gap between foodcreasing irrigation efficiency (e.g., through the use of

production and demand would be filled by rain-fed

drip systems), increasing the yield of stressed riveragriculture and international imports. In 2005, cereal

basins, and weighing the possibility of inter-basin

consumption in Africa (production + imports – ex-water transfers.

ports) was 192 million tons, of which 34 million tons
were produced under irrigation. The difference wasprovided by rain-fed agriculture (108 million tons) and

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

net imports (50 million tons).

5.2 Water Stress: Gaps between Net
Water Requirements and Available
Water Resources

By 2040, under the “business as usual” irrigation-de-

Under the irrigation-development scenarios, the re-velopment scenario and assuming medium popula-sidual volume in the Nile Basin, now about 3 km3/y,tion growth, irrigated cereal production will be about

would fall to zero, as the water resources of the

67 million tons against cereal requirements of aboutbasin are already almost fully committed (Figure 5.1,

Figure 5.1 Level of commitment of selected basins in 2005 (left) and in 2040 under a medium population growth scenario and the “business as usual” irrigation development scenario (right)

The level of commitment of a river basin is the ratio between water consumption and the natural renewable resource available in theriver basin.

335left).3 By 2040, the level of commitment of the other

5.3 The Limits of Hydropower

PIDA basins will range from a low of 0.8% in theCongo to 20%% in the Volta and Zambezi Basins

Most of Africa’s dams were built with hydropower ge-(Figure 5.1, right).

neration as a primary purpose (followed by irrigationwater supply). Nonetheless, at present, only 8.4% of

Although the Nile is the only basin where future re-the total estimated hydropower potential in the 10

quirements are likely to rapidly exceed the available

PIDA basins are exploited with the total installed ca-

resources, in several other basins it will be difficult topacity at about 15,800 MW. Eighty-four percent ofmeet projected requirements without damaging thethat capacity is concentrated in four river basins (Nile,

environment, which calls for well-informed political

Zambezi, Niger, and Volta). The bulk of the estimateddecisions.

(and currently unexploited) potential is also located in

Figure 5.2 Map of internal renewable surface and groundwater
resources per capita in Africa, 2005 and 2040

these basins, with only a small
percentage of estimated potential in the remaining PIDA

As with, installed hydropower
capacity, the bulk of the currently existing storage capacity
is concentrated in a few basins. Of the total storage capacity in the PIDA basins of 670

LegendCountries boundaries
Inland water bodies
Annual IRWR (m3/cap)
No data
0 - 1,000 (Water scarcity)
1,000 - 1,700 (Water stress)> 1,700

2011/5/1
Data sources:- Natural Earth dataset- Hydro1K database (USGS, 1996)- FAO AQUASTAT database

Data sources: UN Food and Agriculture Organization’s AQUASTAT
database and UN World Population Prospects.

billion m3, two-thirds are in the
Kariba, Cabora Bassa (bothZambezi basin), Akosombo(Volta basin) and High Aswan
dams (Nile Basin). Despite thecomparatively low storage capacity in absolute terms (given

the relatively small total annual run-off) the OrangeSenqu River basin is noteworthy in that it is one of
the most developed river basins in the world, with se-

At present about half the African continent faces

veral large dams and the world’s largest internationalsome sort of water stress or water scarcity (Figure

inter-basin transfer.

5.2). The situation is predicted to become significantly more aggravated in 2040 by when the only re-

By 2040, the planning model of the PIDA Study es-

gions where the IRWR per capita is considered as

timates that an additional 72,500 MW will have been

sufficient are the Congo River Basin and the Westerncommissioned in the selected basins, two-thirds in

Gulf of Guinea area. Several countries that were in a

the Congo basin alone.

situation of vulnerability in 2005 will become water
stressed or water scarce in 2040. Most of the coun-Once this significant increase in hydropower produc-tries sharing international river basins (except Congo)

tion is realised, however, hydropower will represent

are likely to face severe water scarcity in 2040.

less than 20% of installed capacity (about 694 GW

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

target basins.

36

in 2040). Even if the full hydropower potential of thethe Senegal and the lower Zambezi Rivers, and threeselected basins were exploited—unlikely for a variety

lakes, Lake Victoria, Lake Tanganyika and Lake Ma-of reasons ranging from social and environmental

lawi. Currently, river and lake transport serve essen-concerns to political instability and associated lacktially only the people living directly along rivers, whileof security of investments—hydropower would coverriver and lake based long haul traffic has practicallyno more than 35.1% of the forecast demand.

completely disappeared. The main reason is that therivers and lakes are not appropriately maintained for

5.4 Rivers and Lakes Transport
Infrastructurenavigation and transport purposes. Dredging is not

The main regional inland waterways in Africa are li-

condition.

carried out, the navigation systems are not correctly
maintained, and the fleets are old and in very poor

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

mited to five rivers, the Nile, the Congo, the Niger,

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORTPROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
38

6. ICT Services Outlook
through 2018

39

6.

ICT Services Outlook through 2018

High-speed broadband has become the lifeblood of the knowledge

Figure 6.1 The digital divide between North Africa
and Sub-Saharan Africa (end 2010)

economy and is fast becoming ahuman right, as well as a significant
contributor to economic growth.
The World Bank’s Africa Infrastructure Diagnostic Study estimates thata 10% increase in broadband pene-

Africa’s ICT sector will continue togrow rapidly over the coming decades, with the lion’s share of investment

comingfromprivateenterprise. Those investments canhave immense economic benefit, as
healthy competition brings prices
down and helps close the digital divide that has left

cables off Africa’s east and west coasts over the pastmost Africans without services that are taken forseveral years has brought ample international band-

granted in much of the world, including North Africa

width within easy reach of every country in Africa.

(Figure 6.1). But those benefits depend on the fulfilment of several conditions, as discussed below.

By 2012, with the landing of two more cables on thewest coast of Africa, all coastal countries had potential

6.1 Requirements for Broadband
Development

access to at least one submarine cable, with 4 or morelanding stations in all of the regions, except perhaps
Central Africa (Figure 6.2). On land however, a few im-

Africa was long deprived of access to submarine data

portant gaps remain in fibre connections between

transmission cables. But the rapid expansion of suchneighbouring countries and between regions.

Figure 6.2 Current status of trans-national fibre optic infrastructure in Africa
Submarine cable landing stations in Africa

Fibre optic cables linking Africa’s capitals

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

tration could raise GDP by 1–2%.

40

With ample intercontinental bandwidth available offs-

in 2010, with another 50,000 km under construc-

hore, the expansion of access to high-speed internet

tion and 80,000 km planned. Often that infrastruc-in Africa will depend on (i) the degree of competitionture is underused or not fully interconnected andin the delivery of that bandwidth to telecommunica-

hampers the development of a dynamic regionaltions companies, (ii) the presence of land-based op-

network.

tical infrastructure capable of moving large quantities
of data between the submarine cable landing stations

The private sector will finance much of Africa’s in-and the 3G/LTE transmitters that serve consumers in

ternational infrastructure needs where the required

the absence of wired networks, and (iii) governments’enabling policy and regulatory environment is in

willingness to grant 3G/LTE licenses to competitive

place, especially if the massive but almost entirely

telecommunications operators and to make spectrum

unrealised cost savings of fibre deployment byavailable at an affordable price. The first two points

using so-called alternative infrastructure (road, rail,

are expanded below.

and power lines) can be realised. Land-use planning rules have also not yet been widely adopted

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

6.1.1

Access to intercontinental bandwidth

to encourage or force the deployment of fibres oron competitive terms

ducts on new transport or energy infrastructure.

Broadband development cannot occur unless a large

6.2 Bandwidth Projections (2015–18)

quantity of reliable intercontinental bandwidth is available to telecommunications companies at a reaso-

Although projecting bandwidth needs even a few

nable cost. That requirement is sometimes impeded

years into the future is an uncertain undertaking,by de facto or de jure monopolies created or tolerated

there is no doubt that broadband connectivity andunder a country’s legal and regulatory framework.

traffic in Africa are growing rapidly, following the trail
blazed by mobile voice services. Continental de-

To meet the criteria of open access and promotion ofmand for intercontinental bandwidth is likely to swell

competition, regional infrastructure needs: (i) intercon-

by a factor of 20 from the 308 Gigabits per second

nection points at which operators can physically(Gbps) used in 2009 to more 6,000 Gbps in 2018

connect their equipment; (ii) sites along its entire(Table 6.1).

length that allow operators to install optic amplifiers
or other equipment required for transmission; and (iii)

The bandwidth demand projections presented here

information on prices and technical specifications forassume that intercontinental bandwidth will be avai-

the use of the regional infrastructure should be publi-

lable in sufficient quantity (60 kbps per connection)

shed in an interconnection catalogue.

in all countries at a competitive price. By the end of2012 ample intercontinental bandwidth was indeed

6.1.2

Construction or expansion of opticalavailable to all coastal countries, leaving only the

backbone and backhaul networks

key questions of price and competition to be resolved.

According to Africa Bandwidth Maps, a total of
300,000 km of fibre optic was operational in Africa
Table 6.1 Projected international bandwidth by REC and for Africa as a wholeInternational bandwidth

AfricaCOMESASADCEACECOWAS

ECCAS

UMA

LLC

IGAD

2009 (Gbps)

308

125

42

15

26

4

118

6

20

2015–18 (Gbps)

6,000

3,000

2,000

800

2,000

800

500

1,500

500

Growth factor

20

24

50

50

80

200

4

250

25

Source: Africa ICT Outlook 2030.
Note: LLC = landlocked countries.

41

The projections are also based on the assumption

6.4 Conclusionthat land-based backbone and backhaul infrastructure, sufficient to carry national and international

Africa’s late entry into the internet race may prove an

bandwidth reliably and economically will be inopportunity by allowing the continent to avoid over-place. Finally, it is assumed that 3G/LTE service will

investment, bad investments, and the burden of le-be available in densely populated areas (capitals,

gacy infrastructure while skipping ahead to the next

large cities) and that high-speed services will be af-

generation of technologies.

fordable enough to attract 10% of the population,with 20–30% having at least reasonable access to

Europe has its Digital Agenda for Europe–2020; Aus-

the internet.

tralia its RNHD programme. The United States,

The projections offered here are realistic objectives

achieve very high speed coverage between 2020 and

for African leaders. The most advanced or determi-

2030. The goal of ICT policy in the advanced coun-ned countries could meet the objective by 2012–

tries is no longer access to broadband but universal

14, whereas those that have the farthest to go inaccess to services offering speeds of 30 to 100 Mbps

reforming their legal and regulatory framework or inthrough the use of new infrastructure, particularly

building their national backbone and backhaul in-

FTTH technology, capable of carrying the rapidly gro-frastructure may need until 2015–18 to reach it.

wing data streams generated by new applications
used on an exploding base of new digital devices.

6.3 Facets of Internet Demand in Africa
Africa, too, should pursue the goal of very high speed
Lessons from the growth of internet usage in Afri-broadband, so as to allow it to close the digital divide

can countries offer hints about the likely profile ofmore quickly, leap-frogging existing technologies. By

future demand.

ensuring that even short-term investments are consistent with the longer-term goal of very high speed ac-

Household traffic is becoming more important thancess it should be possible to lower overall investment

business traffic in countries where operators offer

costs over the 2020–30 horizon.

high-speed internet access in residential areas.
There is great similarity between the bandwidth

Taking advantage of the present opportunity to close

consumed by African users of mobile high-speed

the digital divide within Africa and between Africa andinternet and users of xDSL in the advanced coun-

the rest of the world requires further legal and regula-tries.

tory reform in many countries, both to attract new investment and to optimize the use of existing

High-speed 3G box Internet double-play plans of-infrastructure. Further liberalisation will encourage

fering VoIP access have, along with single-playconstruction of fibre-optic backbones and otherplans, assumed the role of similar schemes in in-cross-border infrastructure, to which all operators, in-dustrialised countries based on xDSL or cable-

cluding those in landlocked countries, should havemodem technologies, with similar usage patterns.

free and non-discriminatory access.

Their uptake by African consumers has been much
faster, however, given the pressure of pent-up de-Governments and regulators that create and maintainmand. In Africa, offerings of mobile high-speed in-a favourable framework for investment and competi-ternet are not correlated with 3G voice andtion and that ensure, through subsidies and other in-smartphone offerings, as they are in the advanced

centives, that isolated parts of their territories are notcountries, because in Africa the former are a subs-

forgotten are likely to reap the greatest growth-stimu-

titute for (unavailable) land-based services.

lating rewards of the telecommunications revolution.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Korea, Japan, and Singapore all have strategies toPROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
42

7. Doing Things Differently:
A Strategic Framework
for Regional Infrastructure
Projects

43

7.

Doing Things Differently: A Strategic Framework
for Regional Infrastructure Projects

The PIDA process is anchored in a strategic frame-•

work for the selection and implementation of infrastructure projects that will “build an integrated

Inefficiencies in infrastructure provision ($172 billion in transport and $33 billion in energy)•

Options for identifying, preparing, and funding

Africa, a prosperous and peaceful Africa, driven

infrastructure projects that will advance regional

by its own citizens and representing a dynamic

integration and promote long-term growth.

force in the international arena”, (Vision statementof the AUC's 2004 Strategic Plan).

The way in which regional and continental infrastruc-

The PIDA strategic framework presented here is

infrastructure provision and will not meet the future

grounded in the African consensus that integrating in-demand estimated in the outlook for 2040. A new fra-

frastructure is a prerequisite to unleashing the conti-

mework for choosing and building regional and conti-

nent’s growth potential.

nental infrastructure is needed. PIDA’s strategic

The extensive diagnostic work summarised in chap-

Africa, articulates general principles to guide policy

ters 3–6 has identified key components of the strate-

and operational decisions about the construction andframework, based squarely on the shared vision for

gic framework:

operation of future infrastructure. The programmesthat make up PIDA’s Priority Action Plan (PAP), dis-••

The outlook for infrastructure demand in four

cussed in chapters 8 (selection) and 9 (financing andsectors through 2040 (or through 2030 for ICT)

implementation), were selected based on the strate-

The projected gaps and bottlenecks created by

gic framework discussed here.

mismatches in demand and supply•

Institutional deficiencies that impede the adop-

The objective hierarchy diagrams for the four sectors

tion of optimal actions to fill gaps and remove

are presented below:

bottlenecks
7.1 TRANSPORTPROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

ture programs are managed today does not optimize

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
44

7.2 ENERGY

7.3 TRANSBOUNDARY WATER RESOURCESPROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

45

7.4 INFORMATION AND COMMUNICATION TECHNOLOGIESPROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
46

8. The Priority Action Plan:
A Portfolio of Projects thatwill promote Integration
and Growth47

8. The Priority Action Plan: A Portfolio of Projects
that will Promote Integration and Growth

Major outputs of the PIDA Study are the Infrastructure

project selection criteria discussed in the next

Development Plan to 2040 and the associated 2012–section.

ments were selected in accordance with a process

The draft Priority Action Plan (PAP) was reviewed at re-arrived at in the course of painstaking consultation

gional workshops in Nairobi, Libreville, Abuja, Yamous-with stakeholders. The projects and programmes re-soukro and Rabat (September and October 2011).

tained for the PAP respond to the challenges identi-

Those consultations assembled more than three hun-fied in the Africa Sector Outlooks 2040 and in thedred representatives of the RECs and their agencies,

strategic framework presented in the previous chap-along with representatives of thirty six governments.

ter. They include “hard” and supporting “soft” pro-

The consensus surrounding the PAP is expected tojects.

translate into greater ownership of the PIDA programme and processes by national governments.

8.1 Toward Consensus: the PIDA
Consultation Process
One of the original features of the PIDA Study is theextent of its reliance on consultations with stakehol-

8.2 From Strategic Framework
to the PIDA Portfolio: Selection
and Prioritisation Criteria

ders.
8.2.1
The PAP is the result not only of the analytical work

Selecting the programmes and projectsof the PIDA Priority Action Plan

but also of an intensive consultation process carriedout in cooperation with the RECs and their speciali-

PIDA’s project selection process was discussed andzed agencies, as well as the lake and river basin or-

agreed among stakeholders during the workshop

ganisations, which provided the Study with the details

held in Tunis on June 2011. Eligibility and ranking cri-of their investment programmes, master plans, andteria and their weightings were agreed upon for eachso on.

of the four PIDA infrastructure sectors. The criteria
were then applied to a large pool of candidate pro-

Consultations were held at each milestone to reachgrammes and projects coming from the infrastructure

consensus on the rationale and methodology of themaster plans of the RECs and their member coun-

Study:

tries. In this respect more than two hundred transport
projects and more than four hundred energy projects•

The kick-off meeting in Addis Ababa (July 2010)

were considered.

discussed the overall Study methodology•••

The methodological workshop in Johannesburg

The first step in the screening process was to winnow(September 2010) validated the methodology

from the pool of candidate projects not eligible forused to prepare the macroeconomic and sector

PIDA (e.g., because they are inconsistent with theoutlooks

agreed vision for their sector, with the outlook for the

The Phase 1 validation workshop in Librevillesector or with the priorities of the RECs). The eligibility(April 2011) validated the findings of the Phase

criteria were applied on a pass/fail basis. For instance

1 diagnostic and the outlooks

all the power generation projects considered for in-

The high-level technical meeting in Tunis (July
2011) covered the strategic framework and theclusion in PIDA were drawn from the Continental
Least-Cost Plan with moderate integration.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

20 Priority Action Plan (PAP). Proposed PIDA invest-

48

The next step was to rank the PIDA-eligible projects
and programmes according to sector-specific PIDA

8.3 The PIDA Infrastructure Development
Plan to 2040 and PAP 2012–20

criteria of socio-economic optimality, cross-sector
synergies, impact on regional integration and environ-

The physical infrastructure to be built under the PIDA

mental performance, among others.

Infrastructure Development Plan to 2040 is summarised in Table 8.1.

Within the larger pool of PIDA programmes and projects selected through application of the criteria described above, the PIDA Priority Action Plan was
extracted. The PAP comprises projects to be implemented by 2020. The projects are discussed in the

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

next section and listed, by sector, in Annex 1.

Table 8.1 Additional infrastructure to be built under
Modern highways
Modern railways
Port capacity
Hydroelectric power generation
Interconnecting power lines
New water storage capacity

37,300 km
30,200 km
1.3 billion tons
54,150 MW
16,500 km
20,101 hm3

Items chosen for the PAP had to have a viable insti-

The sector-specific features of the PIDA Infrastructure

tutional framework for implementation (such as a pro-Development Plan to 2040 and PAP 2012–20 are dis-

ject-development special-purpose entity involving

cussed below and mapped in Figures 8.1–8.4.

representatives of the participating countries) and a
viable plan for project preparation and financing.

8.3.1

Transport

Projects which had already reached financial closure

The PIDA surface transport links Africa’s major pro-were not included in the PAP, as they are already wellduction and consumption centres, provides connec-

advanced and do not require a boost or special at-tivity among the major cities, and opens thetention.

landlocked countries to interregional and interconti-

Figure 8.1 PIDA transport networks in 2020 and 2040

49

nental trade (Figure 8.1). Proposed port and railway

8.3.3

Transboundary water resources

studies will define the best location for hub ports andmodern railways to the interior. Similarly air transport

The PIDA TWR programme aims at developing mul-studies will define the location of West and Central

tipurpose dams and building the capacity of theAfrica hubs as well as the preferred continental high

L/RBOs to plan and develop hydraulic infrastructure

altitude control system.

(Figure 8.3). The programme will help address the looming food deficit.

8.3.2

EnergyThe PIDA energy infrastructure plans call for the development of major hydroelectric projects to generate
the electricity needed to meet the forecast increases
in power demand resulting from increased consumption of households, industry, and agriculture, as wellas wider access to electricity. PIDA’s plans also include transmission lines to connect the continent’s
power pools and permit a large increase in interregional energy trade. One regional petroleum-product pipeline and the Nigeria-Algeria gas pipeline are also
included in the PIDA plans.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Figure 8.2 PIDA energy generation and transmission programmes for 2020 and 2040

50

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Figure 8.3 PIDA programmes and projects on transboundary water resources

8.3.4

change points (IXPs) in countries that now lack them.

ICT

It will connect each country to two different submarine
The ICT component of PIDA will help establish an en-

cables to take advantage of the capacity newly esta-

abling environment for completing Africa’s terrestrial

blished around Africa, interconnect countries and es-

fibre-optic infrastructure and installing internet ex-

tablish internet exchange points.

Figure 8.4 PIDA’s ICT programmes

51

8.4 Distribution and Cost of PAP Projects

b. Number of projects by sector

The PAP includes 51 programmes in the four sectors:•

Transport: Connectivity, corridor modernization,
ports and railways modernization, air transport
modernization•

Energy: Hydropower, interconnections, pipelines•

Water: Multipurpose dams, capacity building,water transfer•

ITC: Capacity building, land interconnection in-

8.4.2

Investment costs

frastructure, internet exchange points.
The cost of the PAP projects is estimated at $67.9
Summary information on the PAP programmes ap-

billion, or $8 billion per year (Table 8.3). That is lesspears in Annex 1.

than 0.2% of Africa’s estimated combined 2010 GDP,

8.4.1

Distribution of PAP programmes

gets. The investment programme appears affordable

by region and sector

on a continental basis. On a country-by-country
basis, however, the picture is not uniform. For exam-

The regional and sectoral distribution of the projects

ple, the Democratic Republic of Congo, with the pro-is depicted in figures 8.5-8.7. Half of PAP pro-

posed Inga hydroelectric installation and transmission

grammes are in West Africa (16) and East Africa (11)system, would have to contribute in excess of 3% of(see Figure 8.5a.)

its GDP, or 10 times the continental average. The prin-

The transport and energy sectors account for three

ciple of solidarity will have to come to play, with such

quarters of the programmes (Figure 8.5b) because

countries being assisted by neighbours.

these sectors are key drivers for integration4.
The uneven distribution of spending by sector (Figure
Figure 8.5 Distribution of projects by region andby sector

8.6) is explained by the size of projects in transportand energy, and by the fact that the private sector
provides most of the investment in the ICT sector.
Transboundary Water Resources are an emerging

a. Number of projects by region

sector with several important capacity-building components. Also the hydropower projects grouped
under the energy heading in the PAP have a substantial TWR component.

Table 8.2 Number and cost of PAP projects by sector and region
Numberof projects

Cost

Transport

24

25.400Continental

7

3Energy1540.300

North Africa

2

1.3

TWR

9

1.700

West Africa

16

6.2

Central Africa

9

21.5

Southern Africa

6

12.6

East Africa

11

23.3

51

67.9

Sector

ICT

3

0.5

Total

51

67.9

RegionNumberof projects

Cost

Hydroelectric projects are classiﬁed with the energy sector, although they obviously are related to the TWR sector. The only projects grouped under the TWR sector are multipurpose dams with a relatively small power component and water transfer schemes.

4

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

or 1% of national budgets and 5% of investment bud-52

The uneven regional distribution reflects the weight of

The regional distribution in Figure 8.7 shows the rela-large projects in East, Central, and Southern Africa,

tively small weight of West Africa in the investments

as well as a large number of smaller projects in Westproposed. This is primarily due to the fact that the pro-

Africa.

jects proposed in the region have smaller funding requirements than those for Central Africa or East Africa).

Figure 8.6 Breakdown of costs of PAP by sector

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Figure 8.7 Breakdown of costs of PAP by region

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT53

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
54

9. Implementing the PAP:
Institutional Arrangements
to overcome Fragmentation

55

9. Implementing the PAP: Institutional Arrangements
to overcome Fragmentation

The challenges of implementing PIDA go beyond the

9.1.1

usual challenges of project implementation (financing,Integrate regional planning and national
plans

project management) and include:
A key problem is that regional priorities are not yet•

Reconciling the divergent interests of the coun-well integrated in national strategies. Regional plans

tries and maintaining a consensus

need to reflect continental strategies and national•

Harmonising national legislation and regulations

plans should take into account regional priorities.

•

Taking into account inter-sectoral synergies andAlthough they have the authority to prepare regional

conflicts

investment plans, regional bodies lack a clear man-

Providing compensation for losers in the integra-

date and the capacity to coordinate and promote thetion process and incentives for supporters of re-

implementation of investments in support of regional•

gional integration.

integration. As a result, regional plans are often put
aside, despite offering significant benefits in invest-

Meeting these challenges and ensuring successful

ment cost savings when compared with the alterna-

implementation of PIDA’s PAP for 2012–20 will require

tive costs of national investment programs. For thisimprovements to the existing regional institutional andto change, national investment decisions must be

policy framework.

guided primarily by economic considerations in a regional and continental perspective. Continental and

9.1 Improving the Existing Regional
Institutional and Policy Framework

regional priorities and options must be built into na-

For a decade or more, Africa’s main continental and9.1.2

regional bodies have been putting in place a soundtional plans, after proper consultation.
Joint planning by the RECs
and the governments

policy and institutional framework for promoting regional trade, connectivity, and exchange. So far, ho-

Effective coordination of national and regional plan-

wever, good institutional progress has not led toning priorities can be enhanced by expanding the joint

effective regional integration in operational terms.

planning role of the RECs, power pools, water basin
authorities, telecom regulators, and transport corridor

Despite strong commitment and impressive pro-authorities. Thus, the recommended course of action

gress made in putting in place sophisticated regional

is to transfer more planning responsibility to the re-institutional and regulatory frameworks, institutional

gional level and to develop joint multisector planning

capacity and staffing problems continue to be se-

and development of regional projects.

rious constraints, severely limiting the capacity of theregional institutions to drive the development of re-

Key roles of the regional institutions include develo-

gional infrastructure. Electricity trade, for example,

ping continental and regional frameworks, policies,

remains a small share of power generation in all re-and master plans; establishing the legal and regula-

gions (< 5%) and has not grown measurably over the

tory conditions for regional infrastructure (drawing on

past decade.

best practices developed in other RECs)5; involving

As an example ECOWAS has developed regulations on access to submarine cables, and EAC has developed cross border interconnection
guidelines which could be adopted in other regions with little additional changes to localise them.

5

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

as necessary to accommodate regional projects

56

all actors in regional infrastructure projects throughThe continental and regional bodies share the respon-

public consultation or other appropriate forums; op-

sibility of (i) initiating policies; (ii) ensuring their adop-timising investments in regional infrastructure by sha-tion in national legislation , and (iii) monitoring theirring costs between sectors, (ICT, transport, energy).

implementation, if necessary through a mechanism ofpeer pressure.

The complementary responsibility of governments is
to develop and update sectoral master plans syn-

The countries have the responsibility to harmonize

chronized with regional and continental plans; to in-their policies with the regional guidelines and to en-

corporate regional directives into their national, legal

force them.

and regulatory frameworks; to coordinate land-use
planning to accommodate regional infrastructure developments, facilitating access to rights of way; andto ensure that national regulatory authorities have suf-

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

ficient financial resources and legal tools to enforce

9.2 Implementing the PAP
at the Continental and Regional Levels

adherence to the regulations that make up the en-

At the continental and regional levels, the PAP will

abling environment for regional infrastructure.

be implemented within the framework of the Institutional Architecture for Infrastructure Development

9.1.3

Implementing the “soft” measures:in Africa (IAIDA), which is being established by thea shared responsibility

African Union. The IAIDA will support implementation of the PAP by “creating an integrated and en-

As has been indicated above, implementation of theabling management environment capable of

PIDA PAP needs to be accompanied by “soft” policy

enhancing the capacity of the African Union and its

measures, which can yield considerable efficiency

institutions” to produce tangible achievements fromgains. Their implementation is a shared responsibility

PIDA (AUC 2011). The IAIDA process is illustrated

between the continental and regional entities on one

in Figure 9.1.

side and the governments on the other.

Figure 9.1 Implementing PIDA: The IAIDA decision-making and implementation structure

57

IAIDA puts in place a key element for the successful•

implementation of the PAP: a mechanism for revie-

gulations, incentives/deterrents for compliancewing performance and renewing the programme withaccess to the highest level of the AU and the RECs.

with community decisions)•

Organisational arrangements (organisational•

Knowledge and skills of individual actors•

Financial means to be mobilized to (a) fully fund

The main outcomes expected from IAIDA are:••

Keeping PIDA’s profile high within high-level fo-

charts, staffing)rums such as the G-20;

the project, and (b) fully fund implementation of

Maintaining consensus among the concerned

the action plancountries and allowing a smooth “rolling over of•

the PAP;•

Institutional arrangements (policies, laws and re-Providing incentives/disincentives to countries

Key actors responsible for implementing theplan•

Timing of main short and medium term actions.

for their support (or lack of support) to regional
integration by the judicious use of structural

Detailed action plans will provide NPCA and RECs

funds (see section 9.4).

with a reliable instrument for monitoring and evalua-

The RECs are well placed to:among other things, facilitate entry of data and infor-•

system and the feedback through IAIDA.

mation into the databases that will support the M&E
Mediate the possibly divergent interests of thecountries involved in regional infrastructure. Mediation may include devising mechanisms tocompensate losers from regional integration.
•

Carry out planning on an intersectoral and regio-

9.3 Implementing the PAP at the Nationaland Project Levels

nal basis, taking into account the interests of all

The leadership of national governments will be instru-

countries—especially those with landlocked

mental in implementing the PAP. The progress of thecountries as concerns access to the sea (har-Presidential Infrastructure Champion Initiative has al-bours and submarine cables). Successful plan-

ready shown how involvement at the highest level canning of regional projects is of necessity, a joint

move complex regional projects forward by removing

affair. Joint planning will have to become thebarriers to progress.

rule, rather than the exception.
•

Harmonise divergent national infrastructure po-

The same degree of involvement is needed to ensure

licies, as discussed in section 9.1, in particular

progress on mobilisation of domestic financing andthose policies that are at the basis of major inef-

resolution of key “soft” issues (see above).

ficiencies. Harmonisation need not entail
costs—the best way of encouraging harmonisa-

9.3.1

The RECs and early project developmenttion appears to be through peer pressure.
•

Monitoring performance (of projects and harmo-

The capacity of RECs and their agencies is geared to-nisation efforts) and reporting to the AUC and toward reaching timely political consensus, coordinating

Africa’s heads of state.

general policy, developing regional regulatory frameworks, and preparing regional project studies.6 But they

The immediate agenda: preparing action plans

are not cut out to implement projects. Even early project development should be entrusted to project-spe-

For each programme included in the PAP, NPCA andcific development entities established under the joint

the REC would assess the constraints to implemen-auspices of the RECs and, where relevant, the specia-

tation that will lead to the identification of possible so-lized agencies, as well as the countries involved. In the

lutions in the form of remedial action plans covering

energy sector for instance, implementation of genera-

the following dimensions:tion and transmission projects should be entrusted to
special-purpose regional companies (under PPP, whe-

Regional institutions often lack the minimum funding contributions promised by member states and key staff to undertake their basic mandate. The end result is that regional institutions frequently become dependent on external funding from bilateral and multilateral agencies to ﬁnance minimum administrative and operating costs.

6

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

ting the PAP. Action plans will be standardized to,58

rever possible) or regional transmission companies

case of Ruzizi 3 (Box 9.1) illustrates how the process

operating autonomously on a commercial basis. The

of devolution of responsibility can be carried out.

Box 9.1 Project profile: Ruzizi 3
Ruzizi 3 is a $400 million 145 MW hydropower plant on the Ruzizi river between Lake Kivu and Lake Tanganyika. The firstregional PPP power project in Africa, it will supply electricity to Rwanda, Burundi, and the Democratic Republic of Congo.
The PPP project structure developed by Energie des Grands Lacs (EGL) has attracted financing commitments from majorinternational investors as well as international financial institutions (IFIs). Despite its complexity, the project was successfully
developed over a period of just 18 months. Contributing to the speed of development were the following factors:• The early appointment of a project pre-developer (EGL) at the initiative of CEPGL (Communauté Economique des Paysdes Grands Lacs), a regional economic community accountable only to the three countries with a direct interest in the
success of the project.
• The presence within EGL of professionals with prior experience in large international hydro project development (Ruzizi

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

2 in the 1980s).
• The balance between the delegation of project management authority from the countries to EGL, and EGL’s frequent
reporting to the political authorities to maintain the commitment of the countries to the project.
• The recruitment of project structuring advisors early in project preparation and the overlapping execution of preparatory
studies (feasibility, environmental impact, project structuring), which avoided the common problem of long delays between studies.
• The decision of EGL to keep the countries with a stake in the project fully informed and consulted at each stage of development, and its provision of training and capacity building for the partner countries directly linked to a project considered as a high priority by all countries.
• The availability of substantial project preparation funds at the EGL (regional) level rather than through each country.
• From the outset, incorporation of the mode of intervention, instruments, and procedures of IFIs, coupled with an understanding of the expectations and risk assessment of the private partners derived from experience with recent PPP
projects.
• EGL’s successful communication efforts, which made governments aware of the position and concerns of private partners and presented practical solutions.
Issues that came up during project development were:• The time and effort needed to secure financing for the complex project studies and for EGL’s own operation, whereasa single source of financing would have saved time and effort.
• Insufficient focus of IFI teams on the project and over-commitment of scarce staff resources with experience relevant to
the project, which led to episodic involvement of and lack of continuity in IFI teams, attenuating the value of IFIs in project
structuring.
The Ruzizi 3 project demonstrated that with a compact, dedicated, and experienced project pre-development team, goodcommunication with countries to maintain support for the project, and targeted capacity building, a structure for a large
regional PPP can be developed under terms acceptable to private investors. Over a period of 18 months, the necessary
studies can be completed, reputable international transaction advisors can be recruited, and developers and investors
can be pre-qualified, demonstrating that with effective project management, the development of a PPP need not require
more time than a traditional public sector structure.
The project is expected to leverage more than 50% commercial financing (debt and equity), with 70% private equity anda weighted average cost of capital of about 8% (including a return on equity of about 20%).

59

The focus of project implementation will be national:

term growth. This is because the PAP is designed to

Very few regional projects are built across borders.

close a well-documented infrastructure gap and is in-This simple fact leads to the distribution of shared res-tended to respond to the announced priorities of theponsibility for regional projects. The host country isRECs and their member countries.

responsible for administrative tasks (permitting andcompliance with legislation). Coordination from a resured by the REC.

9.4 The Outlook for Financing PIDA’s
PAP

The early establishment of a project development spe-

The PIDA sponsors are interested in seeing quick pro-cial purpose entity (PDSPE), possibly at the initiative ofgress in construction and commissioning of facilities.

the REC, is aimed at reducing the long interval between

The inclusion in the PAP of several shovel-ready pro-project identification and the emergence (through an in-jects7 provides an early test of the expected value

formal consultation process) of a consensus among

added of the PIDA process. A quick start with thestakeholder countries. The role of the PDSPE is not theshovel-ready projects will allow the continental andfull development of the project, but the initial phase, up

regional entities responsible for leading PIDA to build

to selection of the project sponsor or establishment ofup their experience and confidence while dealing withthe entity that will be responsible for raising financing

concrete projects and developing their monitoringand supervising implementation and operation of theand related processes.

project. The responsibility for full development and implementation of the project would be entrusted to a

In considering the financing outlook for the PAP, a dis-commercial company under PPP or to a public sector

tinction must be made between project preparation

project company.

and project construction. Attention must be paid, too,
to the financing of the continental and regional insti-

In the case of regional roads, for example, the relevanttutions responsible for implementing PIDA.

national entity on either side of the border (public
works departments or their concessionaires) builds
or upgrades the regional road on its side of the bor-

9.4.1

Funding for project preparation: towards
a continental project preparation facilityder. In power, each utility constructs its segment of atransborder power transmission line.

The current framework for preparing regional investments is ineffective. Project preparation financing

Non-network infrastructure, such as hydroelectric ins-

funds are scattered among more than 20 entities. A

tallation, has usually been handled by a multinational

recommendation of the Study is that a special fundentity (in a corporate form with the participation of thefederating all existing funds needs be put in placeconcerned countries and, often, of the private sector)

and reserved for regional project preparation, or at

to mobilize financing, manage the construction pro-least, a single window to access the various funds

cess (prepare bidding documents, call for bids, eva-

be put in place.8

luate bids, award contracts, supervise, commission),and operate and maintain the completed works.

A rule of thumb is that project preparation (throughcompletion of the bidding process) amounts to 6–

9.3.2

Alignment of PIDA PAP to REC Priorities

9% of total project costs. A larger amount may apply
to projects structured as PPPs, which require costly

The PAP projects were selected because they arelegal and finance expertise.

consistent with the PIDA strategic framework, which
in turn is based on a common vision for Africa’s future

These funds are scarce, because most project pre-and a well-established consensus concerning the in-paration activities do not lead to projects that can

frastructure the continent needs for sustainable long-

repay the costs of preparation.

They include eight projects: Millennium Dam, Rusumo Falls, Ruzizi 3, Kaleta, Sambagalou, Gambia Bridge (on the Praia-Abidjan Corridor),
Lamu Port, ICT land infrastructure and IXP.
8
For example, the model of PPIAF or ESMAP for pooling of funds from different sources may be considered.
7

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

gional point of view may be ad hoc or preferably en-

60

Annual expenditures for PAP preparation activities

national equity funds, which, until the financial crisis,

could reach more than $500 million by 2020, when the

had been sharpening their focus on Africa. Such

PIDA implementation should be going at full speed.

sources may indeed contribute to the financing of PIDA
to the extent that projects are financially viable and pre-Fortunately, a large share of the PAP projects are atsent acceptable risks. Several PAP projects (renovation

an advanced stage of preparation, so that in theof heavily travelled roads, power generation, fibre optic

early years preparation expenses will be unusually

infrastructure) may fall into this category. But a limiting

smaller (beginning at $200 million per year), before

factor maybe the need to provide credit support frombuilding up gradually. But even $200 million per year

multilateral institutions.

is beyond the capacity of the existing African ProjectPreparation Facilities (PPF), including the NEPAD In-

A continent-wide risk guarantee facility funded by do-

frastructure PPF.

nors is an alternative to direct financing of regional pro-

A continental or regional project development finan-

been explored recently. One proposal would be that a

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

jects. Several regional guarantee mechanisms havecing facility that allowed faster preparation of projects

pool of multilateral and bilateral institutions backs thefor regional integration would avoid delays between

guarantee fund, which would be managed by an offs-

the successive phases of preparation and ensure that

hore trustee protected from political interference. Ano-the full preparation of selected projects was adequa-ther option is to finance the fund through a levy on

tely funded from the start. The key to managing suchregional trade. The facility will help attract commercial

a mechanism will be to keep funding focused on thefinancing for regional projects. The extended guarantee

PIDA PAP and to avoid the moral hazard trap.

approach is preferable to direct financing of regional
projects by donors, which may not contribute signifi-

9.4.2

Funding for construction: closing

cantly to leveraging additional commercial financing forthe gap

regional projects.

As established in chapter 8, the PAP is expected to

In recent years African institutions have become adept

cost $68 billion. Of that, some $26 billion is expected

at mobilising finance, taking advantage of good ma-

to be available for regional projects from the Infra-

croeconomic conditions and improvements in public fi-

structure Consortium for Africa (ICA).9 An additional

nancial management. Several African countries are now$2 billion may be generated by the power utilities, lea-present on the capital market. As their economic situa-ving a funding gap of some $40 billion—more thantion strengthens, their international rating should im-

half of the total expected cost of the PAP. Closing theprove and their access to markets should become

gap will be the major challenge facing PIDA.

easier. Some examples are provided below:

Funding from abroad

By 2007, Ghana had issued $750 million in sovereign
bonds. Kenya, for its part, has raised nearly $1 billion

The Study has taken into account the various non-len-through infrastructure bonds over the past four years

ding products (guarantees, carbon funds, green funds)

to fund road, energy, water, and irrigation projects. Ke-of the multilateral development banks have been takennya’s Central Bank is selling a 12-year infrastructure

into account in the above estimate of available ICA fun-bond valued at $195 million, targeted at Kenyans living

ding. Increases in official development assistance fromabroad. The Tripartite is considering issuing regional in-

new donors (as opposed to at present cash-strappedfrastructure bonds in 2012.

traditional donors) have also been included in the ICA
figure.

Funding from within Africa

Are there other non-African sources of finance that

Experience in China, India, and Latin America showshave not yet been tapped for African infrastructure? So-that the bedrock of infrastructure financing is domestic

vereign wealth funds are often mentioned, as are inter-savings, either public or private.

9
Assumes 6% annual growth of ICA funding. Includes OECD plus multilaterals, new donors, regional development banks, and private foreign
investment.

61

A now routine approach is for regional banks (such as

Payment of compensation may be essential to main-

the Development Bank of Southern Africa for SADC

tain consensus and cement solidarity around the sha-and the ECOWAS Bank for Investment and Develop-

red goal of greater regional integration through morement to issue bonds on regional markets and use partand better regional infrastructure.

of the proceeds for infrastructure.
The payment of compensation is a part of the rationale
The Africa Finance Corporation is an example of anfor the European structural funds. An African example

African-owned investment fund (with ownershipis provided by the “community solidarity levy” collectedconcentrated in West Africa) active in infrastructureby the West African Economic and Monetary Union

since 2008. With paid-in equity in excess of $1 billion,(UEMOA), which was originally aimed at compensating

it has financed the Main One Cable linking West Africa

importing countries for losses from regional free tradeand Europe and toll roads in South Africa, among other(Box 9.2). Now that the period of compensation is over,projects.

the funds collected are used for infrastructure, inclu-

Another way to mobilise domestic finance is to increasekina. ECOWAS, ECCAS, and CEMAC have adopted

the contributions from utilities raised from operating

UEMOA’s idea with mixed success.

profits—a real prospect, provided the financial positionof national utilities, weakened by governments’ pricing

It is worth examining the feasibility of similar schemes

and payment policies, can be improved. Unless this po-to support the implementation of PIDA.

licy issue is addressed in each region, it may remain an
insurmountable constraint to mobilizing the resources
needed to finance regional (as well as national) energy
investment programs. This prospect is real over the longer term. As has been explained in the Africa Energy
Outlook 2040, with a few exceptions, the power utilities
have a negative cash flow. It is possible to turn aroundtheir performance as has been shown in the case of
Rwanda. But it will take between 5-10 years until the
combined cash flow of the utilities contributes significantly to PIDA PAP investments.
9.4.3

Financing the continental and regional
institutions

The continental and regional organisations depend fortheir infrastructure activities on Member States’ payments and on donor funding. Although member dues
are low, arrearages are common. As a result, the operations of the continental and regional institutions arelimited to what donors are willing to finance.
This state of affairs cannot continue. The continental
and regional bodies will need additional discretionary
funding if they are to implement a mechanism to provide compensation for countries that sustain shortand medium-term losses arising from integration.

Box 9.2 The solidarity levy and structural fundof the Union Economique et Monétaire Ouest
Africaine (UEMOA)The UEMOA treaty establishes a "community solidarity
levy" equal to 1% of the value of third-country imports.
The levy is collected by national customs services on behalf of UEMOA upon entry of goods into the UEMOA free
trade area. The importer of the goods writes a separate
check in UEMOA’s name to be deposited in the UEMOA
account at the West Africa Central Bank (BCEAO).
Because all countries use a common electronic system
to which UEMOA has access, UEMOA follows transactions in real time and has knowledge of the amounts duefrom each country. It carries out periodic inspection missions to correct anomalies, in particular amounts erroneously paid into treasury accounts.
Proceeds of the levy were used originally to compensate
some countries for losses of customs revenue resulting
from the removal of duties on community imports.
Now that the compensation period has ended, the levy
is used to finance UEMOA activities, including FAIR(Fonds d'appui à l'intégration régionale), a fund to support regional integration through infrastructure projects,
among other actions.
A similar solidarity levy is found in the European Union,
where a share of customs duties on third-party imports
helps fund the EU budget.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

ding a one-stop border post between Togo and Bur-

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
62

10. Risks to PIDA andto Africa

63

10. Risks to PIDA and to Africa

Capturing the considerable potential beneﬁts of re-

Success can be achieved if in the coming years cer-gional infrastructure will require political leadership, ef-tain major recognised policy weaknesses across in-

fective

frastructure sectors have been resolved with:

regional

institutions

andregulatory

frameworks, and measures to facilitate cross-border•

Transport: All the corridors reaching full efficiency

Africa will have to mobilize sizable funds to build thethrough successful implementation of well-docu-

PIDA infrastructure needed to accommodate andmented and generally accepted trade facilitation

sustain growth. Continental and regional policies willmeasures such as one-stop border posts andhave to be written into national codes—and enforced.

“smart” corridors; restoration of the creditworthi-

Bureaucratic battles must cease.

ness of railways and road-maintenance institu-

Regional infrastructure involves a high level of trust

Yamoussoukro Decision.10

tions; and full implementation of the 1999
between countries, not least because of the implied•

as water and energy. That trust must be built.

Energy: The creditworthiness of electricity utilities

restored and payment discipline enforced.

dependence on neighbours for key resources such•

Transboundary water resources: The Africancountries that share international rivers, lakes, andaquifers displaying the political will to support their

The major risk faced by PIDA relates to difficulties inachieving consensus among the stakeholders on thebasin organisations in the preparation, implemen-location of urgently needed transport infrastructure (intation, and operation of joint investments.

particular hub ports and airports). Political leadershipis needed because political obstacles and expediencies often trump the economic case.

•

ICT: Monopoly control ended on land-based in-

frastructure and international gateways, with “rightof way” provisions for landlocked countries toreach submarine cable landing stations.

In the absence of leadership, PIDA is doomed to become a "top down" theoretical exercise poorly aligned

Provided these policy changes are timely and effective,

with the priorities of the RECs and their member

the outlook presented in this report paint a plausible fu-

countries and unlikely to generate the needed infra-

ture for Africa and its regional infrastructure. The findings

structure investment.

of the PIDA study provide the RECs with a detailed roadmap for action in the infrastructure sectors.

10
The Yamoussoukro Decision of 1999 was an effort to liberalize international air travel within Africa. Although implementation has varied signiﬁcantly from region to region, liberalization has generally been successful. Two-thirds of African countries have applied the standards tosome extent.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

project preparation and financing. Acting in concert,

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
64

11. References

65•

AUC (African Union Commission). 2011. Reportfor the Establishment of an Institutional Architecture for Infrastructure Development in Africa(IAIDA). AUC Department of Infrastructure andEnergy. May.

•

Cesar Calderón. 2008. “Infrastructure and
Growth in Africa.” AICD Working Paper 3, Africa
Region, World Bank, Washington, DC.

•

IMF (International Monetary Fund). 2011. Regional Economic Outlook 2011. Washington, DC.

•

Leke, Acha, Susan Lund, Charles Roxburgh,and Arend van Wamelen. 2010. “What’s Driving
Africa’s Growth.” McKinsey Quarterly, June
2010.

•

Transparency International. 2010. “Corruption
Perceptions Index.”
http://www.transparency.org/policy_research/s
urveys_indices/cpi/2010•

UNDP (United Nations Development Programme). 2010. Human Development Report.
New York.

•———. 2011. Regional Integration and Human
Development: A Pathway for Africa. New York.

•UNECA (United Nations Economic Commission
for Africa). 2011. Economic Report on Africa
2011. Addis Ababa.

•———. 2010. Assessing Regional Integration in
Africa IV: Enhancing Intra-African Trade. Addis
Ababa.

•

United Nations. 2011. World Population Prospects: The 2010 Revision. New York.
http://esa.un.org/unpd/wpp/index.htm•

World Bank. 2010. Doing Business 2011: Making a Difference for Entrepreneurs. Washington,
DC.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

11. References

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT
66

Annexes67

Annex 1 : PIDA Priority Action Plan by sector

Transport
Summary description

1

TAH programme

Phase I of the continental connectivity proS2/
gram which focuses on completion and stan- S3
dardisation of the TAH missing links by 2030.

2

Single African
A continental programme to create a
Sky Phase 1
high-level, satellite-based air navigation(Design and Initialsystem for the African continent.
Implementation)

3

Yamoussoukro Decision
implementation

4

Develop model smart corridor technoSmart Corrilogy and design/implement a continendor Program,tal and regional corridor efﬁciency
Phase I
monitoring system.

5

6

Northern
Multimodal
Corridor

North-South
Multimodal
Corridor

Stage

S3

Accelerate Yamoussoukro Decision Implementation by identifying countries
that are ready to fully implement the YD;
S4
and discussing and agreeing with governments and airlines to launch the voluntary club on a full membership basis.
S1

Modernise the highest priority multimodal
ARTIN corridor in East Africa to modern stanS3/
dards (climbing lanes and urban bypasses).
Facilitate travel by people and goods across S4
the borders between Kenya, Uganda,
Rwanda, Burundi and Dem. Rep. Congo, witha spur to South Sudan.
Modernise the highest priority multimodal
ARTIN corridor in southern Africa to modern
standards and facilitate travel of people andgoods across the borders between South
Africa, Botswana, Zimbabwe, Zambia, Malawi, and Dem. Rep. Congo.

S3/
S4

Total cost in
Location
US$ millions

REC(s)

2,150

AfricaContinental Continental

275

AfricaContinental Continental

5

AfricaContinental Continental

100

AfricaContinental Continental

1,000

Kenya,
Uganda,Rwanda,Burundi2,325

EasternRep. Congo,
Zambia,Zimbabwe,
South Africa,
Mozambique

COMESAEAC
SADC

Djibouti,
Ethiopia

COMESA
IGAD

Eastern

COMESA
EAC

Eastern

COMESA
SADC

Eastern

7

Revive the rail system in a high-priority multimodal ARTIN corridor in eastern Africa and inS3/
Djibouti-Addis crease the ﬂow of goods across the border
S4
between Djibouti and Ethiopia. Design andCorridor
implement a smart corridor system for bothroad and rail transport.

8

Modernise the third priority ARTIN corridor in East Africa and facilitate travel for S3/
Central CorriS4
people and goods across the borders
dor
between Tanzania, Uganda, Rwanda,
Burundi, and Dem. Rep. Congo.

840

Tanzania,
Uganda,Rwanda,Burundi,Dem. Rep.
Congo

9

Beira/Nacala
Multimodal
CorridorModernise and upgrade the rail and port sysS3/
tem serving a major coal export area at MoaS4
tize. Part of the Beira Corridor and the Nacala
Corridor.

450

Mozambique,
Malawi

1,000

COMESAEAC

RegionEastern

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Project title

68

Project title

Summary description

Stage

Lamu Gate- Develop sufﬁcient port capacity to handle fu- S3/
ture demand from both domestic sources
10 way DevelopS4
and landlocked countries, with priority givenment
to Lamu Gateway.

11

Southern Africa Develop sufﬁcient port capacity to
Hub Port andhandle future demand from both doRail Promestic sources and landlocked coungramme

S1

Total cost in
Location
US$ millions

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Dakar-NiaModernise heavily travelled ARTIN corS3/
mey Multimo- ridor in West Africa. Trade facilitation,
13
S4
dal
OSBPs, capacity enhancement and imCorridor
plementation of PPP for four countries.

Praia-DakarAbidjan
14
Multimodal
Corridor

Region5,900

Kenya,
Uganda,Rwanda,Burundi2,270

REC
members

SADC

290

Nigeria,
Benin,
Togo,
Ghana,
Côte d’Ivoire

ECOWAS Western

590

Senegal,Mali,
Burkina Faso,
Niger

ECOWAS Westerntries.

Modernise heavily travelled ARTIN corAbidjanS3/
ridor in West Africa. Trade facilitation,
12 Lagos CoasOSBPs, capacity enhancement and im- S4
tal Corridor
plementation of PPP for ﬁve countries.

REC(s)

Improve marine transport and the connection
between island and mainland countries bycreating a new maritime service between regional ports and a modern information system to link the maritime service with ports
S2 toand roads in the Dakar-Abidjan Corridor.
150
S4
Would also modernise one of the most heavily travelled ARTIN corridors in West Africa.
Trade facilitation, OSBPs, capacity enhancement (possibly through PPP) for eight countries.

Capo Verde,
Senegal,Gambia,Guinea Bissau,
Guinea,Sierra Leone,
Liberia,
Côte d’Ivoire

Southern

ECOWAS Western

Abidjan-OuaModernise and rehabilitate mutli-modal
S3/
gadougou/
15
corridor damaged by civil war in Côte
S4
Bamakod'Ivoire.

540

West Africa
Address future capacity problems in West
Hub Port and African ports with two components: (a) a re16
S1
gional hub port and rail linkage master plan
Rail Proand (b) port expansion.
gramme2,140

15 countries,
PMAWCAECOWAS Western420

15 countries

ECOWAS Western

300

Rep. Congo,
Dem. Rep.
Congo, CAR

ECCASCentralECCASCentral

Cameroon, CAR,
ECCAS
Chad

Central17

18

Increase air transport service levels in WestWest Africa
Africa, which are currently limited by the lack S1
Air Transport of a regional air hub.
Pointe Noire,
Brazzaville/
Kinshasa, Ban- Revive river transport in the Congogui, N'djamena Ubangi River Basin, and modernise
Multimodal
road transport along the corridor.
Corridor

KinshasaBrazzaville
Bridge Road
19
and Rail
Project andRail to Ilebo

S3/
S4

Improve the regional transportation and tradesystems by building a crossing linking Kinshasa and Brazzaville, thereby ensuring contiS2
nuity in railway trafﬁc from Matadi andPointe-Noire to the eastern border of the
DRC and eastern and southern Africa.

Douala-Ban- Modernises the highest priority multimodal
gui
ARTIN corridor in Central Africa and facilitate
20 Douala-Ndja- travel for people and goods across the bor- S3
ders between Cameroon, Chad, and themena
Central African Republic.
Corridor

1,650

290

Côte d'Ivoire,
Burkina Faso,
Mali

COMESA
SADC
Eastern
EAC

Rep. Congo,
Dem. Rep.
Congo

ECOWAS Western

69

Summary description

Central African Inter-Ca- Provide several missing inter-capital
21
pitalsconnectors.
Connectivity

Stage

Total cost in
Location
US$ millions

S2

800

Raise air transport service and improve
Central Africa airports in Central Africa, which are cur22
S1
Air Transport rently limited by the lack of a regional
air hub.

420

Responds to emerging capacity proCentral Africa
blems in Central African ports throughHub Port and23
two components: (a) a regional hub
Rail Proport and rail linkage master plan; (b)grammeport expansion.
Trans-Ma24 ghreb Highway

S1

Improve travel for people and goods acrossthe Maghreb, where trade and travel are limiS3
ted by artiﬁcial barriers. Design and imple/S4
ment a smart corridor system along the
highway and install one-stop border posts.

Cameroon, Chad,
CAR, Rep. Congo,
Dem. Rep. Congo,
Gabon, Burundi,
AngolaREC(s)

RegionECCASCentralECCASCentralECCASCentral

1,400

Cameroon, Chad,
CAR, Rep. Congo,
Dem. Rep. Congo,
Gabon, Burundi,
PMAWCA

75

Morocco to
Egypt through AlAMU
geria, Tunisia andLibya

S1: Early concept proposal;
S2: Feasibility/needs assessment;
S3: Program/project structuring and promotion to obtain ﬁnancing;
S4: Implementation and operation.

Northern
PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Project title

70

EnergyPROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Project title

Summary description

Stage

Total cost in
Location
US$ millions

S4

8,000

Ethiopia, Nile
basin

COMESA/
Eastern
IGAD
COMESA
EAC
Southern
SADC
IGAD

REC(s)

Region1

Great Millen- Develop a 5,250 MW plant to supply
nium Renais- domestic market and export electricity
sance Dam
on EAPP market.

2

North South 8,000 km line from Egypt throughPower Trans- Sudan, South Sudan, Ethiopia , Kenya,
S2
mission Corri- Malawi, Mozambique, Zambia, Zimdor
babwe to South Africa.

6,000

Kenya, Ethiopia,
Tanzania, Malawi,
Mozambique, Zambia, Zimbabwe,
South Africa

3Nphamda Nkuwa

2,400

Mozambique,Zambezi basin

SADC

Southern

4Lesotho HWP
Hydropower programme for power
Phase II - hysupply to Lesotho and power export to S2
dropower comSA.
ponent800

Orange-SenquRiver Basin

SADC

Southern

5Inga Hydro
Phase 1S26,000

DRC Congo
River

ECCAS

Central6

3,800 km line from DRC to South Africa
Central Afrithrough Angola, Gabon, Namibia andcan InterconS1
to the North to Eq. Guinea, Cameroon
nectionand Chad.

10,500South Africa, Angola, Gabon, Na- ECCAS
mibia, Ethiopia

Central7

128 MW of hydropower capacity, 930
km from the mouth of the Gambia River
Sambagalou
S3
to supply Senegal, Guinea, Guinea Bissau and Gambia.

300

Senegal, OMVG

8West African
2,000 km line along the coast connecPower Transting with the existing Ghana Nigeria line S2
mission Corriwith a capacity of 1,000 MW.
dor

1,200

Guinea, Guinea Bissau, Gambia, Sierra
ECOWAS Western
Leone, Liberia, Côted’ivoire, Ghana

9North Africa 2,700 km line from Morocco to Egypt
Transmission through Algeria, Tunisia and Libya.

S2

1,200

Morocco, Algeria,
AMU
Tunisia, Libya,
Egypt

Hydroelectric power plant with a capacity of
1,500 MW for export on the SAPP market.

4,200 MW capacity run of river hydropower station on the Congo river witheight turbinesS2

ECOWAS Western

Northern

10 Kaleta

Hydropower generation of 117 MW

S3

179

Guinea - OMVGECOWAS Western

11 Batoka

Hydroelectric plant with a capacity of
1,600 MW to enable export of electricity.

S3

2,800

Zambia,Zimbabwe,
Zambezi basin

COMESA
Eastern
EAC

12 Ruzizi III

Hydroelectric plant with a capacity of 145
MW to share power between Rwanda, Burundi and DRC promoted by CEPGL.

S3

450

Rwanda/DRC

13 Rusumo Falls

Hydropower production of 61 MW for
Burundi, Rwanda and Tanzania.

S3

360

Nile River Basin

300 km pipeline for a lower-cost modeS4of transport of petroleum products.

150

Uganda Kenya

4100 km gas pipeline from Warri to
Nigeria - AlHassi R'Mel in Algeria for export to Eu- S2
geria Pipeline
rope.

N/A

UMA
Northern,
Nigeria, Niger, AlECOWAS Western
geria

Uganda-Kenya

14 Petroleum Products Pipeline

15

S1: Early concept proposal;
S2: Feasibility/needs assessment;
S3: Program/project structuring and promotion to obtain ﬁnancing;
S4: Implementation and operation.

COMESA
EAC
Eastern
COMESA
Eastern
EAC
COMESA
EAC
Eastern

71

Stage

Total cost in
Location
US$ millions

Project title

Summary description

1

PalamboRegulation dam to improve navigabilityof Oubangui River with added hydropo- S2
wer component.

155

Congo River
Basin

2

Fomi

Hydropower station in Guinea with irrigation water supply for Mali and regula- S3tion of the Niger river (9 Countries).

384

Niger River Basin ECOWAS Western

3

Multisectoral Investment Op- Identiﬁcation and preparation of investS1
portunity
ment programmes in the basin.
Studies1

Okavango River
Basin

SADC

Southern

4Lesotho HWP
Phase II - water Water transfer programme supplying
transfer comwater to Gauteng Province in SA.
ponent1,100

Orange-SenquRiver Basin

SADC

Southern

5

Gourbassy

Senegal RiverBasin

ECOWAS Western

6

Noumbiel

7

NubianSandstone
Aquifer System

8

9

S3

Multipurpose dam located in Guinea:
regulation of the Senegal river (4 Coun- S2
N/A
tries).
Multipurpose dam with hydropower geS1/S
N/A
neration (for Burkina Faso and Ghana)
2component.

REC(s)

RegionECCASCentralVolta River Basin ECOWAS Western

5

Nubian Sandstone Aquifer Sys- UMA
tem

Northern

North-West
Pre-feasibility studies for improved use
Sahara AquiS2of the aquifer system.
fer System

2.5

North West Sahara Aquifer Sys- UMA
tem

Northern

Iullemeden
Aquifer System

10

Iullemeden and Taoudeni/ Tanezrouft
UMA
Aquifer System

Northern

Implementation of regional strategy forthe utilisation of the aquifer system.

S4

Pre-feasibility studies for improved use
S2of the aquifer system.

S1: Early concept proposal;
S2: Feasibility/needs assessment;
S3: Program/project structuring and promotion to obtain ﬁnancing;
S4: Implementation and operation.

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORTTransboundary Water Resources

72

Information and Communication Technologies
Project title

1

2

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

3

Summary description
This programme would improve the environ-

ICT Enabling
ment for the private sectors to invest in highEnvironment speed broadband infrastructure.

Stage

Total cost in
Location
US$ millions

REC(s)

S2

25

Continental

Continen- Continental
tal

320

Continental

Continen- Continental
tal

130

Continental

Continen- ContinentaltalThis programme has two main components:
ICT Terrestrial (a) secure each country connection by atleast two broadband infrastructure
S3
for Connecti(b) ensure the access to submarine cable tovity
all landlocked countries.
Internet Exchange Point(IXP) programme

The aim of this programme is to provide thecontinent with adequate internet node exchange to maximise internal trafﬁc.

S3

S1: Early concept proposal;
S2: Feasibility/needs assessment;
S3: Program/project structuring and promotion to obtain ﬁnancing;
S4: Implementation and operation.

Region73

Inception Report

5 July 2010

Methodological Brief
Macro
Transport
EnergyTWRM
ICT

15 September 2010

Phase I report
Phase I overview
Report on Policies (4 Sectors)
Report on infrastructures (4 Sectors)
Report on Outlook (4 Sectors)
Outline of development programme (4 Sectors)
Phase I Annexes

30 March 2011

Strategic Briefs
Transport Sector Brief
Energy Sector Brief
TWRM Sector Brief
ICT Sector Brief

15 June 2011

Africa Sector Outlooks 2040
Macroeconomic Outlook 2040
Africa Transport Outlook 2040
Africa Energy Outlook 2040
Africa TWRM Outlook 2040
Africa ICT Outlook 2040

15 August 2011

Phase II Report(Draft Strategic Framework & Draft Infrastructure Development
Programme & Draft Implementation Strategy)

15 September 2011

Transport
EnergyTWRM
ICT
Phase III report(Final Strategic Framework & Final Infrastructure
Development Programme & Final Implementation Strategy)

15 November 2011

Transport
EnergyTWRM
ICTPIDA Study Synthesis

25 November 2011

PROGRAMME FOR INFRASTRUCTURE DEVELOPMENT IN AFRICA (PIDA)
AFRICA INFRASTRUCTURE-SYNTHESIS REPORT

Annex 2: List of Documents Produced during PIDA Study

The Programme for Infrastructure Development in Africa:
Transforming Africa through Modern Infrastructure