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Electricity Regulatory Index for Africa (ERI) 2018

The first Electricity Regulatory Index aims to serve as the basis for carrying out future periodic assessments of the sector’s regulatory environment in African countries. It provides regulators a tool with which they may begin assessing current progress compared to their peers, as well as against international best practice. For other stakeholders, it may serve as a useful tool to better understand the context within which they are working or investing.

The Electricity Regulatory Index (ERI) is a composite index that aims to measure the level of development of an African country’s electricity regulatory sector based upon industry best practice. It is composed of three subindexes:

  • Regulatory Governance Index,
  • Regulatory Substance Index, and
  • Regulatory Outcome Index 

The study also investigated whether the necessary policy, legal and regulatory frameworks have been established to promote off-grid electrification.

 

Key Findings about off-grid energy

The majority of surveyed countries do not have appropriate policy and regulatory frameworks for off-grid systems. Critical issues such as rules that guarantee renewable energy access to the network, as well as ensuring priority of dispatch for RE-generated electricity must still be developed.

The majority of regulators in the sample countries have not developed standards or codes for the development of mini- and off-grid systems.

Effective regulation of off-grid and mini-grid systems is crucial for facilitating the expansion of access to electricity to underserved and rural communities, including those that are unlikely to receive grid access in the medium term. With the transition to green growth becoming a global agenda, implementing frameworks and mechanisms for developing off-grid systems, promoting energy efficiency and reducing greenhouse gases is critical.

 

Download the full report here.