Competitiveness and Sustainability of Electricity Markets in the ECOWAS Region: Evolution of Reforms, Regulations Challenges, and Markets Integration

This paper analyses the process of liberalisation and evolution of competitive reforms in the electricity sector and the development of competitive electricity markets at national and regional levels in the Economic Community of West African States (ECOWAS) region. The methodological approach is based on theoretical analysis of policy documents and regulations defined in the fifteen ECOWAS Member States and data analysis of secondary data collected from several databases. The approach used is based on both theoretical analysis and analysis of policy documents, implemented regulations, and secondary data to analyse completions and make the most comprehensive assessment possible of the state and evolution of electricity markets in the region. The article is organised into three parts. The first part of the paper describes the theoretical framework of liberalisation and electricity market competitiveness. The second part describes the evolution of the national and regional electricity market in the ECOWAS region and it shows that the public policies and reforms in the national electricity market followed three periods from the structural adjustment programmes and liberalisation in 1990 under the supervision of development finance institutions (World Bank, IMF) to the beginning of liberalisation policies in early 2000 to the end since 2010 the renewal of reforms towards total liberalisation of the sector. The third part of the paper discusses and presents the configuration and institutional arrangement at the regional level and proposes an integrated configuration of the regional market which couples national markets into a competitive regional electricity market. The chapter finished with regulation and policy recommendations.