PROJECTS AND ENERGY
Law 6/25 of 23 July has been approved and amends Law 14-A/96 of 31 May (the General Electricity Law). This new law establishes the legal framework for the production, transmission, distribution, supply and use of electricity in Angola.
This legislative amendment revises the rules regarding the exclusive reservation of electricity transmission activities to the State or public companies. It makes it possible to award electricity transmission concessions - for transmission exclusively within Angola or for interconnections with other countries - to public or private legal entities operating under a public service regime. The aim is to encourage investment and ensure the rapid swift expansion of the transmission networks.
This amendment is particularly important, as it enables greater flexibility when it comes to adopting investment and financing models. These models make it possible for the public electricity grid to reach parts of the country that are not yet covered by the National Transmission Network. They also facilitate the creation of connections with neighbouring countries.
However, the implementation of this change will be subject to further regulation.
Despite these changes, the general management of both the public electricity system and the national dispatch must continue to be carried out by a public entity.
Changes have also been introduced to promote competition not only in the generation markets but also in the supply of electricity. This can be regarded as a first step towards revising the 'single buyer model', although its implementation will also be subject to further regulation.
In light of the above, the Angolan government intends to:
a) Accelerate the growth, modernisation and expansion of Angola's electricity transmission infrastructure to promote greater interconnection and foster integration with neighbouring countries in the context of international electricity trade.
b) Contribute to strengthening the market environment, boosting national and international investment and encouraging partnerships between the public and private sectors. Most importantly, it is hoped that the changes introduced will generate considerable benefits in terms of security of supply, operational efficiency. It is also hoped they will reduce the burden on the State, while ensuring the protection of the public interest and universal access to electricity.
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