WAGP Authority and WAPCo rush to meet Construction Commitment Date

Although construction of the West African Gas Pipeline has started, the Construction Commitment Date (CCD) has not yet been reached. CCD is a legal step recording that all obligations of the States in the Project Definitional Phase have been met.

The West African Gas Pipeline Authority assisted by USAID contractor Nexant, the ministries of the four countries and the West African Gas Pipeline Company worked hard to meet a long list of "conditions precedents" to the Construction Commitment Date, including producing and signing the instruments of ratification of the Treaty; obtaining the presidential assents on the Enabling Legislation; issuing the environmental certificates; signing the last contracts for land acquisition; developing the Rules of Procedures, a framework setting the stage for conflict resolution; and finalizing the Pipeline Development Plan, including the reference tariffs.

Pipe Delivery Commences

The pipeline construction entered into its tangible phase when the first line pipes were delivered in Tema, Ghana at the end of May 2005. To date, more than half of the pipes have been offloaded. The President of the Republic of Ghana visited the WAGP pipe storage and coating site on June 9, 2005. The Ministers of Energy of Benin and Togo, Chairman and member of the Committee of Ministers of the WAGP respectively, also visited the site on June 17, 2005.

International Exposure for the Gas Pipeline Project

The WAGP Project was presented at the International Cross-Border Oil and Gas Pipelines Conference in Amsterdam, The Netherlands, June 27-28, 2005.

Gambia Ratifies the ECOWAS Energy Protocol

In June, The Gambia became the fourth ECOWAS Member State to ratify the ECOWAS Energy Protocol after Ghana, Guinea and Nigeria. The Protocol was developed with USAID assistance as an important element of the governance system for the West Africa Power Pool. It represents a major step towards establishing an appropriate legal framework for the regional power sector and facilitation of an investor-friendly environment.

$350 Million World Bank Loan for the WAPP

On 30 June 2005 the World Bank Board of Executive Directors approved a US$350 million loan to support the WAPP. The WAPP project is designed to integrate fragmented national electric power systems of the region to increase access to affordable, stable and reliable electricity.

Study Tour to USA

The United States Energy Association (USEA) planned a study tour for West African power utility professionals in the United States in August. This study tour involved classroom and hands-on instruction in the operation of a regional power pool, as well key issues in the management of utilities and regional power trading agreements.

Upcoming Events

Launch of Permanent WAGP Authority, Nigeria, September

• The Permanent WAGP Authority will be launched, the Governing Board inaugurated and moved from Abuja to Lagos in September 2005.

• The project contract will shift hands to a new contractor in July 2005. The new contractor will submit a new work plan and calendar of activities for the West Africa Power Pool project during the next quarter.