KAMPALA - The inter-state electricity network between five member-states of the ‘Nile Equatorial Lakes’ has been estimated to cost about $282m.

This was revealed in Kampala on Tuesday during a meeting that brought together representatives of these countries with different stakeholders in the project.

The meeting aimed at discussing modalities of kick-starting the much needed energy project to serve the countries of Uganda, Democratic Republic of Congo, Kenya, Burundi and Rwanda.

The two-day meeting is organised by the Nile Basin Initiative (NBI) and Nile Equatorial Lakes Subsidiary Action Program (NELSAP) in collaboration with the African Development Bank (AfDB).

In an interview with The New Times, Emmanuel Nzabanita, who headed the Rwandan team at the meeting, commended the project, saying it is vital and was likely to bring to an end the rampant power shortages in the region. 

"The project will be supervised by implementation units appointed by the five countries and they will be assisted by consultants hired by each country,” said Nzabanita.

The project will create a power exchange market among the countries which will consequently reduce the cost of energy, bring about stability and optimizing usage of energy.

It will cover more than 700km of new transmission lines while 262km of existing lines will be upgraded in all the five countries. It will start at the end of 2010 and be completed in 2014.

Mobilisation of funds is currently underway and AfDB has already approved loans and grants totalling $162m for the project.

Other donors interested in funding the project but have not yet approved their financial commitments include JICA, the World Bank, and the Netherlands government.

NELSAP one of two investment programmes under the Nile Basin Initiative.

Ends