Johannesburg, South Africa, 15 March – Demand for electricity in Southern Africa is expected to increase by 27 percent by 2012 and production capacity in the region may already be insufficient by next year, the Southern African Power Pool (SAPP) has said.

In its latest report published Tuesday, SAPP said that the power requirements of the region’s 12 countries, which include Angola and Mozambique, will increase from 40,739 megawatts in 2005 to 51,799 megawatts in 2012.

According to the president of SAPP, Leake Hangala, a large part of the increased demand will be the result of “population growth in most of the region’s countries as well as economic growth, which implies greater power requirements for industry.”

In order to encourage power investments in the region, Hangala said, the region’s countries must in order to set up more attractive regulation and tariffs on such investments.

The projects due to be launched in the region between 2007 and 2010, which only some years later will have a real impact, will increase production by around 11,564 megawatts.

Other production licenses for between 2011and 2020 will have a potential capacity of a further 31,743 megawatts, the report said. (macauhub)