Angola and Namibia signed an agreement today in Luanda for the construction of a very high voltage power line aimed at exporting electricity with a capacity of up to 500 megawatts (MW), the Angolan government announced.

The contractual agreements for the Angola-Namibia Electricity Interconnection Project, known as ANNA, were signed between the Angolan National Electricity Transmission Network – a state-owned company – and NamPower, establishing the basis for the joint construction and development of the electricity interconnection between the two countries.

The Angolan Minister of Energy and Water, João Baptista Borges, and the Namibian Minister of Industry, Mines and Energy, Modestus Tshitumbu Amutse, witnessed the signing of the Joint Development Agreement and the Power Purchase Agreement.

The signing follows a Presidential Decree issued earlier this month authorizing the signing of a joint development agreement with Namibia for the electricity transmission interconnection project between the two neighboring countries.

A statement from the Angolan Ministry of Energy and Water indicated that the Angolan component of the project includes the construction of a 400 kilovolt (kV) Angola-Namibia interconnector, approximately 160 kilometers of transmission line, the expansion of the Cahama substation in Cunene province, and complementary infrastructure.

"The initiative aims to enable the export of electricity at a capacity of up to 500 megawatts, reinforcing regional energy security, efficiency in the use of available resources, and new opportunities for investment and economic growth.", reads the note.

ANNA also stipulates that 300 MW of the 500 MW of power will be under a "take or pay" regime [the buyer is obliged to pay for a minimum agreed quantity, even if they do not consume it] and the remainder for the regional markets of the Southern African Development Community (SADC).

Namibia, through the state-owned electricity company Nampower, will finance the project, with the investment expected to be amortized through the energy pricing structure negotiated between the parties, with the previously agreed annual update mechanism.

According to the presidential decree, the adopted solution "incorporates an innovative fiscal and financial approach" that does not imply an increase in Angolan debt, while simultaneously ensuring the economic sustainability of the project and the predictability of revenues associated with energy exports.

João Baptista Borges, quoted in the statement, emphasized that the agreement is a strategic partnership "based on political trust, mutual respect, and the conviction that regional integration is a sure path to shared prosperity."

The project in question falls within the strategic priorities of the Angolan Executive, aimed at strengthening energy security, regional integration, and Angola's position within SADC, as part of the agreement signed with Namibia in 2018.

The Angolan leader also highlighted that the African continent "demands modern solutions, robust infrastructure, and intelligent alliances capable of bringing economies closer together, reducing asymmetries, and strengthening regional markets."

In 2025, during talks between the two countries, João Baptista Borges stressed that Namibia is interested in importing surplus energy from Angola, with the objective of making this interconnection effective with the participation of the private sector.

Angola and Namibia share a common border of approximately 1.376 kilometers, divided by southern Angola and northern Namibian territory.