Plans for Africa to improve its energy sector and connect more households and enterprises to power supplies are gathering steam with the release of a report that envisages a continent-wide market.

The report was put out by the African Union Development Agency and the African Development Bank after a study into the establishment of a continental electricity grid.

The recommendations include the creation of a permanent unit to develop a master plan in order to produce what was described as a skills transfer within the AU Development Agency and the establishment of five so-called regional power pools: Southern Africa, Eastern Africa, Central Africa, West Africa and North Africa.

Cheikh Bedda, director of infrastructure and energy at the African Union Commission, said the continent plans to develop a single electricity grid that will guarantee reliable, affordable and sustainable electricity supplies to enhance the economic prospects of the continent.

The European Union has agrieed to support the first phase of the plan.

A continental transmission network would be connected with Europe through an existing link between Morocco and Spain and the planned links to Italy from Egypt, Libya, Tunisia and Algeria.

In addition, it will be connected with Asia via an existing link between Egypt and Jordan. The Persian Gulf states will be served via an existing link between Egypt and Saudi Arabia. Such networks will create a huge intercontinental energy market.

More than 640 million Africans lack access to energy, corresponding to an electricity access rate for African countries at just over 40 percent, the lowest in the world, according to the African Development Bank.