Volume 2 (Legal and Regulatory Aspects of the Electricity Market) of the Report on Module 7 (Power Trade Strategy) of Phase I of the Eastern Nile Power Trade Program Study, implemented by ENTRO from 2006 – 2008. It analyses the existing state and trends of national legal and regulatory frameworks in the three countries, examines the implications of international and national law for the development of a regional market. and proposes an early and pragmatic development of a regional electricity market, growing directly out of existing bilateral trade practices. This has a number of legal and regulatory implications, both “top-down” (implications of international and national law for the market) and “bottom-up” (the design of specific rules for the market). It also proposes the formation of a general set of rules for the operation of the regional electricity market, agreed by all market parties, designed to endure for some time, and a set of specific rules for physical and financial issues, designed for flexibility and rapid change when necessary.