Sustainable Energy plays an important role in advancing productive capacity and increasing economic growth and sustainable development. In order to achieve this, there must be effective trade and investment in energy. Currently, there is relatively low regional and international trade in energy in the East African Community (EAC). Local and foreign direct investment flowing into the EAC is still very low in spite of a number of measures, such as, investment protection guarantees, that have been taken to improve investment.Each of the five countries in the EAC has its own energy policy, as well as a trade and investment policy and strategy. For some the policies are clearly stated; for others they are presumed. However, these policies are not effective. Without effective policies on trade and investment protection and promotion, the EAC will have minimum benefits in terms of terms of trade, investment inflows and sustainable economic development. The EAC is a customs union with an ultimate aim of attaining a political federation. Before this happens, there is need to have effective but also harmonised trade and investment policies and strategies.