How much investment is needed to realize the African Development Bank´s (AfDB) New Deal on Energy for Africa (the New Deal)? This is the overriding question that is thoroughly analyzed from the bottom-up for 54 countries in Africa, covering generation, inter-connectors, transmission and distribution (T&D), mini-grids and off-grid access options.
Underlying the analysis is an unprecedented collection of data, high-resolution regional power investment optimization and a tailor-made access expansion model for the continent.
The answer to this question is an average annual investment of 29-39 billion USD until 2025, depending on the continent’s ambition as to avoided greenhouse gas (GHG) emissions. In total, 230-310 billion USD is required until 2025, while an additional 190-215 billion USD is required for the period 2026-2030. The total average annual investment from 2018 to 2030 is estimated at 32-40 billion USD.
Innovative PAYGo business models are not only lucrative for the firms that adopt them; they have the potential to improve the lives of millions of Africans, beginning with the neediest rural communities. African policymakers should focus on ensuring that this potential is fulfilled.
LOMÉ – The rise of digital pay-as-you-go (PAYGo) services in Africa is cause for celebration. By enabling low-income populations, both rural and urban, to access the goods and services they need not only to survive (food, water, and shelter), but also to thrive (education, health care, and income-generating assets), the PAYGo business model can significantly improve their quality of life. In fact, with enough support, PAYGo models can revolutionize the provision of goods and services, thereby spurring inclusive development.
Digital PAYGo models take advantage of machine-to-machine communication and sensor technology to allow companies to track usage, lock or unlock their assets, and access relevant data remotely. This, together with flexible pricing mechanisms, makes it possible for firms to offer goods and services to consumers with limited capital and variable income flows, bringing immediate improvements in living standards.
In northern Ethiopia, tens of thousands of mostly Eritrean refugees are getting connected — to families back home, partly thanks to last year’s peace deal between Addis Ababa and Asmara, but also connected to clean energy. A Spanish alliance that includes three power companies is linking refugee camps in Shire, near the border with Eritrea, to the country's energy grid, which largely relies on hydropower. The next step is equipping refugee households with solar energy. "It's a catalyst," said Javier Mazorra, partnership coordinator for the group, Alianza Shire. "You need energy for health, you need energy for education, you need energy for protection, especially for women." Humanitarians hope what is happening in Shire will someday become the new normal, amounting to a game changer for refugees, 90% of whom have limited access to electricity, according to the United Nations. Indeed, energy access counted among key issues addressed this week at a global refugee forum in Geneva, with Africa considered a top priority.
UK-government funded programme is calling for funding applications to support women-owned and/or managed renewable energy projects in Africa.
The Renewable Energy Performance Platform (REPP) today issued a gender-themed request for proposals (RFP) targeting women-led renewable energy projects in Africa. By focusing on women in particular, UK-government funded REPP is aiming to channel sources of funding to help create equal opportunities for women in the continent’s rapidly expanding renewable energy sector.
The call follows a recent report by Global Entrepreneurship Monitor that found there are over 250 million women entrepreneurs globally, with the highest prevalence of emerging female entrepreneurs being in sub-Saharan African – and at more than double the global average.