Business

African Leaders Pledge Reliable Power Reforms

340

Thirty African Heads of State and Government have committed to implementing concrete reforms and actions to enhance access to reliable, affordable, and sustainable electricity across the continent.

The initiative aims to drive economic growth, improve living standards, and create employment opportunities. The leaders made this commitment in a joint declaration at the recently concluded two-day Mission 300 Africa Energy Summit held in Dar es Salaam, Tanzania.

At the summit, Mission 300 partners pledged over 50 billion dollars to increase energy access and accelerate economic growth.

The leaders signed the Dar es Salaam Energy Declaration, a key milestone in tackling Africa’s electricity gap, where more than 600 million people still live without access to power.

The Dar es Salaam Energy Declaration is now set for submission to the African Union Summit in February for adoption.

It is a crucial component of the Mission 300 initiative and aims to provide electricity to 300 million Africans by 2030.

Read Also: Nigeria accelerates initiatives to expand energy access

Read Also: AfDB President Calls for Africa’s Power Revolution

The initiative unites governments, development banks, philanthropies, and the private sector in a collaborative effort to bridge Africa’s energy divide.

By addressing the fundamental challenge of energy access, Mission 300 serves as the cornerstone of the jobs agenda for Africa’s growing youth population and the foundation for future development.

Twelve countries, which include Chad, Cote d’Ivoire, the Democratic Republic of the Congo, Liberia, Madagascar, Malawi, Mauritania, Niger, Nigeria, Senegal, Tanzania, and Zambia, presented their detailed National Energy Compacts.

The National Energy Compacts set targets to scale up electricity access, increase the use of renewable energy, and attract additional private capital.

These country-specific plans are timebound, rooted in data, endorsed at the highest level and focus on affordable power generation, expanding connections, and regional integration.

They aim to boost utility efficiency, attract private investment, and expand clean cooking solutions.

Deploying satellite and electronic mapping technologies, these compacts identify the most cost-effective solutions to bring electricity to underserved areas.

“Tanzania is honoured to have hosted such a monumental summit to discuss how, as leaders, we will be able to deliver on our promise to our citizens to provide power and clean cooking solutions that will transform lives and economies,” said Dr Samia Suluhu Hassan, President of the Republic of Tanzania.

Implementing the National Energy Compacts will require political will, long-term vision and the full support of Mission 300 partners.

Governments are paving the way through comprehensive reforms, complemented by increased concessional financing and strategic partnerships with philanthropies and development banks to catalyse increased private sector investment.

Dr Akinwumi Adesina, President of the African Development Bank Group, emphasised the need for decisive action to accelerate electrification across the continent.

“Critical reforms will be needed to expand the share of renewables, improve utility performance utilities, ensure transparency in licensing and power purchase agreements, and establish predictable tariff regimes that reflect production costs.

“Our collective effort is to support you, heads of state and government, in developing and implementing clear, country-led national energy compacts to deliver on your visions for electricity in your respective countries,” he said.

Mr Ajay Banga, President of the World Bank Group, stressed the importance of collaboration to achieve the summit’s ambitious goals.

He said, “Access to electricity is a fundamental human right. Without it, countries and people cannot thrive.

“Our mission to provide electricity to half of the 600 million people in Africa without access is a critical first step. To succeed, we must embrace a simple truth: no one can do it alone.

“Governments, businesses, philanthropies, and development banks each have a role, and only through collaboration can we achieve our goal.”

During the summit, partners announced a series of commitments: The African Development Bank Group and the World Bank Group plan to allocate $48 billion in financing for Mission 300 through 2030, which may evolve to fit implementation needs.

Also, Agence Francaise de Development (AFD): one billion pounds to support energy access in Africa, while the Asian Infrastructure Investment Bank (AIIB) promised one billion to 1.5 billion dollars to support Mission 300

Islamic Development Bank (IsDB) Group: 2.65 billion dollars in support of Mission 300 and energy access in Africa from 2025-2030.

The OPEC Fund made an initial commitment of one billion dollars in support of Mission 300, with additional financing to follow.

Meanwhile, the World Bank Group and the African Development Bank Group launched Zafiri, an investment company that supports private sector-led solutions, such as renewable mini-grids and solar home systems.

Zafiri anchor partners will invest up to 300 million dollars in the first phase and mobilise up to one billion to address the persistent equity gap in Africa in these markets.

The firm commitments made by governments and partners at the summit demonstrate the unique power of the Mission 300 partnership.

By combining government reforms, increased financing, and leveraging public-private partnerships, African countries are positioned to turn plans into action, delivering tangible benefits to millions of people.

The Mission 300 Africa Energy Summit was hosted by the United Republic of Tanzania, the African Union, the African Development Bank Group (AfDB), and the World Bank Group (WBG), with support from the Rockefeller Foundation and ESMAP.

Others are the Global Energy Alliance for People and Planet (GEAPP), Sustainable Energy for All (SEforALL) and the Sustainable Energy Fund for Africa.

 

Aisha John-Mark 3077 posts 0 comments
You might also like More from author

Comments are closed.