WEF’s new whitepaper, written in collaboration with Deloitte, outlines the key considerations in setting the course for Africa’s energy future was released at the 2021 Sustainable Development Impact Summit. The report, “Financing the Future of Energy,” outlines Africa’s electricity landscape and financing options in context with the global drive to reduce carbon emissions.
The Future of the Electricity Landscape
Africa’s power sector will play a central role in the transition from fossil fuel-driven power generation to a renewable-strong energy mix. The power sector transition to net-zero is being driven by the 3Ds:
While Africa’s contribution to greenhouse gas emissions from fossil fuel significantly lags behind those of other continents, it still carries a huge potential to accelerate the transition to a net-zero future. Currently, half of the continent lives without adequate access to electricity. As energy demands increase, the energy gap could be bridged through clean energy alternatives, if the financing solutions are employed now.
“Funding will be the biggest hurdle to ensuring Africa's sustainable transition to Renewables at scale; there are many financing solutions available. Africa’s winners will be the ones that are able to leverage what exists while creating an enabling environment for the private sector through a Renewable Energy Investment facility.” Mario Fernandes, Africa Power Utilities and Renewables Leader, Deloitte