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Unlocking Africa's Renewable Energy Potential

With the right stimuli, delivered through a multi-pronged strategy, renewables will take off in sub-Saharan Africa.

Mark Hankins, Mathias Gustavsson and Federico Hinrichs
October 02, 2012  |  9 Comments

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Mobilising a critical mass of understanding needs to occur at all levels: in civil society, in the private sector, among financial institutions, as well as among the political class. Demand for renewables by civil society will be a main part of the pull that gets Ministers of Energy to take renewables more seriously. For this to occur, renewables need a well-targeted and properly articulated continent-wide publicity campaign which informs and educates the policymakers, financiers and general populace about the critical difference support for renewables can make in increasing access to modern energy while mitigating the effects of climate change. Current pessimistic views fuelled by misinformation can only be changed by focused public education.

Key elements of the message should include:

  • Today, renewables are both on and off- grid solutions. Renewables need to move on-grid to help build grid security and to decentralise power sources. At a time when over 95% of wind and solar PV demand is on-grid, Africa must quickly take this on board and see the opportunities that renewables can offer to weak, over-stressed grids.
  • Renewable energy technologies are increasingly price competitive.
  • All sectors and income groups can participate.
  • Renewables are important components of any programme that seeks to build energy access
  • Sustainable biomass fuels (and their efficient use) are critical to universal access, the environment and to the transition to a long-term renewable future. Production and use of bioenergy will affect the environment and the ecosystem services.

Get the Policy Environment Right

Governments must give renewables the same policy attention as fossil fuels, large hydro and coal. Africa needs to actively seek investment by creating attractive investment and business environments.

Suffice to say that there are ample international experiences that can be utilised in Africa to stimulate renewable sectors, and a number of pan-African successes as well. In general, policy environments must be built on twinned approaches:

  • Strong, stable and long-term central support;
  • Well-developed renewable energy strategies for rural and urban energy access, using rural energy agencies where possible.

Electricity and petroleum sectors in Africa have a notorious lack of transparency, leading many international supporters and investors to simply ignore governance when working with countries to develop strategies for renewable development (and worse yet, unscrupulous investors and governments take advantage of shady political environments.) Instead of turning a blind eye to real issues, donors and investors must tackle the central policy and governance problems as part of their assistance packages.

Once the general public understands the central role that renewables can play in a strong energy sector – and demands the requisite investment – government will provide it. While leaning heavily on public demand, investors, multilaterals and donors should help to create conducive policy environments by betting on winners. Countries that have the best policy and roll-out strategies should win the lion’s share of global financial and capacity building support. Other countries will follow, just as they did with telecom.

Build Capacity

Developing the real potentials of renewable technologies – the operational conditions linked to infrastructure, financing and integration in power systems – requires skills and know-how. This is not limited to Sub-Saharan Africa. Experiences in places like Germany and California show that the development of renewable sectors requires continuous support for decades. Twenty years of strong support building the technical, social and economic capacity foundations will bring about changes.

In Africa, knowledge of renewables and their role in development of the energy system will have to trickle out to all sections in society. In the past, rural access-oriented approaches to renewables over-extended fragile sectors, leaving them unable to replicate small success. Because many programs built hydro mini-grids and solar markets in remote hard-to-reach locations, the private sector was unable to replicate these projects when donor or government funds ran out.

New renewable development programs must utilise the capacity of city-based companies and invite them to help tackle growing urban demand for power with decentralised renewable solutions. Capacity building programmes need to realise that all over the world, jobs follow the money, and in Africa urbanisation is an important engine of development. Successful urban companies who have helped build renewable power grids in urban areas will take solar and hydro solutions to rural areas.

Support must avoid being counterproductive. In the case of solar industries in Africa examples are found where support with good intentions has harmed an already existing market. Thus, there will be a need for types of capacity building that are multi-sectorial and practically oriented.

Paper-based support, nice-sounding political rhetoric, workshops and trade visits must increasingly be replaced with real nuts-and-bolts support to the groups that implement the projects. In short, the urgent capacity development work must be hands-on – it must take place as financed solutions are being put in place.

Mobilise the Private Sector

Of course, local, regional and international private sector interests must be the main players in execution of renewable energy programmes, and they play a key role in each of the preceding stages. There are a wide range of opportunities for the private sector that remain unexploited. Business can be developed for the sales and operation of urban solar water heaters, decentralised renewable energy mini-grids, locally produced biofuels or even for scaling up sustainable charcoal and biomass supplies. New types of ventures and innovative business models are much needed to create a competitive sustainable energy sector.

Indeed, investment in new types of renewables has the potential to open up new productive areas and expand investment frontiers in African economies and to change how cash flows and wealth is created within the country. New viable livelihoods will be created in the process.

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9 Comments

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Gene Masters
Gene Masters
October 17, 2012
When my wife and I had our 2 children we waited until we could afford to have them and we felt able to look after them. Obviously this was very, very selfish and misguided of us. Does this mean that because we didin't have more children we were killing them in advance. What a load of rubbish. I find these 'emotional' type responses from people about something that will be critical to humans and the environment (i.e other wildlife or what is left of it) to be purile.
JP   -Jon Pierce
JP -Jon Pierce
October 16, 2012
OPINE, please, and WHAT OF THAT: G-' all the renewables they could install could not keep up with the massive current and future increase in africa's growth/energy needs. '
What if growing too , are those who are not looking for big government distributions of/by others' fair succes$ in say more successful co's finding work for employees, etc.- to an improved sufficiency, and WORK ethic, will survive better, certainly to also GIVE aid to/for the incapable to be supported; and but probably just 'not enough for those looking for free lunches' when there is a way to be working on their own, productively.
...
'In conjunction with renewables we need to be providing the whole of africa with free and full access to family planning '
let them choose, yes and with inclusive training that every human life gets a choice and equal rights far sooner than formed in a womb for living past , say, 4 months...
since viable LIVING HUMANS are pulled from the thin wall of a belly to live quite well~
OK argue the facilities, but it is not political nor religious to be as scientific about this fact of human LIVING BEING existance vs. killing humans in/ or partially out a womb.
The only sensitivity to this are the 99% non-rape and non-incest misplannings of folks -who just do not want to be responsible for , and would rather punish the WOMBMAN to death.

If you are truly considering planning to mean HUMAN- WOMAN- and MAN-child as plain speaking: child-killing:
We do not need to speak latin of the progeny of a human is a human being, if a scientist, respectively.

NOW
compare what happens to you in America if you are caught partially birthing ANY ANIMAL AT ALL and killing it or leaving it to die on a table, when it could be 'humanely' as activists cry, - kept alive to have free CHOICE, also 99% of the times.

Contraception/~ choices, fine.

Do you work there?
We support those who have more concern with other fascist controlling groups than an issue of numbers of HUMANS.
Louis Shaffer
Louis Shaffer
October 15, 2012
With an increase in living standard, birth rates go down. It takes a generation, but it has been proven time and again. A key is education, and especially education of women. In an ever connected world, getting power to people along with internet access is a pretty good start!

Anytime people say there could never be enough renewable energy to meet the growing demand, I scratch my head. Each individual uses a set amount of electriciy or fuel. There is no question that the potential for renewable energy far outstrips the total need. We have a pretty simple choice. We can make power in the old fashioned way with coal and oil and burning things, or we can move on to newer, cleaner, and more distributed models. For nuclear, we can consider it only if we are sure we understand what to do with the spent fuel (we still have no real good idea except burying it!), and how to deal with the security issues. Needless to say, I like solar and wind, hydro and bio energy a whole lot more...
Anumakonda Jagadeesh
Anumakonda Jagadeesh
October 8, 2012
African countries can promote solar cookers,solar driers,solar disnfection for safe drinking water,solar LED lights etc., on a massive scale in rural areas. These are not expensive. Apart from these Biofuel from Agave and Biogas from Opuntia and subsequent power generation are best options. There are Biogas Generators of MW Size available from China.

I can share my experience and expertise in promoting Renewables in African countries. We have many Innovative projects which can help to meet small energy needs in rural areas of African countries.

Dr.A.Jagadeesh
Director
Nayudamma Centre for Development Alternatives
2/210 First Floor
Nawabpet
NELLORE- 524 002
Andhra Pradesh
INDIA
E-mail:anumakonda.jagadeesh@gmail.com
Facebook:http://www.facebook.com/anumakonda.jagadeesh
Blog: http://www.drjagadeeshncda.blogspot.com/
Phone: ++ 91 861 2317776
Mobile: +91 9490125950
Z'ev Gross
Z'ev Gross
October 4, 2012
Thank you all for a truly comprehensive shot at putting as many issues as possible on the table.

With all due respect - I am hearing the words of the "generators" without hearing the issues of the "transmitters", the "distributors" or, for that matter - the customer.

At present technology developemtn levels, the greatest challemge to the supply of African non-urban power is the lack of distribution infrastructure, on the one hand, and the pitifully little demand that would be taken up by the rural sector due to its economic situation. The article shows a clear understanding of that issue when it place a heavy emphasis on the importance of biomass generated power as the engine to renewable energy. But even with that - there will be little money in the periphery (which in Africa is a stone's throw away from urban centers)to support more than the most primitive decentralized biomass generation. Economy of scale you ask? THAT requires transmission - and who invests there? Even in the West?

The key is the integration of the power plant into the local economy, serving the economy NOT AS A UTILITY but rather as an ENGINE OF DEVELOPMENT. Power plants require fuel - feedstock in biomass lingo - which must be gathered, stored. There is a need for microgrid deployment and maintenance. There is a need for security of supply (i.e. theft prevention). There is the ability to select initial customers to drive businesses and public entities along with the micro demand of the residential sector.

There is a need for integration, there is a need for finance - I agree the private sector must be engaged, but it is proper engagement that can put all on track.
Yotam Ariel
Yotam Ariel
October 4, 2012
Thank you for sharing insights about solar in Africa. Indeed it is quite complex. I've been mapping information about solar for rural Africa, and publish it as a free database here: http://bennu-solar.com/resources/by-region/africa/ Hope this will help in bringing modern energy to the millions of people who are not as lucky as us. Thanks, Yotam (y.ariel@bennu-solar.com)
Winston Mendoza
Winston Mendoza
October 3, 2012
I'm highly interested in participating in the NY Forum AFRICA- June 7-9, 2013 in Libreville, Gabon.
Winston Lorenzana Mendoza - CEO Mendoza Solar US; Chairman Lim Solar Philippines - Asia and Founder Lorenzana Solar International
Our companies are Integrators, Developers and Installers of utility scale solar farms. Winston@mendozasolar.com www.mendozasolar.com www.limsolar.com We have projects in US, Mexico, Malaysia and the Philippines
ANONYMOUS
October 3, 2012
Hi Geno -

I haven't had a chance to read the article, but I would like to point you to an article which I think may speak to your point. It's from the Oct 29 2009 issue of the Economist.

http://www.economist.com/node/14743589

There are also lots of positive stories coming out of Africa in many different sectors, but I nonetheless can understand why you might be frustrated. There of course is more work to do, but here is a site that may give you a few nuggets of good news:

http://www.one.org/us/mdg/

Regards,

Dan K
Gene Masters
Gene Masters
October 3, 2012
This might sound ridicluous but all the renewables they could install could not keep up with the massive current and future increase in africa's growth of population and its future energy needs. In conjunction with renewables we need to be providing the whole of africa with free and full access to family planning facilities. Politically sensitive in the extreme I know but so much easier to stick one's head in the sand than actually face the real issue.
Good to hear something positive out of africa anyway.

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