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Experts urge linking African renewables to industrial growth

Energy specialists meeting at a recent virtual colloquium stressed that African nations must connect clean energy investments directly to domestic manufacturing and job creation.

By the CEII Desk, from reporting by The Guardian Nigeria News

Key points

  • Energy transition policies must prioritize industrialisation and local manufacturing over mere capacity expansion.
  • African countries face significant financing hurdles, requiring an estimated $217 billion annually.
  • High reliance on alternative fossil-fuel generators underscores the urgent need for productive electricity use.

Rethinking the energy transition

African policymakers and energy experts gathered at the inaugural Energy Transition Africa Colloquium to urge governments across the continent to tie renewable energy investments directly to industrial expansion. According to discussions at the virtual event, relying solely on imported clean energy technologies risks bypassing broader economic benefits.

Speakers argued that the success of the continent's energy shift should be measured by its capacity to foster local manufacturing, generate employment, and strengthen regional supply chains. With World Bank figures showing Nigeria's electricity access at 62.5 percent in 2024, participants emphasized that expanding power generation must go hand in hand with powering local industries.

Yagouba Traoré of the African Energy Commission stated that nations must leverage their natural resources to build domestic economies rather than remaining raw material exporters. He noted that a newly formulated transition strategy aims to guide the continent toward a low-carbon economy by 2063.

Overcoming financial and structural barriers

Dr Chantal Naidoo pointed out that international financing frameworks often place disproportionate risks on African governments while external investors retain most commercial returns. She highlighted that approximately $217 billion is required each year to fund generation, distribution, and universal access across the continent.

In Nigeria, decentralized power solutions continue to expand as households seek alternatives to an unreliable grid. Representatives from the Rural Electrification Agency noted that citizens poured massive sums into petrol and diesel generators during 2023, reflecting a deep reliance on self-generated power.

Experts stressed that deploying solar or mini-grid systems must translate into tangible economic advantages for small businesses and agricultural supply chains. Integrating renewable projects with local enterprise needs remains vital for ensuring long-term sustainability and broad-based development.

Original reporting

This article draws on the following reports. Read them in full on the publishers’ sites.

Context from CEII

Renewables are the fastest-growing part of the world’s energy system. The COP28 goal is to triple capacity by 2030, and solar mini-grids are the fastest route to power for millions of people without electricity.

22.0% of electricity in Nigeria was renewable in 2021

Countries in this story

Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.

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