Fastracking energy transition in Africa

The global energy sector is at a critical juncture, with the urgent need to transition from fossil-based to zero carbon sources by 2050. Decarbonization of the sector requires immediate and coordinated action on a global scale to accelerate the energy transition and fulfill national and regional commitments. CNBC Africa recently spoke with Francesco La Camera, the Director General of the International Renewable Energy Agency (IRENA), on fast-tracking this transition. La Camera highlighted the upcoming IRENA General Assembly as a crucial moment for assessing progress and shaping the roadmap towards the COP28 conference. One of the key challenges facing the energy sector, particularly in Africa, is the significant energy poverty rates. Despite progress, millions of people on the continent still lack access to electricity, and investments in clean energy have been insufficient. Only 2% of global clean energy investments in the past 20 years have gone to Africa. La Camera emphasized the importance of accelerating the adoption of renewables, including green hydrogen and sustainable biomass, to achieve universal energy access and align with the goals of the Paris Agreement. Africa presents immense potential for renewable energy sources, particularly solar and green hydrogen, making it a focal point for the energy transition. However, to expedite this transition, strategic partnerships with the private sector are essential. La Camera stressed the need to reshape international cooperation frameworks and redefine relationships between developed and developing nations to support Africa's development agenda. Investing in industries that supply components for the new energy system is critical not only for energy security but also for accelerating the continent's transition to clean energy. To address the pressing challenges and bridge existing gaps, La Camera outlined a three-pronged approach centered on infrastructure, policy, and skills development. He highlighted the importance of physical infrastructure, such as interconnected and flexible grids, to integrate renewables into the energy mix effectively. Additionally, establishing supportive legal frameworks and fostering the necessary skills and expertise are vital components of accelerating the energy transition. Furthermore, La Camera underscored the significance of focusing on the demand side of the energy equation. By stimulating demand for clean energy sources like hydrogen, the market will respond accordingly, driving investment and innovation towards sustainable solutions. Shifting the attention from solely reducing carbon emissions to stimulating sustainable energy demand is crucial in expediting the transition. As Africa navigates its energy transition journey, balancing economic development with environmental sustainability will be paramount. By leveraging its abundant renewable energy resources, investing in critical infrastructure, fostering strategic partnerships, and prioritizing policy and skills development, the continent can propel towards a cleaner, more resilient energy future. The collective efforts of governments, private sector stakeholders, and international organizations will be instrumental in realizing Africa's potential as a global leader in sustainable energy innovation.